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$2 million fine by UN on Royal Dutch Shell for violation of embargo against Iraq

On 26 April 2000 The New York Times reported that the United Nations had fined the Royal Dutch Shell Group $2 million for shipping Iraqi oil on April 5 2000 in violation of the then international embargo against Iraq. The tanker, the Akademik Pustovoit, was boarded by American-led naval forces in the Persian Gulf. Royal Dutch/Shell had maintained that the tanker carried only Iranian oil, loaded at the port in Bandar Mahshur. However, a spokesman for The Pentagon, Kenneth H. Bacon, was quoted as confirming that tests on the cargo had determined that 20 percent of the oil was from Iraq. The article reported that with high prices increasing demand, there had been a sharp increase in illicit oil shipments and Iraqi officials were believed to be earning millions from smuggling oil.

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