Wolfowitz: SWIFT Transfer to Private Life?

A sexual relationship between a staff member and his/her direct report, or direct or indirect manager or supervisor is considered a de facto conflict of interest. The manager/superior shall be responsible for seeking a resolution of the conflict of interest, if need be in consultation with management, who will take measures to resolve the conflict of interest. Failure to promptly resolve the conflict of interest may result in a finding of misconduct.” — World Bank Ethics Committee, Staff Rule 3.0 1, paragraph 4.02

World Bank Board Agrees to Move Expeditiously Over Wolfowitz Flap (W$J): The staff association wants the World Bank president to resign, while the board’s debate over disclosure further strains the Anglo-American special relationship.

Releasing more than 100 pages of supporting documents, the board said that not long after taking office in 2005, Mr. Wolfowitz directed the Bank’s vice president for human resources in writing to approve a generous pay-and-promotion package for his friend, Shaha Riza. Ms. Riza was detailed to work at the U.S. State Department, while remaining on the World Bank payroll, a move aimed at eliminating a conflict of interest created by Mr. Wolfowitz’s appointment.

World Bank officials working at the State Dept. while continuing to report to a former senior Pentagon “defense intellectual” is their idea of how to maintain a conflict-free and autonomous multilateral financial institution?

Boneheaded lies in the best tradition of Bubba and Beto Gonzalez:

The board said neither its ethics committee nor the bank’s general counsel were informed of or approved the details of the arrangements. At the end of March, The Washington Post quoted Mr. Wolfowitz’s spokesman, Kevin Kellems, as saying, “All arrangements concerning Shaha Riza were made at the direction of the bank’s board of directors.”

As I understand it, the board suggested that Wolfy consult with the Ethics Committee. He did not.

Statement:

In a statement issued early Friday morning, the board — which is composed of 24 executive directors representing the countries that are the World Bank’s members and owners — said, “The Executive Directors will move expeditiously to reach a conclusion on possible actions to take. In their consideration of the matter, the Executive Directors will focus on all relevant governance implications for the Bank.”

The “making of” the statement:

The release of the statement followed a heated board debate Thursday over how to handle the controversy, which has come to a head as the World Bank convenes its spring meetings today in Washington. Behind closed doors, representatives of several European nations, led by the U.K., pushed for wide and immediate disclosure of all details of the controversy. Bank officials said the U.S., among others, resisted, favoring more limited release.

The Gordian knot:

Mr. Wolfowitz cut through the board debate late Thursday, asking that “all documents related” to the imbroglio be released “in the interest of transparency.”

“Imbroglio” is such a lovely word.

Mea minima culpa:

The maneuvering came after Mr. Wolfowitz apologized early Thursday for acting on behalf of his friend, and the bank employees’ Staff Association said employees had lost faith in his ability to lead and demanded his resignation.

But not that this is not the only matter in which Wolfowitz has been found to be less than adequately truthful: See Wolfowitz contradicted on family-planning claim.

Despite denials by World Bank president Paul Wolfowitz on Thursday, newly disclosed internal documents indicate that the bank may, in fact, have reversed a long-standing policy of promoting family planning on his watch.

Comedians could have a field day by mating the two factoids. Wolfboy had told NPR that the “rumors” were untrue, and the World Bank policy remained unchanged.

But according to an internal email made public by the Government Accountability Project (GAP), a Washington-based whistleblower-protection organisation, MD Juan José Daboub — an appointee of Wolfowitz and a man known for his conservative stance on family issues — had in fact instructed a team of bank specialists to delete all references to family planning from the proposed Country Assistance Strategy (CAS) for the African nation of Madagascar.

Hey hey, ho ho, Paul Wolfowitz has got to go:

“The president must acknowledge that his conduct has compromised the integrity and effectiveness of the World Bank Group and has destroyed the staff’s trust in his leadership,” Alison Cave, chairwoman of the bank’s employee union, told staff. “He must act honorably and resign.”

BICUSA, a World Bank watcher, posted the staff account of events, as the head of the staff association held a meeting:

Members of the audience were then given an opportunity to ask questions to Ms. Cave and to express any comments they had about the situation. Of the approximately 100-150 people in attendance, one staff member said that “the situation has bothered me to the depths of my core” while another described what was happening as “PR warfare.” Yet another staff member said that “for the last year and a half we have been tolerating a betrayal of trust.”

A “dramatic turn of events”:

In a dramatic turn of events, Mr. Wolfowitz appeared at the bottom of the stairs below which Ms. Cave was answering questiong. Ms. Cave recognized the President and invited him to say a few words on his behalf. Mr. Wolfowitz said that he was “constrained to talk about the details” of the situation and that his “biggest mistake was that I didnt try hard enough to stay out of it” in reference to Ms. Riza’s external assignment. Finally, Mr. Wolfowitz stated that “I will abide by any remedies the Board proposes.” As Ms. Cave rebutted his comments members of the crowd began chanting “resign”. Visibly uncomfortable, Wolfowitz left with his advisors while Ms. Cave continued taking comments and questions.