Corrupt
UN of Guterres
Steals Tax
Money from
Germany and
Hosts Leaves
Consultants
Holding Bag
By Matthew
Russell Lee, Exclusive CJR
Video
UNITED NATIONS
GATE, April 1 – Amid UN
travel waste scandals overseen
and mostly covered up by UN
Secretary General Antonio
Guterres - his firing of Erik
Solheim being an incongruous
example - whistleblowers have
told Inner City Press of a new
one...now three times,
extending the scandal from
UNOPS in Geneva to CPD in Bonn
and beyond. As Inner City
Press reported, it first
involved UNOPS, the UN Office
of Project Services, as does
this, which we exclusively
report as Guterres' spokesman
have refused to answer any
Inner City Press questions for
ten working days despite lead
spokesman Stephane Dujarric's
on
camera promise of
answers, and the written
one of Guterres' USG Alison
Smale: Several reports were
received by Inner City Press
from UNOPS consultants in
Geneva who claim that after
years of administrative
uncertainty, they are now
facing a threat of paying
taxes for up to 5 years
retroactively, which, for some
of them, amounts to few
hundred thousand US dollars.
The consultants claim that
while UNOPS has for the last
few years denied any knowledge
of tax issues in Geneva, UNOPS
more recently have directed
them to talk to Swiss local
authorities.
Now Inner
City Press can report this is
a pattern of the UN abusing
not only the public services
of the countries that host it
but also its own consultant.
Consider this account from a
source to whom Inner City
Press has offered anonymity
due to the UN's penchant for
retaliation even beyond the
scope of employment in the
ever more corrupt empire of
impunity of Big Tony Antonio
Guterres: "I admire your
articles and courage to write
about what really is going on
in the UN organisations around
the world. I have
recently read your article
about corrupt UNOPS in Geneva,
and the issue around the
consultants and income
taxes. Well, the
similar situation is happening
here in Germany, at the UN
headquarters in Germany -
Bonn! I worked as a
consultant for a UN
organization for the duration
of three years - for the
United Nations convention to
combat desertification.
Organisation, that in my
opinion, should be scrapped
once and for all, as the only
goal the staff is interested
in - keeping themselves their
jobs, rather than doing
something meaningful.
Millions of euros were spent
to develop the UNCCD
strategy, and spending
millions to make countries
report on it, then it had to
be "aligned", millions spent
to align the documents. by the
time countries' national
action plans were aligned, the
strategy expired. Then UNCCD
came up with the craziest idea
- countries have to pursue
Land Degradation Neutrality.
Not sure that even ever
changing politicians even do
understand what that means.
Meaning that countries
need to invest as much money
to restore as much land as
they degrade. and even each
country has to set goals by
when they will be land
degradation neutral - Utopia.
From what I heard from an
insider, the UNCCD already
abandoned internally the idea
of LDN, but they just cannot
report this publicly of
course. Aside from
their utopia world, to
implement their agenda, they
hire consultants to implement
any job that is needed.
According to the UN board of auditors
report (since 2017 German
Bundesrechnungshof is
chairing), in 2016, UNCCD
engaged 153 consultants and 18
individual contractors,
concluding 248 contracts, "The
fees for consultants differed
between $2,500 and $10,000 per
month and the fees for
individual contractors between
$600 and $2,000." Do you
know, that the fees of 2,500
and 600 per month were
actually paid to full time
office consultants in
Germany? I have
worked for the UNCCD, carrying
out staff- like work - project
officer, but was paid barely
as much as a travel assistant
earns net, and on top of that
gets all the UN benefits,
retirement, leave,
etc. From my
earnings, I had to pay income
taxes, about which most of the
consultants who have worked
for the UN agencies there for
decades, are either unaware or
just hide their earnings. more
likely - the
latter. I ended up
paying income taxes for two
years at once, and started
prepaying income taxes
immediately. It impacted
my personal life enormously.
Tax authorities in Germany do
not give you any excuse to
delay tax payments, they make
you pay everything at once,
and charge huge penalties for
paying taxes late.
I complained to German
authorities about my
situation, and thanks God,
they are on my side. The UN
agencies, not only the UNCCD,
breaching the law on
fictitious self-employment,
prohibiting companies to hire
individuals as consultants to
avoid paying health insurance,
retirement, social and
unemployment
insurance. In my
case, the German authorities
came to an official verdict,
that the UNCCD in relation to
me, breached the rule. Now the
UNCCD faces to pay all the
contributions for retirement,
health insurance, social
insurance retroactively, and
probably the fine. But as far
as I am aware, the UNCCD has
not reacted to any of the
letters, they "enjoy their
immunity status". But they are
based in Germany, and they
hire people who live in
Germany. they must abide the
rules of the
country.
