Sarah Baxter in Washington
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THE British woman at the centre of a scandal that could force Paul Wolfowitz to resign as president of the World Bank has said that she is a victim of the controversy and that she was forced to change jobs against her wishes because of their romantic relationship.
Shaha Ali Riza, a bank official who was moved to the State Department with a large pay rise after Wolfowitz’s appointment, revealed her distress in a memo to an investigating committee.
“I have now been victimised for agreeing to an arrangement that I have objected to and that I did not believe from the outset was in my best interest,” she wrote.
Riza, a Libyan-born British citizen who was educated at Oxford, had worked for the World Bank for seven years when Wolfowitz became president. She had been his girlfriend for several years but bank rules forbid office romances. When she was transferred to the State Department she was awarded a pay increase of more than $60,000 to $193,590, more than the salary of Condoleezza Rice, the secretary of state.
Riza has told friends she is being used by employees of the bank to get at Wolfowitz, a former US deputy defence secretary who was one of the architects of the Iraq war.
In her memo to the bank’s committee, Riza complained about “vicious public attacks” and “personal pain and stress that my son and I have been subjected to, and the damage that this whole episode has caused me professionally, personally and psychologically”.
Wolfowitz’s hold on his job was slipping this weekend as finance and development ministers gathered in Washington for the World Bank and International Monetary Fund’s spring meetings. The bank’s 24 executive directors are expected to meet again today to decide whether to reprimand him or demand his resignation.
Hank Paulson, the US treasury secretary, offered only tepid support for Wolfowitz, saying he would not comment on what the board should decide. “This should not be read as any lessening of the United States’ support for Paul Wolfowitz,” he said. Pressed to endorse Wolfowitz’s continuing tenure he added: “I said what I said.”
Some ministers believe that Wolfowitz can no longer command the moral authority to demand an end to nepotism in the financial affairs of developing countries that he has criticised for corruption and poor governance.
Heidemarie Wieczorek-Zeul, the German development minister, said he should consider his position: “He has to decide for himself whether, in regard to this mistake, he can credibly fulfil his duties.”
One US administration official suggested that he might resign: “He could decide that his relationship with the staff and the board is so soured that he doesn’t have the trust he needs to go forward.”
Documents released by the bank last week revealed that Wolfowitz, 63, was directly involved in negotiating his girlfriend’s job transfer and pay package.
Two months after arriving at the World Bank he wrote a memo to the bank’s vice-president of human resources with the instruction: “You should accept immediately her offer to be detailed to an outside institution of her choosing, while retaining bank salary and benefits.”
Riza went to work with Elizabeth Cheney, the vice-president’s daughter, at the State Department, fuelling accusations of favouritism.
It is an uncomfortable charge for Wolfowitz, who arrived at the bank determined to root out graft involving loans to developing nations.
He declared that the bank’s mission was “to send children to school, to help mothers to be healthier, to provide jobs for poor people, not to have resources siphoned off”.
Contracts worth hundreds of millions of dollars were suspended, leading some officials to accuse him of overstretching the mark.
Wolfowitz said last week that he had been wrong to influence decisions about Riza’s job. “I made a mistake, for which I am sorry,” he said.
Employees of the bank chanted for Wolfowitz to “resign, resign, resign” when he appeared before a meeting of the staff association. But some employees said they were embarrassed by the student-like demonstration.
David Frum, a former speechwriter for President George W Bush, said Wolfowitz might have become involved in the details of Riza’s job transfer because he feared that she would be adversely affected by her relationship with him.
Wolfowitz is the latest neoconservative to run into trouble after “Scooter” Libby, Dick Cheney’s former aide, was found guilty of perjury.
Michael O’Hanlon, a foreign policy expert at the Brookings Institution in Washington, said: “It was amazing that the Bush administration would put a guy who was a symbol of American arrogance in charge of a multilateral institution.”
O’Hanlon recalled that Robert McNamara, the defence secretary during the Vietnam war, had also become president of the World Bank. “Why should the reward for losing a war be getting the leadership of the bank?” he asked. Wolfowitz may be reflecting this weekend that it has not proved to be much of a reward.
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Fortunately, US still have well educated, thoughtful intellectuals to lead this nation with good ethics and respect for civilisation. American people are going through an extremely difficult test of history for re-electing, against all evidence of lies, cynicism and political vendetta, a batch of ruthless, money-mongered philistines to lead the most powerful nation. Their god gives them license to go ahead and butcher hundreds of thousands of innocent Arabs including children, women, and old defenceless folks in the name of war against terrorism. If this theory of combatting terrorism holds, why is Tony Blair forced to relinquish premiership with tail between legs? This is a palpable demonstration that Europe, and even some developing nations, are light years ahead of US, when it comes to thinking, judging and making crucial, historic, socio-political decisions on a democratic plane. The bitter pills went down our throats and we are cautioned by God. More is to come.
