Scandal At The IMF

[msmortgagewiz]

Scandal At The IMF: Senior Economist Resigns,

Says "Ashamed To Have Had Any Association With Fund At All"

Submitted by Tyler Durden on 07/20/2012 14:58 -0400

The rats everywhere are now jumping furiously off the titanic, but few had taken the time to write a letter explaining in detail just how cracked and broken the hull really was. This has now changed, with the departure of Peter Doyle, formerly a division chief in the IMF’s European Department responsible for non-crisis countries and currently an adviser to the Fund. Not content with quietly slinking off the scandal ridden organization which has become the butt of all jokes in the international community, where humor about Lagarde's Louis Vuitton panhandling bag is as pervasive as punchlines about just how incompetent the organization is at actually doing its duty, Doyle has penned the following scathing letter which tears down every myth about the IMF: from its impartiality, to the selection process of its head, to its effectiveness. The letter also contains the following gem: "After twenty years of service, I am ashamed to have had any association with the Fund at all." Pretty much says it all. This is a scandal in the making, and one which may shake to the core the credibility of the IMF in the context of international organization.

http://www.zerohedge.com/news/scandal-imf-senior-economist-resigns-says-ashamed-have-had-any-association-fund-all

Full letter (pdf)

European Department

Washington DC

June 18, 2012

To Mr. Shaalan, Dean of the IMF Executive Board

Today, I addressed the Executive Board for the last time—because I am leaving the Fund.

Accordingly, I wanted first to formally express my deep appreciation to the Swedish, Israeli, and Danish authorities with whom I have worked recently, as well as all others with whom I have worked earlier, for their extraordinary generosity towards me personally.

But I also wanted to take this opportunity to explain my departure.

After twenty years of service, I am ashamed to have had any association with the Fund at all.

This is not solely because of the incompetence that was partly chronicled by the OIA report into the global crisis and the TSR report on surveillance ahead of the Euro Area crisis. Moreso, it is because the substantive difficulties in these crises, as with others, were identified well in advance but were suppressed here. Given long gestation periods and protracted international decision-making processes to head off both these global challenges, timely sustained warnings were of the essence. So the failure of the Fund to issue them is a failing of the first order, even if such warnings may not have been heeded. The consequences include suffering (and risk of worse to come) for many including Greece, that the second global reserve currency is on the brink, and that the Fund for the past two years has been playing catch-up and reactive roles in the last-ditch efforts to save it.

Further, the proximate factors which produced these failings of IMF surveillance—analytical risk aversion, bilateral priority, and European bias—are, if anything, becoming more deeply entrenched, notwithstanding initiatives which purport to address them. This fact is most clear in regard to appointments for Managing Director which, over the past decade, have all-too-evidently been disastrous. Even the current incumbent is tainted, as neither her gender, integrity, or élan can make up for the fundamental illegitimacy of the selection process. In a hierarchical place like this, the implications of those choices filter directly to others in senior management, and via the appointments, fixed term contracts, and succession planning of senior staff, they go on to infuse the organization as a whole, overwhelming everything else. A handicapped Fund, subject to those proximate roots of surveillance failure, is what the Executive Board prefers. Would that I had understood twenty years ago that this would be the choice.

There are good salty people here. But this one is moving on. You might want to take care not to lose the others.

cc. Ms. Nemat Shafik

Mr. Stanley Fischer

Mr. Stephan Ingves

Mr. Benny Andersen

Mr. Alex Gibbs

Mr. Eric Meyer

Mr. Amit Friedman

Mr. Martin Holmberg

Mr. Reza Moghadam

Mr. Mark Plant

Mr. Brad McDonald

[Texas1]

...I told my oldest daughter last week this event would take place before she graduates from college.

We were at Chuckey Cheese

[Maggie123]

"There are good salty people here. But this one is moving on. You might want to take care not to lose the others"

Thank You Missy Can I call you that?

You have taken us to such a higher level. This article if read is so important on many levels.

I just can't Thank you enough for what you have brought to us.

I also saw the sweet compliment you gave me last night

I think You and Umbertino are also brilliant!

Hugs, Maggie

[msmortgagewiz]

"There are good salty people here. But this one is moving on. You might want to take care not to lose the others"

Thank You Missy Can I call you that?

You have taken us to such a higher level. This article if read is so important on many levels.

I just can't Thank you enough for what you have brought to us.

I also saw the sweet compliment you gave me last night

I think You and Umbertino are also brilliant!

