Order 75: Realignment of Military Industrial Companies

by L. Paul Bremer, Coalition Provisional Authority

COALITION PROVISIONAL AUTHORITY ORDER NUMBER 75

REALIGNMENT OF MILITARY INDUSTRIAL COMPANIES

Pursuant to my authority as Administrator of the Coalition Provisional Authority (CPA),
and under the laws and usages of war, and consistent with relevant U.N. Security Council
resolutions, including Resolutions 1483 and 1511 (2003),

Furthering commitments to promote public order and safety and restore the conditions of
security and stability for the Iraqi people,

Having worked closely with the Governing Council to ensure that economic change
occurs in a manner acceptable to the people of Iraq,

Recognizing that many state-owned enterprises previously engaged in military industrial
production (heretofore “military industrial companies”) sit idle and largely abandoned
throughout Iraq,

Concerned that buildings and factories of companies formerly assigned to the military
industrial commission (or “military industrial companies”) often contain stockpiles of
hardware and materials that remain deployable for violent uses against Coalition Forces
and the people of Iraq, and that employees of these companies remain needlessly
underemployed and unable to utilize their skills to promote the welfare of Iraq,

Determined to secure and dispose of these stockpiles and to assign responsibility for
reconstituting military industrial companies and reassigning their employees as necessary
for the promotion of peace, security, and stability in Iraq;

I hereby promulgate the following:

Section 1
Purposes and Objectives


This Order promotes public order and safety for the Iraqi people by providing for the
security and destruction of materials abandoned after the closure of military industrial
companies throughout Iraq. This order also restores conditions of stability in Iraq by
assigning responsibility for the personnel and assets of military industrial companies
to appropriate ministries and facilitating the reconstitution of such companies for
peaceful and resourceful uses.

Section 2
Military Industrial Companies


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1) Military industrial companies subject to this Order include those state-owned
enterprises listed in Annex A. The absence of appropriate responsibility for the
facilities and assets of these enterprises has been determined by the Administrator to
constitute a continuing threat against Coalition Forces and the people of Iraq if not
appropriately secured.

2) State-owned enterprises formerly assigned to institutions dissolved under CPA Order
No. 2 (CPA/ORD/23 May 2003/02), Dissolution of Entities, and those enterprises
formerly assigned to the military industrial commission are generally subject to
inclusion in Annex A.

3) The military industrial commission is an entity dissolved under CPA Order No. 2
(CPA/ORD/23 May2003/02).

4) The Administrator retains authority to add state-owned enterprises to Annex A if it is
determined that such enterprises previously engaged in military industrial production
and either (a) threaten public order and safety on account of stockpiles and/or
abandoned materials that may be used for violent purposes against Coalition Forces
and the people of Iraq, or (b) have real property or other tangible assets that the
enterprise as presently constituted cannot adequately safeguard and thus stand in
danger of being looted, severely damaged, or destroyed.

5) The Minister of Industry shall be notified of any additions or deletions to Annex A
within ten days of such action being taken by the Administrator. The Minister of
Industry shall also inform the Administrator of any state-owned enterprise known to
have been engaged in military industrial production, but not listed in Annex A

Section 3
Disposition of Military Industrial Assets and Employees


1) The Administrator retains authority to secure facilities and dispose of the material
assets of enterprises listed in Annex A so long as the Administrator finds that such
facilities or assets or the lack of control over such facilities and assets constitute a
continuing threat to Coalition Forces and the people of Iraq.

2) The Administrator also retains authority to reclassify and/or reorganize the enterprises
listed in Annex A, so long as the Administrator finds such reclassification and/or
reorganization essential to the safety of Coalition Forces and the people of Iraq, the
preservation of assets and property for the people of Iraq, or the restoration of societal
conditions necessary to the self determination of the Iraqi people. Where an
enterprise listed in Annex A is not reassigned to another Iraqi ministry, the liabilities
of such enterprise shall be assumed by the Ministry of Finance.

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3) The Administrator further retains authority to reassign otherwise unemployed workers
of the enterprises listed in Annex A to other Iraqi ministries, governmental agencies,
governmental instrumentalities, or state-owned enterprises, so long as the
Administrator finds such reassignment furthers the security and safety of Coalition
Forces and the people of Iraq or furthers the restoration of societal conditions
necessary to the self determination of a free people.

4) To ensure continuity in the economy of Iraq and the salaries of workers reassigned
under this Section, the Minister of Finance will assure that the budget of any
enterprise reassigned and/or reclassified under this Section, and the associated payroll
information for any employee reassigned under this Section, shall follow that
enterprise or employee to their new ministry or place of employment. Employees
reassigned under this Section shall be guaranteed a salary commensurate with the
salary paid by their former employer.

5)
The Minister of Industry must be notified in writing of any action taken under this
Section, and within 14 days of such notice may issue an opinion as to whether such
action serves the interests of the Iraqi people. The Minister of Industry may make
specific recommendations for alternative courses of action, keeping in mind that the
Administrator retains full authorization under the laws and usage of war to ensure and
restore public order and security in Iraq.

