Meanwhile, by the end of the week BHPB plans to have completed a review of its involvement in driving a $US5 million wheat sale to Iraq. The review will also examine efforts by Davidson Kelly and others to recover the funds with interest.

BHPB's annual general meeting will be held tomorrow in Brisbane. The company expects to face extensive questioning at the AGM and wants to put an end to the Iraq issue, which could provide ammunition for groups and lobbyists in California opposing BHP's plan to build a liquefied natural gas terminal off the coast of that state.

In the company's favour is the Cole Commission's acceptance that the original wheat sale was legal and that BHPB was not involved in efforts by wheat marketer AWB and Davidson Kelly's company Tigris to recover the money by manipulating the United Nations oil-for-food scheme.

Released yesterday, the Cole Commission's report says Davidson Kelly possibly breached Victoria’s Crimes Act.

“Davidson Kelly might have conspired with or aided and abetted AWB or AWB International in the commission of an offence,” said the report.

“It is a serious matter to mislead the United Nations to agree to provide payment for wheat on a false basis and to agree to make payments to Iraq in known contravention of United Nations sanctions.”

The commission recommended setting up a joint taskforce to investigate the alleged offences, comprising the Australian Federal Police, Victoria Police and the Australian Securities and Investments Commission.

In addition to Davidson Kelly, criminal investigations were also recommended to proceed against 11 AWB staff.

Commissioner Cole also recommended that a special taskforce investigate the actions of Charles Stott, who was employed by both BHP and AWB during the period under investigation. Stott is believed to have helped Davidson Kelly inflate the prices of the wheat shipments.

Cole found former BHP energy chief Phil Aiken was unaware the 1996 shipment was intended as a gift, after being told by Davidson Kelly that the company was entitled to recoup the money from Iraq. Cole stated that he did not accept evidence from former senior BHP executive Tom Harley that he told Mr Aitken the wheat shipment was a gift in May 2000.

Not long after the report was released, BHPB issued a statement saying it would review the commission’s findings before making a public response.

“In February, I committed to investigating all the facts and publicly releasing our findings from this review,” chief executive Chip Goodyear said.

“Now that the commission has released its report, we will analyse the contents and finalise our own report as soon as possible.

“Until we are able to complete a thorough review of the commission’s findings, we will not make any further comment.”

BHPB became embroiled in the inquiry after it was revealed AWB recouped an $US8.3 million ($A10.6 million) debt from the Iraqi Government on behalf of the then BHP, which claimed it was owed the money for a 1996 wheat shipment.

BHP signed the debt over to Davidson Kelly's company, Tigris Petroleum, which then hired AWB to help recover the money for a $500,000 fee.