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Reuters: Iraq–Syria Oil Pipeline — Thomas Barrack Used His Influence to Bring His Business Partner’s Company Into the Project
Three sources said Thomas Barrack, the U.S. special envoy for Syria and Iraq, sought to involve a company run by his business partner in an oil pipeline project linking Iraq and Syria—a move that may conflict with federal ethics rules.
In July, Iraq and Syria signed memorandums of understanding with a consortium that includes California-based investment firm T.I. Capital, Chevron, and Qatar’s UCC Holding to conduct technical and financial studies ahead of rehabilitating the pipeline, which would offer an alternative export route that bypasses the Strait of Hormuz.
Barrack has longstanding business ties to T.I. Capital and its founder, Ziad Ghandour. Public records show that, at the time of his 2025 confirmation hearings, Barrack held financial rights entitling him to as much as 20% of the profits from a real estate project near San Francisco managed by the firm. He had said he intended to retain that stake. Ghandour is the company’s chief executive.
According to two sources directly familiar with the discussions, Barrack pushed to include Ghandour’s company in the project during meetings with Syrian and Iraqi officials held after the war with Iran began.
On June 16, a month before the consortium agreement was signed, Barrack and Iraqi Prime Minister Ali al-Zaidi issued a joint statement welcoming “progress on the memorandum of understanding with T.I. Capital to rehabilitate the Kirkuk–Baniyas pipeline as a vital oil export route.” The statement did not mention Chevron or UCC in connection with the pipeline.
Ethics experts said Barrack should have recused himself from discussions about the pipeline to avoid the appearance of a conflict of interest.
Source: Reuters
