US qualifies defence of Wolfowitz

WASHINGTON – The United States stood by World Bank president Paul Wolfowitz, without rising to defend its appointee, who violated bank ethics rules in arranging a sweet pay deal for his companion.

A World Bank ethics panel found Wolfowitz breached bank rules after nearly a month of controversy following revelations of the lavish salary and benefits he arranged for his companion and bank colleague. “We still support president Wolfowitz,” White House spokesman Tony Snow said Tuesday.However, President George W Bush’s administration sought to distance itself from the affair for the first time Tuesday.Snow dodged a reporter’s question about whether Bush was insisting that Wolfowitz should keep his job.”These are conversations really that have been conducted at the World Bank.The president is not getting directly, personally involved to my knowledge,” Snow said.The US State Department complained the scandal could undermine the bank’s critical mission to help the poor.”The issue of development and poverty alleviation around the world is too important to allow us to be distracted by these proceedings that are ongoing internally to the World Bank,” State Department spokesman Sean McCormack said.Nearly a month after the accusations rocked the 185-country development lender, a World Bank ethics panel unequivocally found Wolfowitz breached bank rules, a European source said.”The committee concluded clearly that Mr.Wolfowitz did not respect the rules,” the source, with knowledge of the situation and speaking on condition of anonymity, told AFP.The panel completed its work late last week and gave its findings to Wolfowitz late Sunday, the European source said, although the ethics panel has not made an official statement, awaiting Wolfowitz’s reply.”He has until today to respond,” the source said.The two documents would then be transmitted to the board of directors.Wolfowitz, 63, is accused of improperly orchestrating a promotion and a pay raise for his companion, Shaha Riza, a fellow bank employee, after taking the helm of the multilateral bank in June 2005 promising to clean up corruption in borrower nations.Bank rules prohibit managers from supervising employees with whom they have such a relationship.In his defence, the former Pentagon deputy and architect of the US war has insisted he acted with complete transparency with the board and denounced what he called a politically motivated “smear campaign” to drive him from office.The ethics scandal threatens the bank’s ability to raise funds to fulfil its mission of alleviating global poverty.The deadline for a response drew fire from a lawyer representing Wolfowitz, who condemned his client’s “unfair” treatment in the bank investigation and “harmful” leaks about its conclusions to the media.Nampa-AFP”We still support president Wolfowitz,” White House spokesman Tony Snow said Tuesday.However, President George W Bush’s administration sought to distance itself from the affair for the first time Tuesday.Snow dodged a reporter’s question about whether Bush was insisting that Wolfowitz should keep his job.”These are conversations really that have been conducted at the World Bank.The president is not getting directly, personally involved to my knowledge,” Snow said.The US State Department complained the scandal could undermine the bank’s critical mission to help the poor.”The issue of development and poverty alleviation around the world is too important to allow us to be distracted by these proceedings that are ongoing internally to the World Bank,” State Department spokesman Sean McCormack said.Nearly a month after the accusations rocked the 185-country development lender, a World Bank ethics panel unequivocally found Wolfowitz breached bank rules, a European source said.”The committee concluded clearly that Mr.Wolfowitz did not respect the rules,” the source, with knowledge of the situation and speaking on condition of anonymity, told AFP.The panel completed its work late last week and gave its findings to Wolfowitz late Sunday, the European source said, although the ethics panel has not made an official statement, awaiting Wolfowitz’s reply.”He has until today to respond,” the source said.The two documents would then be transmitted to the board of directors.Wolfowitz, 63, is accused of improperly orchestrating a promotion and a pay raise for his companion, Shaha Riza, a fellow bank employee, after taking the helm of the multilateral bank in June 2005 promising to clean up corruption in borrower nations.Bank rules prohibit managers from supervising employees with whom they have such a relationship.In his defence, the former Pentagon deputy and architect of the US war has insisted he acted with complete transparency with the board and denounced what he called a politically motivated “smear campaign” to drive him from office.The ethics scandal threatens the bank’s ability to raise funds to fulfil its mission of alleviating global poverty.The deadline for a response drew fire from a lawyer representing Wolfowitz, who condemned his client’s “unfair” treatment in the bank investigation and “harmful” leaks about its conclusions to the media.Nampa-AFP