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UNDP Administrator's Discretionary Spending Includes Mysterious Special Audit and $592,000 for Book

Byline: Matthew Russell Lee of Inner City Press at the UN

UNITED NATIONS, January 17-18 -- The UN Development Program has finally provided "an accounting of the spending of the Administrator's discretionary / contingency fund for the years 2004 - 2006." A commitment to provide this information was made four week ago by UNDP Administrator Kemal Dervis. He began at UNDP in August 2005. Therefore the first half of the triennium was under Mark Malloch Brown, and the second half under Mr. Dervis.

            The "accounting" provided by UNDP is not entirely clear. For 2006, in which $931,000 was spent from Mr. Dervis' discretionary fund, $131,000 is purposed to "RBEC" -- the Regional Bureau for Europe and the CIS States. This is the unit that was run for six years by Kalman Mizsei, until September 2006. The comment provided is "Special Advisor on Chernobyl."

            Fully $709,000 of the 2006 spending, and $698,000 of the 2005 spending, was for the Millennium Project, the group led up by Jeffrey Sachs and his team including Guido Schmidt-Traub, which was brought in-house at UNDP without, UNDP sources say, following recruitment and hiring rules. That's $1,407,000 over the two years, which still doesn't jibe with the elsewhere-listed Millennium Project expense, from mid-2005 to the end of 2006, of $3,300,000. Where did the other $1,893,000 come from? This will be inquired into.

UNDP says it uses sports to fight drugs in Osh, Kyrgyzstan

            In 2005, fully $707,000 was devoted to the "Office of Sport for Development and Peace," a unit which has brought to UN Headquarters such figures as Serena Williams and a former Swiss president who is a mountain climber and gun enthusiast.  This Office of Sport was also given $246,000 in 2004 and $91,000 in 2006.

            UNDP's "work in partnership with the private sector" was designed by a "Private Sector Commission... made up of 10-15 prominent individuals," toward which the UNDP Administrator directed $497,000 in 2004, and $31,000 in 2005, including for "cost of advisors."

            In 2004-2005, $88,000 was devoted to Special Events, including a "Goodwill Advocacy tour of Tajikistan" and "UN-hosted launches of books on development."

            UNDP's disclosure also states that "in additiona to the regular discretionary / contingency fund, UNDP also established a one-time special fund through a reprioritization of $2.5 million in unspent resources to administer in the years 2003-2006." Among the uses of these "reprioritized" funds were, for "UNDP History Book," $121,000 in 2004, $271,000 in 2005, and $250,000 in 2006, for a total of $592,000. Since UNDP has recently revised its total expenditures on the book "UNDP: A Better Way?" up to $737,000, the question remains where the difference between the $737,000 in UNDP expenditures and the $592,000 in "reprioritized" funds came from. Inquiry into this will be made.

            Also in 2006, from the "reprioritized" funds there was a $67,000 expenditure described as "Funding for Special Audits," and described in full as "additional resources were made available to fund an urgent, unscheduled audit to investigate concerns that had arisen in one country office."  Since the most recent publicly-available audit of UNDP ends with December 2005, inquiry will be made into this "urgent, unscheduled audit to investigate concerns that had arisen in one country office" -- a country left unidentified. While such an audit within the UN Secretariat would have to be disclosed to any of the 192 member states upon their request, at UNDP things are quite different. Only a summary would be provided, and only to the countries on UNDP's Executive Board. While some have said this inconsistency, of UNDP lagging behind the UN Secretariat in terms of transparency, will be fixed soon, Mr. Dervis on December 21 said this might not happen, due to some "privacy" concern that for some inexplicable reason doesn't exist with regard to the UN Secretariat. Privacy for urgent audits? We'll see.

  Again, because a number of Inner City Press' UNDP sources go out of their way to express commitment to serving the poor, and while it should be unnecessary, Inner City Press is compelled to conclude this installment in a necessarily-ongoing series by saluting the stated goals of UNDP and many of its staff. Keep those cards, letters and emails coming, and phone calls too, we apologize for any phone tag, but please continue trying, and keep the information flowing.

Feedback: Editorial [at] innercitypress.com

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At UNDP, Former Staffers Get Consulting Contracts, Dalberg in Ethiopia Called "Insiders' Game"

Byline: Matthew Russell Lee of Inner City Press at the UN

UNITED NATIONS, January 17 -- The UN Development Program contracts with a company, Dalberg Global Development Advisors, whose founder Henrik Skovby worked for UNDP "both at their headquarters and in the field," and is still listed as a UNDP employee. The lead person on Dalberg's advisory board, Sam Nyambi, lists his experience as having supervised 110 staff at UNDP and served as UNDP Resident Representative in Ethiopia. Dalberg has advised the government of Ethiopia, "along with a UN program to support private sector development activities."

