Tuesday, April 10, 2012

Libya ?probes oil deals?

The Libyan general prosecutor?s office is probing a number of oil giants and oil trading stalwarts as it investigates possible financial irregularities, according to a report.

Italy?s Eni and Total of France are among a host of companies to be sent letters by the prosecutor?s office, according to a report by the Wall Street Journal.

Deputy head of the office, Abdelmajeed Saad, told the newspaper that the it is investigating past operations in Libya?s oil industry both by local and foreign players.

Two of the trading companies being investigated are Vitol and Glencore. The former was the first to take a shipment of crude out of the country following the outbreak of fighting between rebels and forces loyal to the deceased former national leader, Muammar Gaddafi.

The prosecutor has asked the head of audit at Libya?s National Oil Company (NOC) for documents relating to transactions with Glencore and Vitol, the newspaper reported.

NOC's marketing manager, Ahmed Shawki, told the newspaper that NOC and its dealings with foreign companies, in general, are "under investigation from the general attorney?.

"NOC submitted all documents. [The prosecutor's office is] doing the right thing," he said.

The Wall Street Journal said neither the letter nor the deputy prosecutor mentioned any specific allegations involving the companies they named.

Eni has long been a stalwart of the Libyan oil industry while Total has ramped up activities since the toppling of Gaddafi?s regime last year.

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