Government Accountability Project (GAP): GAP Documents Show World Bank Staff "Outraged" Over Wolfowitz' Girlfriend's Raises
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FOR IMMEDIATE RELEASE
APRIL 5, 2007
4:26 PM
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CONTACT: Government Accountability Project
Bea Edwards, International Director
Phone: 202.408.0034 ext 155
Email: beae@whistleblower.org
or
Dylan Blaylock, Communications Director
Phone: 202.408.0034 ext 137, 202.236.3733 (cell)
Email: dylanb@whistleblower.org
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GAP Documents Show World Bank Staff "Outraged" Over Wolfowitz' Girlfriend's Raises
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(Washington, D.C.) – A news story broken using documents
obtained by the Government Accountability Project (GAP) showing that
World Bank President Paul Wolfowitz’ girlfriend, also a Bank staffer,
received salary raises far in excess of what Bank rules and protocol
stipulate has caused an uproar among Bank staff employees, as evidenced
by an internal Bank email from the World Bank Staff Association.
The
email, sent from the Staff Association to all employees on Tuesday,
states that “the Staff Association has been inundated with messages
from staff expressing concern, dismay and outrage.” Continuing, the
email reads “At the same time, we call on Senior Management and the
Board to clarify what appear to be violations of Staff Rules in favor
of a staff member closely associated with the President.”
A
copy of the email can be found on GAP’s Web site here:
http://www.whistleblower.org/doc/2007/World%20Bank%20Staff%20Association%20Email.pdf
Payroll data obtained from the World Bank show that Shaha Riza, a
Communications Officer who has been seconded to the U.S. State
Department, received a $47,300 (35.5%) raise (to $180,000) after
Wolfowitz arrived, followed by a $13,590 (7.5%) raise (to $193,590) in
2006. If World Bank staff rules had been respected, she was not to
receive percentage increases greater than 12% and 3.7%, respectively.
Her current salary of $193,590 is about seven thousand dollars more
than what Secretary of State Condoleezza Rice earns.
A copy of
the payroll data from the World Bank showing Riza’s raises is available
on GAP’s Web site here:
http://www.whistleblower.org/doc/2007/Riza%20Pay%20History.pdf
“It’s
ironic that Mr. Wolfowitz lectures developing countries about good
governance and fighting corruption, while winking at an irregular
promotion and overly generous pay increases to a partner,” said Bea
Edwards, GAP International Director.
When asked about Riza’s
raises, a spokesman for Wolfowitz stated that that action was taken by
the World Bank Board of Directors. Inside sources from the Bank have
stated unequivocally that this was not the case, that Board members
only learned of the raise from news reports, and that the members are
furious. Specifically, members of the Ethics Committee of the Board,
the relevant committee on this issue, have reported to GAP that they
knew nothing of these decisions. As the story has developed, questions
of fact regarding the authorization of the raises have emerged. The
Bank is unable to clarify who proposed and approved the irregular
promotion and subsequent raises for Riza.
The Bank’s Department
of Institutional Integrity (INT), which investigates fraud and
corruption at the Bank, under routine circumstances, would examine
personnel actions that improperly benefit a close friend of a senior
manager. According to the INT Web site, the department investigates “…
[A]llegations of fraud and corruption in Bank Group operations as well
as allegations of staff misconduct.” The site goes on to state,
however, “The Integrity Department reports its findings to senior
management, who in turn decide what measures should be taken.” This
means that INT must report any uncovered wrongdoing to Wolfowitz and
his direct aides. Because of this, extraordinary ad hoc measures must
be taken.
“GAP has worked hard to establish a whistleblower
protection policy and an impartial justice system at the World Bank,
and this situation illustrates clearly how crucial these structures
are,” said Edwards. “If whistleblower protections had been in place,
the Riza affair could have been addressed internally, but as it is, our
sources had no choice but to leak the information. An employee cannot
report potential wrongdoing to an investigations unit whose only
authority is to recommend corrective measures to senior management. In
effect, there is no impartial Inspector General in place, and no one is
authorized to address allegations of misconduct involving senior
management.”
Government Accountability Project
The
Government Accountability Project is the nation’s leading whistleblower
protection organization. Through litigating whistleblower cases,
publicizing concerns and developing legal reforms, GAP’s mission is to
protect the public interest by promoting government and corporate
accountability. Founded in 1977, GAP is a non-profit, non-partisan
advocacy organization with offices in Washington, D.C. and Seattle, WA.
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