    Dalberg's promotional materials state that it is now "assisting UNDP in developing a toolkit to support its interventions in Private Sector Development. The project involves developing a diagnostic and analytical toolkit for supporting the design of programs in Private Sector Development."

            While this work may be laudable, it raises questions, which Inner City Press posed on Tuesday to UNDP's Communications Office:

"what are UNDP's contracts with the company Dalberg, how much are they worth, how were they awarded and what is UNDP's position on awarding contracts to companies on whose advisory board long-time UNDP employees sit? Please disclose any other UNDP contracts with companies on which ex-UNDP employees sit on the board or executive board."

            UNDP's Communications Office responded at 5:52 p.m. on Tuesday that

"we’ll look into it and try to get you something as soon as we can.  If you need an initial comment for publication we can send you that."

            Since Inner City Press' question was specifically "on deadline," at least some comment would have been expected. But half an hour later, UNDP wrote that

"we'll need to get in touch with colleagues in different offices in different places to address them, so a more substantial response tonight is simply not possible."

            One might expect that UNDP had a computer system that could quickly confirm if a company has UNDP contacts, and for how much. One contract of particular interest involves Dalberg in Ethiopia in the summer of 2004. But even as of 5 p.m. deadline on the second day, Wednesday, no information had been provided by UNDP's Communications Office.

The UN in Ethiopia (Dalberg not shown)

            Online, one still finds Mr. Henrik Skovby with a UNDP email address, and an office listed at the FF building on 45th Street, Room 604.  A visit there, to the Bureau of Development Policy, on Wednesday afternoon found a different name in front of room 604: Salil Shetty. The staff list in the front of the office lists "Private Public Partnerships," staffed by Arun Kashyap. There are two consultants listed, Olga Ioffe and Lisa Burnett-Leacock.  There once was a non- (or pre-) consultant Lisa Burnett at UNDP's Bureau of Management.

            Other informed sources, who requested anonymity for fear of retaliation by UNDP, have characterized Dalberg Global Development Advisors as "the Halliburton of the UN system," explaining that Dalberg has been given contracts largely due to political and regional connections.  These sources say that Jan Mattsson when he was head of UNDP's Bureau of Management was instrumental in Dalberg being awarded open-ended Long Term Agreements, including compensation of $1000 a day for experts. "It's an insiders' game," one source said, asking Inner City Press to inquire more closely into this and a range of other UNDP practices the source called "non-transparent." Other contacts to Dalberg were awarded by Tina Hansen's Internal Consultants Group, based like UNOPS in Copenhagen. Jan Mattsson is now in Copenhagen as head of UNOPS, on which we'll have more in the near future.

Other Inner City Press reports are available in the ProQuest service and some are archived on www.InnerCityPress.com --

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In UNDP, Questions of Money Wasted, Neutrality Trampled, Russian Office Audits Withheld and Sachs Expenses

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UN Decries Uzbekistan's Use of Torture, While Helping It To Tax and Rule; Updates on UNIFIL and UNMIS Off-Message

On Lebanon, Russian Gambit Focuses Franco-American Minds, Short Term Resolution Goes Blue Amid Flashes of Lightening

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At the UN, Jay-Z Floats Past Questions on Water Privatization and Sweatshops, Q'Orianka Kilcher in the Basement

In the UN Security Council, Speeches and Stasis as Haiti is Forgotten, for a Shebaa Farms Solution?

UN Knew of Child Soldier Use by Two Warlords Whose Entry into Congo Army the UN Facilitated

Impunity's in the Air, at the UN in Kinshasa and NY, for Kony and Karim and MONUC for Kazana

UN Still Silent on Somalia, Despite Reported Invasion, In Lead-Up to More Congo Spin

UN's Guehenno Says Congo Warlord Just Needs Training, and Kazana Probe Continues

With Congo Elections Approaching, UN Issues Hasty Self-Exoneration as Annan Is Distracted

In DR Congo, UN Applauds Entry into Army of Child-Soldier Commander Along with Kidnapper

Spinning the Congo, UN Admits Hostage Deal with Warlord That Put Him in Congolese Army

At the UN, Dow Chemical's Invited In, While Teaming Up With Microsoft is Defended

Kofi Annan Questioned about Congolese Colonel Who Kidnapped Seven UN Soldiers

UN Silent As Congolese Kidnapper of UN Peacekeepers Is Made An Army Colonel: News Analysis

UN's Guehenno Speaks of "Political Overstretch" Undermining Peacekeeping in Lower Profile Zones

In Gaza Power Station, the Role of Enron and the U.S. Government's OPIC Revealed by UN Sources

UN's Corporate Partnerships Will Be Reviewed, While New Teaming Up with Microsoft, and UNDP Continues

BTC Briefing, Like Pipeline, Skirts Troublespots, Azeri Revelations

Conflicts of Interest in UNHCR Program with SocGen and Pictet Reveal Reform Rifts

UN Grapples with Somalia, While UNDP Funds Mugabe's Human Rights Unit, Without Explanation

UN Gives Mugabe Time with His Friendly Mediator, Refugees Abandoned

At the UN, Friday Night's Alright for Fighting; Annan Meets Mugabe

UN Acknowledges Abuse in Uganda, But What Did Donors Know and When? Kazakh Questions

In Uganda, UNDP to Make Belated Announcement of Program Halt, But Questions Remain (and see The New Vision, offsite).

