Iraq is demanding that France return $895 million, paid in 1985, for later delivery of 24 Mirage F1 jet fighters. Iraq already owned 90 of these aircraft at the time. Delivery was prevented by a UN arms embargo imposed on Iraq after the 1990 invasion of Kuwait.
French officials are puzzled by the Iraqi demand, since Iraq owes French firms $6.6 billion for goods delivered and never paid for before 2003. France has cancelled 80 percent of that debt, and will apparently arrange to have the Mirage F1 debt charged off against money Iraq owes France.