Hugs, Maggie

Maggie, Missy isn't too far off from my real name, so it's all good, and I'm fine with that. I kind of think that those of us who are passionate about the truth all compliment one another. This is just one of the sites I spend time on, well for obvious reasons (screen name)... I had no idea where to stick that little tidbit, and it may still be in the wrong forum, who knows I just stuck it in the safest place, you know how some would just wait to jump all over you. I thought it might be funny to put it in the bunny ears section, just to get a rise out of the rabbits. Then I could hear my dear departed Grandmother scolding me for my sense of humor.

[Sanssouci]

Add this and the Strauss-Kahn affair, as well as over 300 banker resignations, to the emerging Libor scandal, and the picture of a fast sinking ship begins to materialize. Meanwhile, the LOPsters continue to insist that the CBI's financials are unassailable because of IMF oversight.

Thanks for posting.

Edited July 22, 2012 by Sanssouci

[msmortgagewiz]

Add this and the Strauss-Kahn affair, as well as over 300 banker resignations, to the emerging Libor scandal, and the picture of a fast sinking ship begins to materialize. Meanwhile, the LOPsters continue to insist that the CBI's financials are unassailable because of IMF oversight.

Thanks for posting.

Now I think I should have posted in their section. " For what we are about to see next, we must enter quietly into the realm of genius" just a quote....

[DinarThug]

" For what we are about to see next, we must enter quietly into the realm of genius"

I Just Licked A Chalkboard .....

Thx For The Post Ms Mo' !

[Maggie123]

Now I think I should have posted in their section. " For what we are about to see next, we must enter quietly into the realm of genius" just a quote....

Now I think You are a genius because I believe it's true.

Actually... I do wonder if we might be on the edge of a cusp that will change the world.

I don't know who you just quoted. Some one is pulling the strings... No Doubt About That!

Thank You Missy

[Texas1]

I Just Licked A Chalkboard .....

Thx For The Post Ms Mo' !

You're welcome Curly.

Larry

[Rayzur]

" For what we are about to see next, we must enter quietly into the realm of genius"

I'd suggest entry by banging a few pans with a wooden spoon.... livens the place up a bit..... Its been disturbingly empty in here the past few months...... though have noticed a few trying to sneak in the back door.... but the 'stupid' screen seems to always catch them

I Just Licked A Chalkboard .....

Uhmmmm Thuggie..... I suppose there's more than one way to absorb knowledge..... but you just digested the directions leading to the RV..... ahhhhhhh care to cough it up? :D

[msmortgagewiz]

Now I think You are a genius because I believe it's true.

Actually... I do wonder if we might be on the edge of a cusp that will change the world.

I don't know who you just quoted. Some one is pulling the strings... No Doubt About That!

Thank You Missy

I was wondering if anyone would catch on to the quote, it's from the movie Young Frankenstein, because it just keeps getting crazier, and crazier.

[jeepguy]

i beleive that this letter is the results of a lot of billions spent on trying too keep the euro afloat in the unknown ecconomy ,, i hear they are now holding up spain with 115 billion dollar support fund ,,, i forget the billions { or trillions } they sent too plug the hole in greece,, the poster of the letter must be at wits end trying too sell the process too other nations for support,,,, makes me wonder --- when or if iraq lets the dinar rate rise , hoping it will hit the 1 too 1 ratio ,,, the dinar would be very strong in the region ,,the euro region for sure ,,,, thanks for the post ms, mortgage wizard

[msmortgagewiz]

Never watched that movie, but I get it now. With wit like that, yes, you should post in their section.

There's always one kid in the class who likes to eat the teacher's chalk.

HA! or paste. The movie is halarious.

[Butifldrm]

I read this article yesterday in the New York Times. I was a little surprised to see that Doyles resignation took place June 18th and we are just now reading about it the mainstream media. I checked the status of the Euro and it's down to an all time low 1.2162. IMO, unrecoverable debt will lead to the demise of the dollar and I am so close to pulling out all of my saving in 401K's and taking an up front loss of at least 40%, by getting out of paper. Oh what to do? What to do? or When to do it?

[unirod]

Currency play; "Sell Euro"

[Sanssouci]

Currency play; "Sell Euro"

I think I have some left over from my last trip to Europe.

[shabbadude]

...."That's FRAANKENSTEEN!"

Wiz, you rock!

How about LeGarde and Sarkozy being investigated and charged with influence peddling and fraud last week.....