Disarmament Abuse in Uganda Leads UN Agency to Suspend Its Work and Spending

Disarmament Abuse in Uganda Blamed on UNDP, Still Silent on Finance

Alleged Abuse in Disarmament in Uganda Known by UNDP, But Dollar Figures Still Not Given: What Did UN Know and When?

Strong Arm on Small Arms: Rift Within UN About Uganda's Involuntary Disarmament of Karamojong Villages

UN's Selective Vision on Somalia and Wishful Thinking on Uighurs

UN Habitat Predicts The World Is a Ghetto, But Will Finance Be Addressed at Vancouver World Urban Forum?

UN's Annan Concerned About Use of Terror's T-Word to Repress, Wants Freedom of Information

UN  Waffles on Human Rights in Central Asia and China; ICC on Kony and a Hero from Algiers

UN & US, Transparency for Finance But Not Foreign Affairs: Somalia, Sovereignty and Senator Tom Coburn

Human Rights Forgotten in UN's War of Words, Bolton versus Mark Malloch Brown: News Analysis

In Praise of Migration, UN Misses the Net and Bangalore While Going Soft on Financial Exclusion

UN Sees Somalia Through a Glass, Darkly, While Chomsky Speaks on Corporations and Everything But Congo

Corporate Spin on AIDS, Holbrooke's Kudos to Montenegro and its Independence

The Silence of the Congo and Naomi Watts; Between Bolivia and the World Bank

Human Rights Council Has Its Own Hanging Chads; Cocky U.S. State Department Spins from SUVs

Child Labor and Cargill and Nestle; Iran, Darfur and WHO's on First with Bird Flu

Press Freedom? Editor Arrested by Congo-Brazzaville, As It Presides Over Security Council

The Place of the Cost-Cut UN in Europe's Torn-Up Heart;
Deafness to Consumers, Even by the Greens

Background Checks at the UN, But Not the Global Compact; Teaching Statistics from Turkmenbashi's Single Book

Ripped Off Worse in the Big Apple, by Citigroup and Chase: High Cost Mortgages Spread in Outer Boroughs in 2005, Study Finds

Burundi: Chaos at Camp for Congolese Refugees, Silence from UNHCR, While Reform's Debated by Forty Until 4 AM

The Chadian Mirage: Beyond French Bombs, Is Exxon In the Cast? Asylum and the Uzbeks, Shadows of Stories to Come

Through the UN's One-Way Mirror, Sustainable Development To Be Discussed by Corporations, Even Nuclear Areva

Racial Disparities Grew Worse in 2005 at Citigroup, HSBC and Other Large Banks

Mine Your Own Business: Explosive Remnants of War and the Great Powers, Amid the Paparazzi

Human Rights Are Lost in the Mail: DR Congo Got the Letter, But the Process is Still Murky

Iraq's Oil to be Metered by Shell, While Basrah Project Remains Less than Clear

Kofi, Kony, Kagame and Coltan: This Moment in the Congo and Kampala

As Operation Swarmer Begins, UN's Qazi Denies It's Civil War and Has No Answers if Iraq's Oil is Being Metered

Cash Crop: In Nepal, Bhutanese Refugees Prohibited from Income Generation Even in their Camps

The Shorted and Shorting in Humanitarian Aid: From Davos to Darfur, the Numbers Don't Add Up

UN Reform: Transparency Later, Not Now -- At Least Not for AXA - WFP Insurance Contract

In the Sudanese Crisis, Oil Revenue Goes Missing, UN Says

Empty Words on Money Laundering and Narcotics, from the UN and Georgia

What is the Sound of Eleven Uzbeks Disappearing? A Lack of Seats in Tashkent, a Turf War at UN

Kosovo: Of Collective Punishment and Electricity; Lights Out on Privatization of Ferronikeli Mines

Abkhazia: Cleansing and (Money) Laundering, Says Georgia

Post-Tsunami Human Rights Abuses, including by UNDP in the Maldives

Citigroup Dissembles at United Nations Environmental Conference

Other Inner City Press reports are available in the ProQuest service and some are archived on www.InnerCityPress.com --

            Copyright 2006 Inner City Press, Inc. To request reprint or other permission, e-contact Editorial [at] innercitypress.com - phone: (718) 716-3540