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Virginia Company Pleads Guilty in Oil-for-Food Scandal

HeadlineOct 21, 2005

A Virginia oil trading company pleaded guilty to grand larceny in the so-called oil-for-food scandal. The company, Midway Trading, will pay a $250,000 fine. Prosecutors say the company engaged in a scheme to pay more than $440,000 in kickbacks to Iraqi officials. The charges are the latest to come out. More are expected once the U.N.-backed Independent Inquiry Committee releases its final report, probably later this month. U.N. committee member Richard Goldstone said in August that about half the 4,500 companies that took part in the oil-for-food program are alleged to have paid kickbacks or illegal surcharges.

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