Ironically, similar case
happened in UN ILO
organization in Madrid, where
UN ILO fired a consultant, who
later filed a case against
them in Madrid labour
court. In the end, Spain
lifted immunity of UN ILO and
made them pay around 43,000
euros to the consultant. In
cases, where there is breach
of human, civil, employment
rights, countries can lift UN
immunity status. I
know a woman, who worked as a
consultant for the UNCCD for
600 dollars per month, later
her salary was increased to
1000, afterwards she got
pregnant and left, but was
working there almost until 9
months. this is
ridiculous. Another
friend of mine worked there as
a procurement assistant, she
had a shield on her door as
another staff member -
procurement assistant. Only my
friend was earning 2000 euros
per month net, from which as a
"self-employed" person she had
to pay 400 euros for health
insurance, income taxes,
retirement. In the end she had
pennies left. She, as other
consultants, and myself, was
not entitled to any sick
leave, annual leave, any
benefits at all. While a staff
procurement assistant was
earning 4000 euros net, plus
health insurance, retirement,
annual leave, entitlements for
un kindergarten,
etc. Germany has a
very complex employment
scheme. 99% of work force here
are employed, while only 1%
are self employed. The
labor laws here prescribe that
an employer pays half
contributions to health
insurance, immediately deducts
contributions towards public
health insurance companies,
income taxes, unemployment
insurance, disability
insurance, social insurance.
In case a person loses his or
her job, they are entitled for
Unemployment payments equaling
to around 60% of their salary
per month for one year. If a
woman gets pregnant, she is
entitled to receive 67% of her
salary for one year, and
employer has to keep her job
place for 3 years.
None of this applies to UN
consultants. I was pregnant
during my consultancy with the
UNCCD, and I had to save
whatever possible for my
"maternity". I worked there
until 3 weeks prior to
delivery, while employed women
in Germany leave already
during the 7th month.
And you know, the same thing
happening not only at the
UNCCD but also with all other
UN agencies in Bonn. People
are given contracts:
consultant, individual
contractor, personal service
agreement, on all of these
people have to pay taxes. But
they do not. UNU in Bonn for
example, almost all of their
staff are on personal service
agreements, people that are
hired are based in
Germany. on top of
that, from what I heard from
insiders, UN staff who work in
Bonn, come here of course with
their families and spouses.
Since their wives are also
covered through UN private
insurance, once they get
employed for example, by a
company in Germany, there were
real cases, when these
companies do not deduct
contributions to public health
insurances, income taxes and
other contributions, since
they are insured
privately. So, these
families enjoy even a higher
disposable income and never
report their income
taxes! The higher
managerial UN staff even claim
all the VAT back from Germany.
Turns out they are entitled to
that. My former boss, for
example, would collect all of
his private checks, and claim
all the VAT back.
I know that these issues are
already publicly known in
Geneva. Probably, because
their office is much larger
than in Germany. In Germany,
it is still not public, since
most of the consultants keep
quiet about it not having paid
taxes. I have been
so much disappointed in the
entire UN system. I have
personally decided to move on,
and not think about all of
these, but some part of me
cannot let it go. UN stand for
human rights, eradication of
poverty, women empowerment,
but what it does itself, is
outrageous!! I found myself on
the borderline of poverty,
with a baby. And do you think
any of the UN staff cared? NO!
they are just interested to
make their pockets full. When
I went to complain about it to
HR, the woman told me, well we
cannot hire you as a staff,
because we would have to pay
your health insurance and
other contributions, and for
that they did not have
budget! My
managers were traveling all
the time, and getting salaries
and DSA allowances with at
times more than 20,000 usd
coming to their accounts. I
had access to such
information, and this is true,
trust me. And consultants were
treated as slaves." We'll have
more on this.
It
is said that UNOPS deploys
over 300 consultants in
Geneva, who have, all of a
sudden, been told, in late
2018, that their
contracts were not tax exempt.
We are told that over the past
couple of months few dozen
UNOPS consultants have
resigned, and fled the
country. In
an attempt to save face, Mr
Moin Karim, UNOPS Regional
Director, has forced some of
his consultants to sign
fraudulent new contracts, that
claim that they work from
countries other than
Switzerland, where UN is
exempt from paying tax on its
consultants, in order to avoid
mass resignations or fines by
the Swiss government. These
consultants, who pretend to be
working from abroad, continue
coming to their offices at
UNOPS in Geneva on daily basis
– a scam that Mr Moin is
trapped to maintain in order
to justify the relatively
large size of the UNOPS office
in Geneva, which in turn
justifies the size of his
Directorate and his position,
rank and pay grade within
UNOPS. Moin Karim
of UNOPS reportedly does not
frequently come to his office
in Geneva these days, and
mostly works from either his
expensive Geneva mansion -
akin to Guterres and his $15
million Sutton Place mansion
- or his private resort
apartment in the Swiss
mountains, to avoid dealing
with UNOPS disgruntled
employees or anything to do
with UNOPS. Instead, Mr Karim
has been paying frequent
visits to a number of fashion
events in Geneva and London
(where he happens to own yet
another luxury apartment), as
can be seen here
and here.