Deguenon, Charlotte, USA / NC
OUT. He should be sorry. I find her 'victimization' Spiel to be hilarious. As if either of them actually contribute anything to society? The World Bank has long fallen out of favor with all serious economists as an ineffective , poorly-run scham. He needs to go. And she needs to find herself a job (what's a Brit doing in our State Dept?) in the UK. Aufwiedersehen.
and by the way, i've heard Elizabeth Cheney speak- if her Dad weren't the president, she'd be asking the question: "paper or plastic?"
Anastasia, New York, USA
These kind of people always want their cake and to eat it too; everything must be to their convenience. World Bank rules are clear in their prohibition of romantic relationships in the work place. The clear solution from the outset would have been for Wolfowitz to decline the appointment or for Ms. Risa to leave her position. But no, they never even considered it; that kind of personal compromise is only for the little folks. The world must move to accommodate these people's ambition and privilege rather than their having to play by the rules that govern others. Isn't their love worth a little sacrifice?
Anneliese, Washington, DC, USA,
Paul Wolfowitz is a typical phoney like many of the current or former senior members of the US Government. If what you the Washington Post and the press had published is 100 per cent accurate and I believe it so, he must give up his job at the World Bank right away. The double standard of morality with this people, who started the tragic intervention in Mesopotamia, knowing quite well that they were lying to the American people and to the world, as Robin Cook said to the British House of Commons on March 17, 2003, does not surprise me. But if this man who was an outstanding academician, is behaving in such shameful way in the World Bank does not resign, the board must fire him today not tomorrow. He had proclaimed to everybody that his main task is defeating corruption inside the World Bank, and corruption overseas, where the Bank is investing in official projects. Many of them were used for other purposes by crooked administration from Asia, Africa to Latin America. But how the people will believe in his words? When he is acting in such outrageous way. Wolfowitz is asking to do what he says, but not what he does. Again, he must be dismissed.
Louis A. F. v. Wetzler, Buenos Aires, Argentina
I would have thought to be able to work for the State Dept, one would have to have been a US Citizen, yet according to all Press reports I have read, Ms Riza is a British citizen. It may well be, though I have not seen it published, that she is also a US citizen. However, I suspect that some face saving move was agreed between the US Government and the World Bank to get over the problem of both Wolfowitz and Ms Riza both working for the World Bank, and this was done without regard to Ms Riza's nationality.
Don A Munro, Brisbane, Australia
The most disturbing thing about this whole World Bank internal spat is where is the Bank's Work product? Hosting conferences is not a work product; that is just a sideshow where a selected few meet to discuss how best to marshall resources to then put out actual work product. Without the followthrough of putting out the work its a waste of taxpayers/government's money around the world. Also the White House already has one government of its own to manage, so why are there now three former Bush officials in its highest positions(Wolfowitz and two White House senior staff appointees?) This is far bigger a question than the usual quasi-neopotism going on with all our dollars/euros/yen/bot/rubles/yuan etc. Does the US need even more shadow government proxies? Where is their work product? What has been accomplished?
Brian, Los Angeles, USA
I'm sure she is highly qualified at her job. It makes sense that she should have transfered to the State Department, but to make more than the Secretary of State is obscene. It seems impossible that she did not know that her boyfriend was negotiating for a higher salary, which both should have known would lead to some ethical violation. If the whole point of not having romances within the World Bank is to prevent something like this from occurring i.e. abuses of power, than Wolfowitz, in interfering with the transferring process, undercut the aim of such policies. He could have just left the people who were supposed to handle it do so without his influence and input. He doesn't seem like much of a strategist: he is 0-2 if counting the Iraq war.
Tacuma Peters, Berkeley, California
Why is anyone surpised by the actions of Wolfowitz? He comes from the GW Bush, "culture of corruption". His corrupt wolrd is crumbling as the new Senate & House are digging into the WH . The stench and filth is almost overwhelming.
James Vernon, Birmingham, Alabama, USA
Thomas - World Bank employees (for some crazy reason) do not pay US tax. And lets face it the poor dear is only on $193k a year - she cannot afford tax! She has to keep up appearances of being a gold digger and that all costs money you know!
