James Traficant: “Bucheit International, a company in my district, at the urging of the Vice President, the State Department and the…”

“Bucheit International, a company in my district, at the urging of the Vice President, the State Department and the Commerce Department and Builders for Peace was granted political risk insurance from the Overseas Private Investment Corporation [OPIC], to build a concrete molding plant in Gaza, and they are the first to have done so at the request of the administration and try to bring some investment American dollars to Gaza. In 1995, the company received a $1.1 million OPIC loan. After they invested $4.4 million, the company has experienced unethical if not illegal treatment, and activity which has resulted in almost a default of this OPIC loan. In addition, the company was never reimbursed for any value-added taxes collected on goods headed for Gaza as it was supposed to have been. The company had been promised a 5-year tax moratorium. That was not granted. The Palestinian Authority agreed to establish and supervise a monetary authority in Gaza, Mr. Chairman, in accordance with international banking law. However, the Bucheit International Co. has found the banking system to be below international standards.”