It is also reported
that Mr Moin Karim is not just
an ordinary visitor to these
fashion events, but he also
heavily invests into the
fashion industry, perhaps as
his fallback plan, should
UNOPS Executive Director one
day find down the extent to
which matters are confused in
UNOPS Geneva office and ask Mr
Karim to resign, the
whistleblowers muse. One
also wonders, how a UN staff
member, whose career has seen
nothing but civil servant work
to UN over the past 20 years,
can afford buying properties
in 2 most expensive capitals
to live in the world. But a
fish rots from the head -
Guterres omitted from his UN
public financial disclosure
covering 2016 his paid board
position with the Calouste
Gulbenkian Foundation which
tried to sell its Partex Oil
to UN briber CEFC China
Energy. A fish rots from the
head - but we will continue to
ramp up coverage of both the
head and the tail, or
fins... Since Guterres
and his spokesman Stephane
Dujarric refused to answer any
of banned Inner City Press 36
questions in the penultimate
week of 2018, and 15 in the
year's final week
including about Guterres' own
conflicts
of interest, and even
worse in 2019, here is more on
the story of UNOPS as block
box for corruption in
Guterres' UN, exclusive to
Inner City Press (first in
this series, on Rachel Kyte of
SE4ALL, here):
"The UN Office of Project
Services, as recently revealed
exclusively to Inner City
Press by whistleblowers, is
being used to pay for
extensive and expensive travel
of the Special Representative
of the United Nations
Secretary-Generalon
Sustainable Energy, Rachel
Kyte, and her entourage, for
over $400,000 in less than two
years, was also used as a
cover mechanism for expensive
travel by agencies, whose own
rules prohibit flying
consultants and staff on
business class. It was
reported to Inner City Press -
and apparently not yet to the
OIOS which Guterres so
controls it does not even
confirm receipt of detailed
complaints including regarding
Guterres - that United
Nations Environment Program,
UNHCR and UN Habitat have
repeatedly used UNOPS to book
business class flights for
staff who would otherwise be
ineligible to fly
business class within
their organizations.
Some of the
cases, exclusively reported to
Inner City Press, include a
flight for one of the
directors of an agency, hosted
at UNOPS, in first class for
over $35,000, this is said to
be one of many similar cases.
There are a number of
travelers holding UNOPS
employment contracts, whose
travel expenses are as high as
those of Rachel Kyte and the
resigned / fired
(hypocritically by Guterres)
head of UNEP Erik Solheim. The
extensive costs are apparently
not only due to business class
flights, but also include
5-star hotels, expensive
dining, frequently with
friends and families invited,
airport limousine services,
that is on top of the standard
UN per diems.
In 2017, Mr Moin Karim, the
director of UNOPS office in
Geneva, reportedly
received formal warnings
from member states that UNOPS
actions and policies have
reduced their confidence in
the UNOPS leadership and
management. While Mr Moin
Karim of UNOPS had reassured
the donor governments that he
will take all necessary
actions, he did not seem to be
doing much, given the recently
discovered case of extensive
travel by the Special
Representative of the United
Nations Secretary-Generalon
Sustainable Energy, Rachel
Kyte.
It seems that UNOPS has set-up
an official service line that
allows for any entity to
bypass the UN and donor
requirements. The mechanism,
set up by UNOPS, is called by
UNOPS hosting management, and
is managed from UNOPS Geneva
office. Headed by Mr Moin
Karim, UNOPS office in Geneva
facilitates global travel for
few hundred consultants of
various UN and hosted
agencies, including the Water
Supply and Sanitation
Collaborative Council (WSSCC),
The Stop TB Partnership and
Scale-up Nutrition Movement.
In September this year at an
opening remark to host another
entity, Grete Faremo,
appointed by Guterres as UNOPS
Executive Director, remarked
that when hosted-partnership
joins the UNOPS family, UNOPS
rules and policies become
theirs, and UNOPS extends the
scope of UNOPS legal
framework, to cover the
initiatives that UNOPS hosts.
This is a very clear statement
of intent to offer a
UN-branded platform to by-pass
UN and donor rules. This is
the UN of Guterres, who
covered up his links to that
attempted sale of Partex Oil
to CEFC, and roughs up and
bans the Press which asks.
From Inner City
Press' first this series:
"Rachel Kyte, the Executive
Officer of Sustainable Energy
for All (SEforAll), and
Special Representative of the
United Nations
Secretary-General for
Sustainable Energy for All,
traveled on business class for
$300,000 in 15 months of 2017
and 2018, and $410,000 in 22
months, which doesn’t include
her assistants who she insists
must take same business class
flights as well as few other
accompanying crew.