(From your loyal assistant, "Eyegor")

[kliklok00]

Hump? What hump?

BTW, I read an article last week that stated the DOJ had 65 agents working in the very same building for three years and did not or could not see this coming. We must need more regulators, right?

[carlos in san diego]

I'm not surprised by the revelation. The World Bank, The World Trade Organization and The International Monetary Fund are all front organizations for the Western Fascist Banksters. Their stocking trade is to bribe officials in underdeveloped countries into selling off their countries resources to Bankster corporations, the losers are the impoverished in the many countries victims of these organizations. The people of these countries will be asked to pay these loans back through higher taxes, driving them deeper into misery and slavery, white the elite prosper with their insider deals.

The rest of the world is led to believe that these organizations are doing good for humanity, when the exact opposite is the undeniable truth. The same situation exists with the United nations. We are made to believe through the controlled media that the UN is a peace keeping agency, when in fact it is a military arm of the Western Bankster Fascists. Ask yourselves what business the North Atlantic Treaty Organization has to do in Afghanistan? In Afghanistan, the organization is too far removed from the North Atlantic to be able to claim that they are truly defending any of the member countries. Nato is actually in Afghanistan to secure a pipeline route for natural gas from the Caspian Sea through Pakistan, where the Banksters will profit from the energy sales. Our troops are said to be also protecting the poppy fields of Afghanistan for Bankster drug smugglers. We are not in Afghanistan to protect our freedom, this is government propaganda to make the US population think we have noble intentions.

We need to end the Bankster control of all UN organizations or close them down...they have not helped humanity as their proponents claim. Carlos

[umbertino]

Quote

I'm not surprised by the revelation. The World Bank, The World Trade Organization and The International Monetary Fund are all front organizations for the Western Fascist Banksters. Their stocking trade is to bribe officials in underdeveloped countries into selling off their countries resources to Bankster corporations, the losers are the impoverished in the many countries victims of these organizations.

End Quote

I'd tend to agree... It's tragically funny or funnily tragic how these gentlemen / women come with their "recipes" for " the common good" resulting in improbable proposals / impositions like for example privatizing water usage especially in very poor countries ... Bolivia for one, where the company privatizing the water came as far away as France and obviously the costs went sky high on an already extremely low household budget and services got a lot worse....

And then Governments say people call to revolution.

Edited July 24, 2012 by umbertino

[carlos in san diego]

Quote

I'm not surprised by the revelation. The World Bank, The World Trade Organization and The International Monetary Fund are all front organizations for the Western Fascist Banksters. Their stocking trade is to bribe officials in underdeveloped countries into selling off their countries resources to Bankster corporations, the losers are the impoverished in the many countries victims of these organizations.

End Quote

I'd tend to agree... It's tragically funny or funnily tragic how these gentlemen / women come with their "recipes" for " the common good" resulting in improbable proposals / impositions like for example privatizing water usage especially in very poor countries ... Bolivia for one, where the company privatizing the water came as far away as France and obviously the costs went sky high on an already extremely low household budget and services got a lot worse....

And then Governments say people call to revolution.

Your 100% right Umbertino. It was Bechtel, the San Francisco based construction multinational that got concessions from the Bolivian Government, my guess is through bribery, to take over the water supply of one of Bolivia's largest cities. I believe it was the city of Cochabamba, not 100% on that, but the city has a largely indigenous population. The townsfolk all of a sudden found themselves paying for a resource that they had thought was their "god" given right to have. Bechtel used the local police force to enforce their will when the poor of the town decided to dig their own water ways...they shut down the people's efforts. Bechtel got so greedy that they would not even let the townspeople collect rainwater for their own use.

The city broke out in some of the worst civil unrest seen in modern day Bolivia. There were many killed and wounded among the civil population. But,the people persisted until they made Bechtel fold up their tents and leave town for good. I don't know what happened to the government officials whose greed caused all the un-needed destruction. I hope he learned his lesson though!

We Americans need to show the same level of determination to rid ourselves once and for all of the fascist government that WE have in place now! Please help by spreading the word...to anyone that will listen! Carlos

Right on, Carlos.

Thanks Friend! Carlos

[umbertino]

Quote

...that got concessions from the Bolivian Government, my guess is through bribery,

End Quote

Of course it was through bribery... .. It's a consolidated tradition.

[shabbadude]

It's great to see you again Carlos, your insight is so appreciated!