Annan rejects resignation calls

Mr Annan hopes an ongoing inquiry into the scandal will "clear the air"

United Nations Secretary General Kofi Annan has repeated that he has no intention of resigning following corruption allegations within the body.

Influential Republicans have called for Mr Annan's resignation over alleged corruption in the UN's oil-for-food programme in Saddam Hussein's Iraq.

Mr Annan said the scandal had "cast a shadow" over the UN and its relationship with the US.

He called 2004 "a horrible year", but encouraged constructive criticism.

"On the question of my resignation, let me say that I have quite a lot of work to do," Mr Annan said at an end-of-year news conference in New York.

"There's no doubt that this has been a particularly difficult year, and I am relieved that this annus horribilis is coming to an end."

The oil-for-food programme allowed Iraq to sell oil in exchange for food and medicine between 1996 and 2003, to ease the effects of international sanctions.

But it has emerged that Saddam Hussein might have diverted part of the money for his own uses.

'Inevitable' mistakes

Mr Annan said he hoped an independent investigation led by former US Federal Reserve chairman Paul Volcker might "find out the truth as quickly as possible" and thereby "help clear the air".

He has not accepted any personal responsibility, pending the results of the inquiry in mid-2005, but he said:

"When you run this sort of operation it is inevitable that there may be some mistakes and things that could have been done better."

He said the allegations had overshadowed the achievements of the multi-billion-dollar programme, which had brought "relief" to millions of Iraqis.

The US administration appeared reluctant to voice its support for Mr Annan after a Republican senator from Minnesota, Norm Coleman, called for his resignation in November, holding him ultimately responsible.

Washington's support was eventually conveyed by the US ambassador to the UN, John Danforth, on 9 December.

Shortly before US President George W Bush was re-elected last month, Mr Annan said the US-led invasion of Iraq had been "illegal".