To avoid being exposed to
external audit, Se4all,
registered independently from
UN, sub-contracts UNOPS to
manage its travel and
consultancy funds, who in turn
uses the donor funds (EU,
Sweden, UK, Germany, IKEA and
others) and its exceptionally
flexible travel policy for
high officials and consultants
to allow for such extensive
expenditures, which exceeds
UNEPs CEO travel budget. This
is happening under the
protection of UNOPS Regional
Director, Moin Karim, who
threatens his team to close
their eyes on this misuse of
funds, in spite of the issue
being brought up by the UNOPS
staff to Mr Karim few times."
The below has been turned in
to the UN's questionable
Office of Internal Oversight
Services, which must now take
notice of this. As Guterres
was refusing
throughout 2018 to begin any
UN audit into China Energy
Fund Committee, implicated in
the UN bribery prosecution US
v Patrick Ho, Guterres had a
secret.
Guterres was and it seems
still is connected with and
compensated by a company which
was trying to sell its oil and
gas business to China Energy
Fund Committee in 2018.
Guterres' failure to disclose
and refusal to audit was a
direct conflict of interest,
which he has tried to cover up
by roughing up and banning
Inner City Press which asked
him about it. (See January
2018 press conference here,
July 2018 roughing up by
Guterres' UN Security here,
banning letter via Press
Freedom Tracker here.)
For
years Guterres received money
as a board member of the
Calouste Galbenkian
Foundation, which despite its
name is the 100% owner of
Partex Oil and Gas. Partex
has operations in Angola, Abu
Dhabi, Brazil, Kazakhstan, the
Netherlands, Oman and
Portugal. It was to a
Portuguese court that
Guterres, while justifying
no listing some of his income,
disclosed in 2016 that he was
paid at least € 2735 per month
for his position with the
Gulbenkian Foundation.
But
while a now deleted Foundation
web page (archived here)
stated that Guterres continued
with Gulbenkian into 2018,
Guterres did not list it on
his most
recent, and so far lone,
UN Public Financial
Disclosure, which covered 2016
("Disclosing financial and
other interests for the 2016
reporting year").
So why did
Guterres disclose his position
with the Club of Madrid, but not
with the Gulbenkian Foundation
/ Partex Oil and Gas? It is
worth noting that Guterres'
wife Catarina Vaz Pinto has
also been connected
to Gulbenkian.
Following the roughing up and
banning from the UN of Inner
City Press which has covered
the CEFC scandal throughout,
Guterres' head of Global
Communications Alison Smale promised
UN Special Rapporteur for
Freedom of Expression David
Kaye, who asked,
that the UN would still answer
Inner City Press' written
questions.
But
as 2018 came to a close
Guterres' spokesmen Stephane
Dujarric and Farhan Haq left
unanswered 36 questions in a
row from Inner City Press,
including this: “Beyond the 35
questions from Inner City
Press you refused to answer
this week, this is a request
on deadline that you (1) state
when SG Guterres left his
position on the Gulbenkian
Foundation,
(2) state why
Gulbenkian was not listed on
SG Guterres' public financial
disclosure which covered 2016;
(3) explain how
it is not a conflict of
interest for SG Guterres to
have refused to start an audit
of CEFC in the UN, as
requested by Inner City Press
in January 2018, given CEFC's
bid for the oil business of
Gulbenkian.
Also, again,
state why under SG Guterres
there have been no updates to
the UN public financial
disclosures since those filed
for 2016. Also, again, explain
your refusal to answer any of
Inner City Press' questions
this week despite USG Smale's
statements to GAP, me and UNSR
David Kaye. On deadline.”
The
question was also sent to the
e-mail addresses of Guterres,
his chief of staff Maria Luiza
Ribeiro Viotti, his Deputy
Amina J. Mohammed, and Smale,
who earlier in the week told
Inner City Press she would
take “under advisement” her 17
August 2018 pretextual
withdrawal of Inner City Press
decade long UN media
accreditation.
It seems clear that
Guterres and his team have
engaged in censorship for
corruption, to conceal a
blatant conflict of interest
by Guterres. It has been
raised by Inner City Press to
the UN Office of Internal
Oversight Services, and
others. Watch this site.
***
Feedback:
Editorial [at] innercitypress.com
UN Office, past & future?: S-303, UN, NY 10017 USA
For now UNder
Guterres: UN Delegates
Entrance Gate
and mail: Dag H.
Center
Box 20047, NY NY 10017 USA
Reporter's mobile (and weekends):
718-716-3540
Other, earlier Inner City Press are
listed here,
and some are available in the ProQuest
service, and now on Lexis-Nexis.
Copyright 2006-2019 Inner City
Press, Inc. To request reprint or other
permission, e-contact Editorial [at]
innercitypress.com for
|