17 October 2022; MEMO: Iraqi Prime Minister-designate Muhammad Shayaa Al-Sudani pledged on Sunday to combat rampant corruption in state institutions, following reports that $2.5 billion has been embezzled from the trust account of the General Commission of Taxes held at the Rafidain Bank.
"We will never hesitate to take real measures to curb corruption, which has brazenly spread across state institutions," insisted Al-Sudani. "We have put this file at the top of our priorities. We will not allow the Iraqis' money to be stolen."
On Sunday, the Federal Commission of Integrity confirmed that it was investigating the embezzlement of more than 3.7 trillion Iraqi dinars ($2.5 billion) from the account of the General Commission of Taxes. According to the commission itself, the case is now being reviewed by the judiciary. Several summonses have been issued for senior officials in the finance ministry regarding loopholes that had led to this major breach of trust and abuse of public money.
Last week, the Iraqi parliament voted to remove acting Finance Minister Abdul Jabbar for "mismanagement" and allegedly failing to send financial statements to parliament. Abdul Jabbar, who resigned on Saturday, shared the results of the investigation into the embezzlement case while other documents were leaked to the media.
The investigation found that the General Commission of Taxes had paid 3.7 trillion Iraqi dinars to five companies using 247 cheques between 9 September 2021 and 11 August this year. According to registration documents included in the leak, at least three of the companies were established in July last year.
