howard govt in trouble over "wheatgate", page-16

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    re: howard govt in trouble over ........The commission on Wednesday heard evidence that AWB concocted a "sham" agreement to pay Tigris a "commission" for its services in lobbying the Iraqi government to resume the stalled wheat trade.

    The agreement masked the true arrangement of charging the UN inflated wheat prices.

    Meanwhile, Treasurer Peter Costello says he knew nothing about kickbacks paid by the Australian Wheat Board (AWB) to Saddam Hussein's former Iraq government.

    "I'm afraid other than what I have read in newspapers, I have no knowledge of these matters," Mr Costello told reporters in Los Angeles.

    Asked if he'd appear before an inquiry investigating the kickbacks if called, he said he would.

    "If the commissioner thinks I have any useful information, obviously," Costello said.

    "But, why would I have the information?"

    The treasurer laughed off Labor's calls for him to appear at the inquiry.

    "Labor calls for a lot of things," he said.

    "It's very hard to keep up with their latest calls."

    Mr Costello added that he was "not responsible for the Australian Wheat Board nor for Australia's wheat trade".

    Mr Costello is in California for Australia Week.

    Labor wants Australia to repay money that grain marketer AWB "ripped off" the United Nations.

    The wheat exporter's boss also now has no option but to resign, opposition foreign affairs spokesman Kevin Rudd said.

    "If the AWB has ripped off some $10 million plus from the United Nations' bank account ... then we have an obligation as a country to ensure these things are made right," Mr Rudd said.

    "Australia has international obligations here at stake."

    Asked then if AWB boss Andrew Lindberg should step down from his position as managing director of AWB, Mr Rudd said he had no option but to resign.

    "It is imperative for Mr Lindberg to take the action which is in the best interest of Australian wheat farmers," Mr Rudd said.

    "Given everything we have heard to date and in the absence of any evidence to the contrary, I would think Mr Lindberg has no other course of action available (but to resign)."

    AAP 2006 LATEST NEWS
 
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