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09 May 2007 Blog Home : May 2007 : Permalink

Wolfowitz vs Pillock-Brown

Melanie Phillips has commented on the Wolfowitz World Bank "Scandal" and links to two articles that add fuel to my suggestion yesterday that the scandal is being pushed by the corrupt and/or their defenders. The most interesting in that regard is in Canada's Financial Post. First the article explains that currently the World Banks major competitive advantage appears to be that it doesn't ask nasty questions about how the money it lends is spent

But the bank has had one competitive advantage that no private-sector Western lender can match -- a willingness to lend large sums to corrupt Third World administrations with few governance strings attached. Wolfowitz's arrival in 2005, and the anti-corruption measures he has brought in, have jeopardized that advantage big time, as seen in a chilling memo the bank received on March 12 of this year.

The e-mail memo, entitled "Sanctions Reform Roll-Out in EAP [East Asia and Pacific Region] -- Your Feedback Needed," was from the manager of the bank's operation in China, Hsiao-Yun Elaine Sun, to James Adams, vice-president for East Asia and Pacific Region. It warned that the bank could lose its second-largest customer, the Chinese government, if it insisted on carrying through with its intention to hold borrowing countries to account for World Bank monies that were used inappropriately.

China's Ministry of Finance (MOF) "is very concerned about the implementation. They foresee potential disagreements as to the scope, level, and approach of the bank's involvement on specific cases. Our MOF counterpart is so worried and is considering to suspend the lending program discussions next year ? in order to avoid getting into a confrontational situation with the bank."

Losing a large borrower like China, which has some US$21-billion in outstanding loans and credits with the bank, and accounts for close to 10% of the bank's total portfolio, would lead to significant staff layoffs. Moreover, at least three other countries -- India, Mexico and Indonesia --have also expressed alarm at the bank's anti-corruption program, which would make their officials subject to investigation and exposure. These four countries alone, ranked first, second, third and fifth in size among bank customers, account for 30% of all World Bank business.

In other words when I said that the World Bank Staff Association was likely interested in defending the corrupt I was understating the case. And the Financial Post points out the all the leakage occured shortly after the memo noted above was circulated. If it were anyone other that Wolfowitz the lefty conspiracy theorists would be all over this questioning the timing.
mizaru kikazaru iwazaru
The other article, in the WSJ, talks about the apparent influence of a certain G Soros on the "scandal" and about the tenant and new employee of this G. Soros, a man know as Mark Pillock Brown. Mr Pillock Brown is a fellow alumnus of Magdalene College, Cambridge but is better know for his more recent job as chief of staff to a certain K Annan. Unlike Mr Wolfowitz, the Pillock seems to be like those famous monkeys "Mizaru Kikazaru Iwazaru" with regards to corruption to do with organizations under his purview:

"Not a penny was lost from the organization," he insisted last year, following an audit of the U.N.'s peacekeeping procurement by its Office of Internal Oversight Services. In fact, the office found that $7 million had been lost from overpayment; $50 million worth of contracts showed indications of bid rigging; $61 million had bypassed U.N. rules; $82 million had been lost to mismanagement; and $110 million had "insufficient" justification. That's $310 million out of a budget of $1.6 billion, and who knows what the auditors missed.

Mr. Malloch Brown also made curious use of English by insisting that Paul Volcker's investigation into Oil for Food had "fully exonerated" Mr. Annan. In fact, Mr. Volcker's report made an "adverse finding" against the then-Secretary-General. Among other details, the final report noted that Mr. Annan was "aware of [Saddam's] kickback scheme at least as early as February 2001," yet never reported it to the U.N. Security Council, much less the public, a clear breach of his fiduciary responsibilities as the U.N.'s chief administrative officer. Mr. Malloch Brown described the idea that Mr. Annan might resign as "inappropriate political assassination"--a standard he apparently doesn't apply to political enemies like Mr. Wolfowitz.

Oh and guess what? the WSJ thinks that Mr Pillock Brown might prefer to be President of the World Bank that Vice President for Tranzis at the Quantum Fund (prop. G. Soros).

It seems to me that, as with the UNSCAM, despite limited and biased MSM coverage, this World Bank affair may end up shining more light in shady corners of the Bank than in embarrassing Mr Wolfowitz. This seems to be particularly likely since, like the UN, the world bank bigwigs seem to think that secrecy is a good thing.

Our sources who have seen the committee's report tell us it is especially critical of Mr. Wolfowitz for daring to object publicly to the committee's methods and thereby bringing the bank's name into disrepute. The Europeans running this Red Queen proceeding prefer that they be able to smear with selective leaks without rebuttal.

The more I read of this affair the more I think that the Wolrd Bank has outlived its usefullness and should be shut down as it isn't providing any service that cannot be done equally well by someone else. Sure this might cause a little hardship for 10,000 well paid tranzis but it seems unlikely to cause any harm to the poor and downtrodden.

On that note, the BBC reports that the World Bank seems to be good at reports stating politically correct blather:

According to the World Bank, Israeli-imposed security arrangements in the West Bank remain at the root of its economic problems, with unemployment levels high among its 2.5 million Palestinian residents

It says the territory has been fragmented into 10 isolated enclaves, in contravention of agreements between the Palestinian Authority and Israel designed to guarantee the free movement of people and goods.

Israel argues that travel restrictions, which take the form of roadblocks, wire fencing and concrete walls, prevent suicide bombers from attacking its cities.

But the World Bank said the prevailing conditions were preventing Palestinians from finding jobs and setting up businesses, effectively strangling the economy.

Graciously the World Bank did acknowledge "legitimate Israeli security worries" but feels that should find a different way to stop attacks because this way is too effective disruptive. Only in Palestine, it seems, are economic sanctions not a viable alternative to war.

I despise l'Escroc and Vile Pin