Roughly the size of Maryland with an impoverished population of 400,000, Equatorial Guinea has been run by Obiang since 1979, when he seized power from his tyrannical uncle and had him executed.
The 62-year-old ruler has been elected twice in balloting marred by allegations of fraud. He received 99% of the vote in 1996 and 97% in 2002.
For The Record
Los Angeles Times Wednesday December 22, 2004 Home Edition Main News Part A Page 2 National Desk 2 inches; 85 words Type of Material: Correction
Equatorial Guinea -- An article in Saturday's Section A included Noble Energy Inc. in a list of companies under investigation by the Securities and Exchange Commission for their operations in Equatorial Guinea. Noble has a minority stake in an energy project in Equatorial Guinea but has not been contacted in regard to the investigation, a company spokesman said. The project operator, Marathon Oil Corp., said in a public filing that it was contacted by the SEC and that it was "cooperating fully" with the inquiry.
Human rights abuses in Equatorial Guinea "have been well documented and have elicited international condemnation," a 2002 Riggs memo said.
However, it predicted: "Any hesitancy on the part of U.S. ... towards Equatorial Guinea will be temporary, due to the rising importance of the oil sector."
Unless new reserves are found, the country's energy resources will be pumped dry by about 2020, giving the Obiang regime a limited time to use its oil revenue to improve living conditions for its population. However, there is little evidence that it is even trying.
The Department of Energy reported in October that the government appeared to have "misappropriated" energy earnings and that its "failure to direct oil revenues toward development ... has undermined economic and social progress."
The State Department's 2004 human rights report says security forces in the country have "committed numerous abuses, including torture." But another State Department report this fall said: "With the increased U.S. investment presence, relations between the U.S. and the government of Equatorial Guinea have been characterized by a positive, constructive relationship."
After they began producing oil in Equatorial Guinea, U.S. companies deposited revenue due the government into an account established by the Obiang regime at Riggs Bank. Last year, The Times reported the existence of the account, over which Obiang exercised de facto control, prompting inquiries by the Treasury Department and the Senate Permanent Subcommittee.
They found that Obiang also held more than $16 million in an offshore account that the bank helped him establish in the Bahamas. In addition, the president bought two large estates in the Washington area, paying $2.6 million in cash for one. In one internal Riggs memo obtained by the Senate, the Obiang family's private banker raised the daily limit on the first lady's debit card to $10,000.
"The $2,500 limit is insufficient for her needs," the banker wrote.