Graham, Washington DC, DC
I think Wolfowitz should not only resign, he and his girl friend should return all the ill gotten money to the World Bank so that the real beneficiaries of the World Bank will benefit.
Sunil R, Colombo, Sri Lanka
I wonder if those who are shocked, amazed and appalled by wolfowitz had the same reactions to the appalling scandals of the UN which have sucked taxpayer money for years. I for one would like to see a vast scaling down of all of these "multi-lateral" institutions which have become feeding troughs for the elite.
bernard ross, St. Anns bay, jamaica
At least Mr Wolfowitz apologised. I don't recall seeing any apology from Mr Nifong, whose transgressions were considerably more evil.
Jonathan Wilton, Singapore,
Why are we supposed to care about this rubbish? In the scale of things, whether Wolfowitz has had to apologise for getting his girlfriend a fat pay rise or not - matters not. Given that he is not apologising for his 'mistake' - the one that has led to the deaths of hundreds of thousands of Iraqis and hundreds of soldiers American and British is rather more salient, don't you think!?
Virginia MacFadyen, London, UK
Wolfowitz, Scooter Libby, Karl Rove, Rumsfeld, Cheney, and Bush. What a bunch! Is it really a surprise that some of this lot have been caught involved in illegal activity? Given the illegal and cowboy nature of the Iraq war, it is not surprising to me that they are one by one being publicly outed to be a bunch of self righteous hypocrites.
They rich people get one kind of justice in the "land of the free", if they were working class African Americans, they would all be behind bars by now.
akram, London,
The curse of Iraq war is piling high on neo-cons. Their ideology of ruling the world with brute force is crumbling one by one right in front of our eyes. What a pitty !
Sam , Los Angeles, USA
My prediction is that Mr. Wolfowitz will not resign. He will smugly and insincerely repeat his apologies, knowing well that his resignation need only be tendered if asked for by the President who had appointed him. The arrogant attitude that has lead to the incident, and his token "I'm sorry", indicate how little respect he holds for the institution of the World Bank or for other similar foreign policy tools, and how little he identifies with their mission. Why would he, given his preference for less delicate approaches, such as armed intervention?
Dorota Raciborska, Washington, DC
can anyone answer why this woman does not pay income tax on$ 193,000.
also ,if she is paid in u.s. dollars is she paying into social
security.
please give me some answers.
thomas a.dimicelli, toms river, new jersey,usa
The higher the RISE the farther they have to fall--Looks like the will fall toghter--Maybe they will land in each others arms to cusion the fall--If it was not for women men would never have the problems they do--If it were not for men women would not have the problems they do either!
R.R.R., Ridgefield Wa., Wa.
What kind of expertise that she have that pays $193K other than being Woffowitz girlfriend. What surprises me also, is that she was moved to Cheney's daughter's office. Convenient way of making more at the expense of the government. This tells me something. Corrupt, corruption and more corruption.
Typical of GWB's administration.
marc, ontario, us
The ethics committee recommended His girlfriend be removed because he had nominal authority over her position. Riza was removed because of him so he did the best he could for her.
Alladin Abdul, New York,
I'm not surprised at Mr. Wolfowitz's moral ineptitude. That's the kind of thing that happens when you think you know everything, and pride goes before a fall. As for the impugned lady, I suppose all that money doesn't help her conscience or peace of mmind one whit. Instead she got whored out of a job she enjoyed, for the sake of a man whose credibility is failing by the day, thanks to a failed war in Iraq. It seems for all their money, they are both losers.
John Graham, Dallas, TX
What could the girl friend do that is possibly worth 193,000 dollars a year?
Bernard, Muscat, Oman
The blatant disregard for policy and procedures displayed in this fiasco by both Mr. Wolfowitx and his girlfriend only strengthen my concern that his selection was not in the best interst of the bank but merely a cushy appointment for another ' one of the boys'. The subsequent behavoir of both only reinforces my view that they are now, more than ever, incapable of commanding any respect or moral authority for the task at hand.
Haydn Lakhan, Curepe, Trinidad & Tobago W.I.
Secondment in other institutions for limited periods is common for World Bank staff, and even supported as a carreer booster. There are formal internal rules governing it, which all employees have to acknowledge when taking such assignment. They definitely DO NOT include lavish salary and grade increases. Shaha Riza is not a victim, rather a "partner in crime" from the moment she knowingly accepted the sweet deal. Both should go!