Section 4
Assignment and Consolidation


1) Responsibility for military industrial companies and the assets and personnel thereof
not listed in Annex A shall be assigned to the Ministry of Industry and Minerals or
such other ministry as the Administrator deems appropriate. These companies shall
include all state-owned enterprises formerly supervised or owned by institutions
dissolved under CPA Order No. 2 (CPA/ORD/23 May 2003/02), or formerly assigned
to the military industrial commission.

2) Military industrial companies assigned to the Minister of Industry and Minerals under
this Section may be subject to consolidation pursuant to the procedures set forth in
other CPA Orders.

Section 5
Administrative Instructions


The Administrator may delegate authority to issue Administrative Instructions to
clarify and implement this Order.

Section 6

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Annex
A
Military Industry Commission Companies (MIC’s) to Ministry of Industry and Minerals (MIM)


Enterprise Area of Total Amount Buildings Level Machines Destruction Assign Employees
Name Activity of Workers of Destruction(%) and Looting(%)
and Assets to: 1. Al Saheed Copper production
1,300 11.9% 45%
MIM
2. Tareq Pesticides, chemicals
896 30.6% 25%
Ministry of Finance
3. Hammurabi Pistols, small arms 636
2.8%
15%
Ministry of Finance
4. Al Tahady Electromecanichal
399 10.4% 35%
MIM
5. Ibn Waleed Heavy armored veh. Rep. 926
10.5% 60%
Ministry of Finance
6. Al Ikhaa Mechanical, optics
2,382 1.7% 20%
MIM
7. Al Rasheed Co2 producer, mechanical
2,290
43.2% 50%
Ministry of Finance
8. Asahf al Kabir Concrete additives 86
26.1% 35%
Ministry of Finance
9. Al Noaman Plastic injection, irrigation
643
6.0% 10%
MIM
10. Al Uboor Mechanical machining
1,217
70.4% 100%
Ministry of Finance
11. Al Mansour Solar cells, IC, gases
670 0.2% 5%
MIM
12. Radhwan
Machining
760
34.0% 60%
Ministry of Finance

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Enterprise Area of Total Amount Buildings Level Machines Destruction Assign Employees
Name Activity of Workers of Destruction(%) and Looting(%) and Assets to:
13. Al Nidaa Dies, molds, gears 1,281
41.8% 80%
Ministry of Finance
14. Al Salam Construction Equip. 752
7.7% 100%
Ministry of Housing
15. Ibn Majed Eng. Mfg. Marine et.al.
1.648
21.6% 30% MIM
MIC’s to Ministry of Labor and Social Affairs (MOLSA):
Enterprise Area of Total Amount Buildings Level Machines Destruction Assign Employees
Name Activity of Workers of Destruction(%) and Looting(%) and Assets to:
1. Training Center All defense SOE’s specialties
N/A
N/A
N/A
Ministry of Labor
MIC’s That Will Have Surviving Assets and Employees Transferred to Other Iraqi Government Agencies:
Enterprise Area of Total Amount Buildings Level Machines Destruction Assign Employees
Name Activity of Workers of Destruction(%) and Looting(%) and Assets to:
1. Jaber ben Hayan Plastic, rubber, filters
904
25.7% 95%
Ministry of Finance
2. Yarmuk Ammunitions, barbed wire
2,708
65.8% 100%
Ministry of Finance
3. Al ezz Electronic switching 1,046
23.7%
100%
Ministry of Finance
4. Al Kadissiya Guns, grenades, mortars 3,035
69.9% 100%
Ministry of Finance

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Enterprise Area of Total Amount Buildings Level Machines Destruction Assign Employees
Name Activity of Workers of Destruction(%) and Looting(%) and Assets to:
5. Al Fidaa Hydraulic, pneumatic systems 1,285
50.2% 100%
Ministry of Finance
6. Al Karama Missiles, mechanical
2,287 51.4% 40%
Ministry of Finance
7. Al Qaqa Explosives, powder, TNT 5,365
36.6% 85%
Ministry of Finance
8. Bader Tools, dies
1,631
82.8% 100%
Ministry of Finance
9. Tabook Powder for cartridges 532 0.3%
20%
Ministry of Finance
10. Al Hadhar Chemical products 572
70.6%
100%
Ministry of Finance
11. 7 Nissan Fuses, military shells
2,652
94.2% 100%
Ministry of Finance
12. Al Hareth Radars, welding equipment 1,387
0.0% 60%
Ministry of Finance
13. Al Kindi R & D radars 976 38.0%
90%
Ministry of Finance
14. Sanahareeb Irrigation systems
675
22.3% 100%
Ministry of Finance
15. Salahuddeen Communication, radars 2,900
34.2%
75%
Ministry of Finance
16. Ibn Rushd Qa, testing, inspection 448
50.0% 100%
Ministry of Finance
17. Hutten Ammunition, guns, mortars 5,473
25.9% 70%
Ministry of Finance

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