Ana Palacio signed a letter published in yesterday's International Herald Tribune as "former foreign minister of Spain", not in her current capacity as World Bank General Counsel.
Why Ana? Are you planning on moving on from the Bank soon? (say it ain't so!). The letter was addressed to "the Turkish people from their European friends" on the topic of EU accession. Do the Turks really need a friend like you, Ana?
The report issued by the Bank's Board this week shows clearly that Paul Wolfowitz intentionally abused his office for the benefit of his girlfriend and then attempted to cover up his actions. His claims of acting in good faith and "making a mistake" don't jibe with what the ad hoc group found. Here is a round up of some of our favorite pieces....
Wolfowitz knew that it was outside the rules.
Mr. Coll (head of human resources): I raised the issues that these were outside the Staff Rules on several occasions. And given the fact that they were outside the Rules, I requested that the instructions were written (annex 10, pg 39, lines 14-18). Mr Coll: There is no doubt that the President knew or had been made aware of by me that this was outside the Rules (annex 10, pg 41, lines 15-17).
Wolfowitz actively sought to conceal the terms of the arrangement.
[A] decision by was taken by Wolfowitz not to consult the World Bank General Counsel or any other member of the World Bank Legal Vice Presidency.
The Group also finds that Mr. Wolfowitz not only took this decision, but that he directed his Vice President for Human Resources, Mr. Coll, not to consult with Mr. Danino or anyone else in the Legal Vice Presidency despite Mr. Coll's expressed desire to do so (main report pg 35, para 98).
The idea that the General Counsel could not advise both the Ethics Committee and the President defies logic, as the Ethics Committee and the President share the same interest which is to protect the institution from legal and reputational harm (main report pg 36, para 100).
Wolfowitz threatened retaliation.
Mr. Coll: And he also told me that, in no uncertain terms, that--to tell friends, people like Shengman, Rathbani [ph.] and Jerry Rice to get out of his way and stop attacking him. And he asked me to tell my friends to stop doing that. And he also stated very clearly that if these people fuck with me or Shaha. I have enough on them to fuck them, too. Those were the words (annex 10, pg 68, lines 17-22 & pg 69, lines 1-2).
The Board resumed its deliberations at 2 pm today after a short break for lunch. It was not clear what the subject of its deliberations would be for the afternoon.
AFP: US President George W. Bush expressed "regret" over the favoritism scandal engulfing World Bank president Paul Wolfowitz as the bank's board deliberated his fate for a third straight day.
"I applaud his vision, I respect him a lot, and I regret it's come to this," Bush said in answer to a reporter's question about the embattled head of the poverty-fighting development lender. See comment for full story
Karl Jackson, has reportedly told numerous World Bank and diplomatic pals of his that "Paul has no plan. Everything is ad hoc, reactive -- first we go this way, then we go that." If his friends are saying that, imagine what Wolfowitz's enemies think. Read more.
"He sounds like Tony Soprano," a British columnist wrote of World Bank President Paul D. Wolfowitz's angry threats to "fxxx with" World Bank senior staff members. To one blogger, Wolfowitz sounds like Richard Nixon.
Wonkette, The DC Gossip continues to follow the story with Wolfowitz to Resign and Spend More Time on his Lawn.
And, in all seriousness, Japan still supports Wolfowitz. Reuters
May 17 (Reuters) - President George W. Bush said today that World Bank President Paul Wolfowitz has an interest in doing what is best for the bank, but declined to comment on his future at the institution.
As the World Bank's board was meeting behind closed doors to discuss a possible deal in which Wolfowitz would resign, Bush said, "I regret that it's come to this."
"All I can tell you is Paul Wolfowitz has an interest in what's best for the bank," Bush said at a news conference with British Prime Minister Tony Blair. See comments for full story.
Washington Post- Wolfowitz Hangs On As Ouster Hits Wall; Day-Long Standoff Ends Unresolved; Talks to Resume
New York Times- Wolfowitz said to push for deal to let him quit
WSJ- Wolfowitz Exit Wouldn't End World Bank Woes --- Policy, Succession Fights Loom as Besieged Chief Starts Endgame Talks
Financial Times- Wolfowitz working on resignation deal
Washington D.C. May 16, 2007 -- The Board of Executive Directors of the World Bank adjourned this evening saying that they were continuing to discuss the report of the ad hoc group and its recommendations, and had not been negotiating an exit deal for Paul Wolfowitz. They will reconvene at 9 am Thursday.
"We spent the entire afternoon discussing the report. We did not talk about exit terms or deals for Wolfowitz," said a Board member who had been present. Wolfowitz was not present at today's board meeting.
"We have a process and we are continuing with that process," said the Board member.
The adjournment was followed by a statement from Robert Bennett, Wolfowitz's lawyer, who said Wolfowitz will not resign under the current "cloud" and would rather push the matter to a vote of the bank's board to clear his name.
"Mr. Wolfowitz will not resign under this cloud and he will rather put this matter to a full vote," Bennett told Reuters.
In what appears to be a carefully timed attack, the worldbankpresident.org blog has been taken off line by unknown parties. The site, established two years ago to track the selection process which resulted in Wolfowitz's appointment, has been a mecca for journalists, activists and others seeking up to date and inside information on what is happening to the World Bank president.
See comment for full story
WASHINGTON, May 16, 2007 (AFP) - World Bank directors were meeting today to discuss the fate of president Paul Wolfowitz amid reports a compromise deal had been reached to pave the way for his resignation over a damaging favoritism scandal... ABC News reported, citing bank officials, that Wolfowitz was near an agreement to resign, perhaps as early as Wednesday, in a face-saving compromise deal. See comments for full story
This urgent recommendation is backed by 185 signatures. To add your name to the list, email Jamie Baker at jbaker@new-rules.org.
The convention that the US government designates the president of the World Bank should be abandoned and replaced with selection procedures that reflect two key principles: transparency of process, and competence of prospective leadership without regard to national origin.
See comments for full letter and list of signators
May 16 2007-World Bank officials say the bank's board is completing an "exit strategy" that will allow World Bank President Paul Wolfowitz to resign this afternoon and "still save some face"... The decision is likely today, officials say, because Wolfowitz had been scheduled to leave tonight for a European trip.
"This is a desperate attempt by the United States to buy time. They know he has to go and they just need some time to get it right," said a board member.
US Executive Director Eli Debevoise told the Board, "We need more time to think through the issues."
REUTERS MAY 16- The World Bank board, considering a panel's report critical of bank President Paul Wolfowitz, has adjourned until 2:30 p.m. (1830 GMT) at the request of the United States, bank and board sources said today.
May 16 (Bloomberg)-- South African Finance Minister Trevor Manuel said "there should be a parting of the ways" after an investigation found that Wolfowitz had violated conflict-of-interest rules... "I think we must live with the decision by the executive board," Manuel said in an interview in Shanghai, where he is attending the annual general meeting of the African Development Bank. "It's unfortunate but c'est la vie."