Hannelise G., Smallville, US
When I think of Mr Bush, Wolfowitz, etc, I remember one word from my bible
Pharisees
Cazier, Paris, France
Why is it that if neo cons and right wingers who are found to be either corrupt, liars or racist or all three, think it's ok that if they say "sorry", this will expunge them from being morally reprehensible ?, and as such do not feel it necessary to step down voluntarily from their over paid jobs...two such cases this week with Don Imus and now Wolfie who could not and cannot do the right thing by hanging their heads in shame and leaving the high profile posts they grossly abused with some humility...but then again I must be deluded to think that right wingers know what humility is. In Wolfie's case who is appointed by and is more used to the unilateralism of the corrupt and repugnant Bush adminstration, it's not at all a surprise that he has acted in the way he did.
Behrang, Naperville, , IL, USA
Is this leading by example? If it is, we are in a world of hurt.
Roger ruiz, Fairbanks, Alaska USA
It is a shameful abuse of power. Unfortunately for Wolfowitz apologies are not enough to put Humpty Dumpty together again. Good riddance!
Frank, Toronto,
I suggest the obvious:
1. Increase oversight of the World Bank;
2. Discharge Wolfowitz and his girlfriend immediately; and
3. Discount O'Hanlon's opinions, and the opinions of other partisan hacks, on serious matters
Sincerely,
Jeff Paetkau, Sonoma, California
Whatever Wolfowitz intended in his promotion of his girlfriend, her response of Poor me I am being victimised is whinging. Millions either loose or are forced to change their jobs for reasons outside their control, few are rewarded so lavishy.
As a staffer of long duration she should have known that a romantic link to a higher ranked employee, especially the one to whom all employees are responsible, would require she move out. That she got to choose where and on what conditions should have been enough. To recieve gratuitous promotions and salary increases is nepotism at the level expected of the savants of the current US administration. She did not loose her continuity of employment with the World Bank, it still pays her wages, so when her beau goes presumably she will return to her beloved former position and salary, not likely mate.
Lets see if her devotion to her former career path overrides her salary package when Wolfowitz goes.
Geoff Morgan, Hobart, Tasmania Australia
10 seconds after Riza cashed her first increased pay check she stopped being a victim. Fact is if she had gotten a 6% raise none of this would have happened. If the recommendation of the ethics committee had been simply sent to the board for action, none of this would have happened. How many other people in the history of the Bank have been given a raise of $60,000?
The scandal is clearly of Wolfowitz's making and he should pay the price.
The best that can se said is that in this case nobody died and what else would you expect from a Bush buddy.
Sayer, New York City, USA
He should step down(out)voluntarily to stop further damage to the bank.
Herman Clark, Bonita, USA/CA
I am amazed at the arrogance of people like Wolfowitz. Of course he now apologizes but that does not alter the fact that he basically thinks he can do no wrong. His part in the promotion of the war in Iraq is also not a sign if sound judgment. Some of his machination as head of the world bank are also open to question.
He would be smart to resign rather than wait to be fired.
Otto Schiff, Carmel, California USA
riza, seriously- you're going to cry about psychological damage done to you because you were moved to a position and paid double what you should have been paid? go use take your 200 grand and get a therapist if it's that distressing. it's not like no one saw this one coming. the bush administration has been a huge source of scandal and embarrassment for the past seven years. i wouldn't go near it- to date and work with someone with strong connection to that deplorable administration brings a risk of something like this happening. agreeing to take a pay raise and a job you know shouldn't be yours is begging for scandal. don't act like a victim. you graduated from oxford, so clearly you have some intelligence. try using it to make better judgments.
becky, Lincoln, USA
I believe Wolfowitz came to the World Bank with his agenda in hand, including his idiosyncratic definition of corruption which he applied as he saw fit. This was precisely his approach to making policy after the fall of Baghdad with the result of laying the groundwork for the chaos that followed.
It must take a healthy dose of arrogance every morning when he gets out of bed to repeat the same management style at the World Bank, and a selective memory to avoid considering the effects he visited on the hapless Iraqis in his previous job.
If he stays at the World Bank there will be more shoes thrown into the machinery as he continues applying his chosen methods.
Marshall , Wilson,
Riza certainly has a right to love who ever she wants. The public also has a right ethical conduct by elected and appointed officials.
Because of poor common sense and miss-handling of the World Bank appointment from the beginning, this appears to be another of many scandals that surround the G W Bush administration. It is regrettable that the 2000 electoral plurality was neutralized by with cagey political maneuvers, the results of which manifest as continued embarrassments to many Americans.
Marv, Bakersfield, USA/CA