Volcker: Saddam Obtained Most Illegal Money Through Smuggling

The head of the U.N. investigation into the Iraq oil-for-food program says Saddam Hussein illegally obtained more money from oil smuggling than from corruption in the U.N. program.

Former U.S. Federal Reserve Chairman Paul Volcker says the smuggling began before the start of the oil-for-food program, and was known to the United Nations Security Council.

In an interview with the U.S. government-funded alHurra television station, Mr. Volcker said there is a lot of confusion about how much money Saddam obtained from the oil-for-food program itself. He refused to provide specific estimates, but said large amounts that have been reported in the media were from smuggling and not from funds diverted from the program.

The United Nations created the oil-for-food program after the first Gulf War to allow Iraq to sell oil and use the profits for the Iraqi people's humanitarian needs.

Some information for this story provided by AP.