document: Gadhafi 's gas stations pose dilemma for Europe Flames and smoke shoot up from the Libyan-owned oil refinery on the eastern tip of Lake Geneva , suggesting one of Moammar Gadhafi 's outposts in Europe is still in business . As world powers tighten their military and financial grip around his regime , some governments are hesitating to freeze all of the assets controlled by the North African country 's repressive ruler . An Associated Press investigation has found that several European countries have accepted assurances from Libya 's Tamoil petroleum company that none of its profits reach Tripoli . In return , Tamoil has been allowed to continue operating unchecked , despite the fact its parent company is on a United Nations sanctions list . Officials at Tamoil 's European headquarters did n't return requests for comment , but representatives at four of the group 's national subsidiaries said they were abiding by the sanctions . '' `` No money from the gas stations flows , directly or indirectly , to persons or institutions subject to sanctions , '' '' Catrin Bedi , of Tamoil 's German subsidiary , told AP . All money was reinvested to expand the German operation , she said . Yet experts say European governments are being naive , or simply self-serving , in an attempt to protect European jobs and oil supplies . '' `` It 's a political decision . It would be naive to think that Tamoil is independent , '' '' said Zurich-based money-laundering expert Michael Alkalay . He said Western governments that readily did business with Libya in recent years now criticize Gadhafi 's regime but are doing little to clamp down on its assets , the most visible of which is Tamoil whose logo fronts gas stations from the Baltic Sea to the Mediterranean . Gary Hufbauer , a former U.S. Treasury deputy assistant secretary in the Carter administration , said European governments _ which like the U.S. have frozen Libyan cash deposits in their banks _ are essentially taking Tamoil 's word for it that the profits wo n't get back to Gadhafi . '' `` If the Europeans are serious about imposing the freeze , they should n't be allowing any money to be paid if it 's going to any part of the Libyan regime , '' '' said Hufbauer , now a senior fellow with the Peterson Institute for International Economics in Washington . World powers intentionally stopped short of naming Tamoil in their sanctions lists , he said , citing its importance to Europe . The company 's Swiss branch is registered in the southwestern town of Collombey-Muraz , where it operates a 72,000 barrels-per-day refinery that supplies more than 300 gas stations throughout Switzerland . Sister companies in Spain , Germany , the Netherlands and Italy operate 2,500 more gas stations , and there are two other refineries in Hamburg , Germany , and Cremona , Italy . The refineries ' combined capacity is 255,000 barrels of crude oil a day , or about 2 percent of the 14 million barrels that power Europe daily . Libya was producing 1.58 million barrels a day of crude oil in January , according to International Energy Agency figures . All are part of a Dutch-based holding company , Oilinvest -LRB- Netherlands -RRB- B.V. , whose sales ran to some $ 10 billion in 2009 . Oilinvest , in turn , is owned by the Libyan Investment Authority , the country 's sovereign wealth fund estimated to be worth $ 65 billion . Last month , the LIA was placed under international sanctions on the grounds that it is controlled by Gadhafi or persons close to him . Tamoil 's links to the regime , however , are n't enough for Switzerland to shut it down , according to the Swiss State Secretariat for Economic Affairs , or SECO . '' `` Tamoil has pledged in writing to SECO to fully respect the sanctions imposed by the Swiss Federal Council , in particular not to make any payments or transfer other assets , in whichever form , to natural or legal persons who are subject to sanctions , '' '' spokeswoman Antje Baertschi told AP . She acknowledged that Switzerland is n't checking whether Tamoil is living up to its pledge , nor could she say when Tamoil made its last payment to Libya . '' `` It 's not possible to monitor all transactions , '' '' she said . A spokesman for Germany 's Economy Ministry , who spoke on condition of anonymity , said Berlin was satisfied Tamoil would comply with international sanctions after receiving written assurances . Monitoring compliance was a matter for the prosecutors , he said . But in a sign that some Tamoil entities are prepared to go further to protect their operations , the company 's German spokeswoman , Bedi , said an external auditor would be given access to its books . Meanwhile , Italy 's Finance Ministry said in a statement last week that '' `` no freezing measure has been adopted toward Tamoil Italia S.p.a , '' '' which it said was '' `` collaborating with the authorities to ensure the adopted international sanctions are respected fully regarding the situation in Libya . '' '' Charles Huyskens , a spokesman for Tamoil 's branch in the Netherlands , told AP the company had struck a deal with the Dutch government . '' `` The operation here is business as usual , but the guarantee is that they will not transfer money abroad or to any shareholder or whatever , '' '' he said . Finance Ministry spokesman Niels Redeker disputed this , saying the government was still in talks with Tamoil '' `` to prevent -LRB- cash -RRB- reserves from reaching entities on the banned list . But these are talks and have not led to any agreement . '' '' Dutch opposition lawmaker Harry van Bommel said Tamoil 's many shell companies in tax havens _ from Monaco to Curacao in the Caribbean _ make it impossible to guard against Gadhafi 's allies funneling money out of the company . '' `` All assets of Tamoil should be frozen , period , '' '' he said . '' `` We 're talking about U.N. resolutions , we 're talking about Gadhafi who is willing to kill his own people . Would he not ask a company under his control to transfer assets ? '' '' U.S. sanctions apply to anything owned or controlled by the government of Libya , which would include Tamoil if it did business with or processed payments through the U.S. , said a senior U.S. Treasury Department official , speaking on condition of anonymity because of the sensitivity of the matter . After Libya agreed to scrap its secret nuclear weapons program and compensate victims of terrorist attacks , the U.S. in 2006 rescinded its designation as a state sponsor of terrorism . And with the country emerging from international isolation , western firms rushed to sign oil exploration deals . Libya 's more than 46 billion barrels of oil reserves are the largest in Africa and all but five percent of its exports come from oil . Flush with petrodollars , Libya invested heavily in foreign assets , from Spanish banks to Italian football clubs , and a growing network of petroleum companies in the long chain stretching from supplier to consumer . EU documents show that the 27-nation bloc has used financial sanctions against Iran , Iraq , Myanmar , North Korea , Yugoslavia , Zimbabwe as well as Libya . In recent years there have been increasing calls for '' `` targeted '' '' financial sanctions that aim to freeze a person or a company 's profits , rather than shut it down and cause broader economic distress . Enrico Carisch , a U.S.-based Swiss field investigator who has worked for the U.N. enforcing sanctions against Somalia , Liberia , Congo and Sudan , said Tamoil 's profits should be frozen rather than simply shut down . '' `` Every government has to conduct due diligence to make sure they are not inadvertently contributing to the problem , '' '' he said . '' `` The enemy is not Libyan workers , the enemy is not Libyan companies . The enemy is those who derive benefits from the Libyan oil and use them against the Libyan people . '' '' One argument for keeping Tamoil afloat is that any future government in Libya would be entitled to reclaim ownership over the company on behalf of ordinary Libyans . An attempt by Los Angeles-based private investment firm Colony Capital LLC in 2007 to buy a 65 percent stake in Tamoil and Oilinvest from the Libyan government valued the entire company at over $ 8 billion . The deal never came off . Sven Behrendt , a Geneva-based expert on sovereign wealth funds , said Tamoil may only be the most visible tip of the Libyan Investment Authority 's assets . He recently ranked the LIA among the least transparent of some two dozen sovereign wealth funds , making it difficult for governments to fully know what it owns or controls . The most immediate threat to the company 's operations may be its rivals . Royal Dutch Shell has halted a supply agreement with Tamoil in the Netherlands , citing the international sanctions . The parties are due in court next week . Meanwhile , a monthlong maintenance period at the Swiss refinery has been brought forward to April due to '' `` uneconomical margins , '' '' a spokesman there said . ___
doc_bio_tags: O O O B O B O B B O B O O O O B O B O O O O O B I O O O O B O O O O B O O O B O O O O B O B O O O O O O O O B O B O O O O O B O O O B I O O B I O O B I I O O O O O O O O O O B O B I O O O O O O O B O O O O B O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O B I O O B O B O O O O O O O O B O O O B O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O B O O B I O O O O B O O O B O B O O O O O O O O O O O O O O O O O B O O O O O O O B O O O O B O O O O O O O O O B O O O B B O B I O O B O O O O B O O O O B O B I O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O B O O O O O O O B O O O O O O O O O O O O O O B O O O O O O O O O O O O B O O O O O B O B O O O O O B O O O O O B O B O O O O O O B O B O O O O O O O O O B O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O B O O B O O O O O O O O B O O O O O O O O O O O O O B O O O B O B O O O O O O O O O B O O B O B O O O O O O O O B O O O O O O O O O O O O O O B O O O O O O B O O O B I O O O O O O O O O O O O O O O B O O O O O O O O O O O O B O O O O O O O O O O O O O O O O B O O O B O O O O O B O O O O O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O B O O O O O O B O O O O B O O O O O O O O O O O O B O O O O O B O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O B O O O B I O O O O O B I O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O B I O O O O O O O O O O O O O O O O B B I O O O O O O O O O O O O O O O O O B I O O O O O O O B O O O O O O O B O B O B O O B O O O O O O O O O O O B O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O B I B O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O B O O O O O O O O O B O B O O O O O O O O O O O O O O O O O O O O O O O B O B O O O O O O O O O O O O O O O O O B I O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O B O O O O O O O O O O O B O O O O B O O O B O O O O O O B O O O O B B O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O B O O B O O O O O O O O O O O B O O O O O O O O O O O B O O O O B O O O O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O O B I O O O B I I O O O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O B I O O O O O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O B O O O O O O O O O O O B O O O O O O B O O O O O O O O B O O O O O O O B O O O O O B O O O O O O B I O O O O O O O O O O O O O O O O O B O O O B O B O O B O O O O O O O O B I O O O O O O O O B O O B O O O O O O O B O O O O O O O O O B O O O B O O O O O B O O O O O O O O O O O O O O O O B O O O O O O O O O O O O O O O O O O O O O O O O B O O O O O O O B O O B O O O B I O O O O O O O O O O O O O O O O O O O B O O O O O B O O O O B O O O O O B O O O O