In the open letter, the Bank staffer who originally disclosed the Shaha Riza payroll records urges the Bank to adopt real whistleblower protection policies, and a new, transparent process for determining the next president.
Reuters World Bank Panel Finds Wolfowitz Broke Rules
AP Wolfowitz Broke Rules
FT Wolfowitz Broke Bank Rules
Washington, D.C., May 14, 2007 - The World Bank Board of Executive Directors received the second report of the ad hoc group on Monday afternoon. In the interests of transparency they published the report and all associated documentation. They will meet with Mr. Wolfowitz at 5:00 p.m. on Tuesday as part of their deliberations on the report.
The report finds Wolfowitz guilty of engaging in an actual conflict of interest, and violating the Bank's Code of Conduct and numerous staff rules.
General Counsel Excluded - Coll silenced
"From the time Ms. Riza presented her terms to Mr. Coll (head of human resources) until Mr. Wolfowitz instructed Mr. Coll to accept those terms, neither Mr. Wolfowitz nor Mr. Coll consulted with Bank counsel concerning whether the terms were in the Bank's interest. Mr. Coll states that during his August 10 meeting with Mr. Wolfowitz and Ms (Robin) Cleveland, they told him he "could not talk to anyone" including the General Counsel about his conversation with Ms. Riza. Mr. Wolfowitz has not denied that the General Counsel was excluded from the negotiations. However, he explains that he did not consult with the General Counsel because he considered the General Counsel to be conflicted from providing advice to both the Ethics Committee and management." (Note 47, page 21 )
No Evidence Wolfowitz disagreed with Ethics Committee advice
"Mr. Wolfowitz states that he had disquiet with his understanding of the advice (of the Ethics Committee) but that he nevertheless followed it. The Ethics Procedures make clear that Mr. Wolfowitz could have taken the matter up with the Executive Directors directly if he did not believe the advice he had been given was correct. He (Wolfowitz) has repeatedly claimed that he protested vehemently to the Ethics Committee that he did not wish to be involved, but the Ad Hoc Group did not find any convincing documentary evidence of such a protest. " (Note 84, page 31)
In its recommendations the ad hoc group asks the Board to consider
1. Whether Mr. Wolfowitz will be able to provide the leadership needed to ensure that the Bank continues to operate to the fullest extent possible in achieving its mandate.
2. To undertake a review of the governance framework of the World Bank Group with the aim of ensuring that it is capable of effectively dealing with the challenges raised for the institution. (page 52)
Wolfowitz's Girlfriend Resigns as his Girlfriend
Special to Newsweek
By Andy Borowitz
May 8, 2007 - In yet another setback for the embattled World Bank president, Paul Wolfowitz’s girlfriend, Shaha Riza, announced today that she was resigning as Wolfowitz’s girlfriend, "effective immediately."
Full story in comments
New York Times, Apr 17 2007
Unusual Trip to Iraq in ‘03 for Wolfowitz Companion
While he was Deputy Secretary of Defense, Wolfowitz ordered a private contractor, SAIC, to hire Shaha Riza to go to Iraq from April 25 to May 31, 2003. On her return, Shaha briefed the board about what she had seen in Baghdad, which raised concerns among some bank staff and board members about the capacity in which she had traveled to Iraq. At the time it was against bank policy for its officials to go there. It was not clear why the Pentagon specifically asked for Shaha to travel to Iraq. It is against staff rules for an employee to be paid by an external company like SAIC while on Bank payroll. Shaha’s lawyer, Victoria Toensing, says Shaha went as a volunteer and took a leave of absence from the World Bank, paying for her own benefits while she was on leave. Who has more on this? Where is the human resources paperwork?
Financial Times, April 15, 2007 -- Two sources told the Financial Times that Xavier Coll, the bank's senior human resources officer, was not consulted over the terms and conditions offered to Robin Cleveland and Kevin Kellems, former Bush administration officials who Mr Wolfowitz brought with him to the bank.
Ms Cleveland and Mr Kellems were given salaries of about $250,000 (£126,000) net of tax – the same amount paid to the highest ranked career bank officials, who typically have 25 years of development experience
World Bank policy is that the president has the authority to make an appointment at any level, but it would be normal for the head of HR to be consulted over the terms of such appointments, two sources told the FT. It is understood that mid-ranking HR officials were consulted over the appointments.
The FT's revelations are potentially damaging because they suggest that irregular processes over appointments under Mr Wolfowitz were not limited to his personal involvement in the Riza affair.
http://www.ft.com/cms/s/e7fea16e-eb81-11db-b290-000b5df10621.html
