Security Council Working on Plan to Make Iraq Pay

The five permanent Security Council members have reached general agreement on a draft resolution that would require Iraq to pay for damages stemming from its Aug. 2 invasion of Kuwait, diplomats said today.

In a series of private consultations Wednesday, the British, French, Soviet, Chinese and American ambassadors settled on the text of the resolution, which they will present to the 10 other council members today, they said.

The measure would call on Iraq to compensate nations for losses resulting from the invasion.

According to the draft text, Baghdad would be liable only for compensation, not for punitive reparations, British diplomats said, speaking on condition of anonymity.

Countries that have suffered serious economic losses stemming from the invasion--such as Jordan, India, Sri Lanka and Bangladesh--could apply for compensation out of Iraq’s foreign assets, which have been frozen, or from future oil earnings, the diplomats said.

The draft would also urge Iraq to let all foreign hostages go, reiterating a council resolution Aug. 18, and would address mistreatment of Kuwaitis by Iraqi soldiers.

It would also call on Iraq to permit the sending of supplies to Western embassies in Kuwait City. Foreign missions in Kuwait have seen their water, electricity and supply shipments cut off by the Iraqis.

Iraq says Kuwait is now a province of Iraq and that the diplomats must move to Baghdad.

During their private talks, the five permanent Security Council members dropped a proposal for a war-crimes tribunal for Iraqi President Saddam Hussein, the diplomats said.