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US Seeks to Unlock Frozen Assets for Libyan Rebels

05 May 2011 23:07 (UTC +04:00)

Baku-APA. The United States says it will move to free up a small part of the $30 billion in Libyan state assets frozen in the U.S. and use it for humanitarian aid in rebel-held territory with possible additional funds to be released later, APA reports quoting voanews.com website.
Secretary of State Hillary Clinton revealed the plan Thursday ahead of an international meeting on the Libyan crisis in Rome. Clinton told journalists the Obama administration will seek to pass legislation allowing for the release of more than $150 million in Libyan assets frozen earlier this year in the wake of leader Moammar Gadhafiâ€™s crackdown on protesters.
The announcement marked the first time Washington has indicated it would release some of its frozen Gadhafi funds to help the Libyan opposition, who say they need up to $3 billion for basic provisions such as gasoline, food, medicine and military salaries in the areas they control.
Members of the 22-nation Libya Contact Group agreed to set up an internationally monitored fund to help the rebel Transitional National Council meet these needs. Italian Foreign Minister Franco Frattini said coalition countries have already pledged $250 million in aid.
Kuwait pledged $180 million, while Qatar promised at least $400 million more.
The rebel national councilâ€™s de-facto foreign minister, Mahmoud Jibril, who also attended the conference, said money from the fund would not be used to purchase weapons.
Libyaâ€™s deputy foreign minister, Khaled Kaim, said Thursday that any use of frozen assets â€œis like piracy on the high seasâ€ and would undermine the global financial system. Kaim said handing Libyan assets to the opposition would discourage wealthy countries from investing abroad, for fear their money would be seized and handed to rebel groups at the first sign of domestic unrest.
Meanwhile in Libya, a ship carrying at least 800 evacuees from the besieged city of Misrata docked in the eastern rebel stronghold, Benghazi. The International Organization for Migration had chartered the vessel. The group says as many as 50 wounded civilians were on board.
Relief workers on the ship say they waited offshore for three days as NATO minesweepers finished searching for explosives drifting in Misrataâ€™s harbor. Pro-Gadhafi forces planted the mines last week.
In Tripoli Thursday, foreign reporters were taken to a large tent where 2,000 tribal chiefs had gathered. Journalists were told the men represented 850 Libyan tribes â€“ including those from the rebel-held east â€“ that were demanding a halt to NATO air strikes and an end to the fighting.
The Associated Press quoted a rebel spokesman as dismissing claims that those attending the Tripoli conference represent all Libyan tribes.
Meanwhile, British Foreign Secretary William Hague ordered the expulsion of two diplomats from the Libyan embassy in London. In a Thursday statement, Hague said the behavior of the individuals had become â€œunacceptableâ€ and they should be declared â€œpersona non grata.â€