UNITED
NATIONS,
April 8 --
Irregularities
at the $50
billion UN
Joint Staff
Pension Fund,
which Inner
City Press has
previously
exclusively
covered, for
example here,
have grown
worse,
according to
whistleblower
communications
received by
Inner City
Press from
multiple
sources, and
published on
March 29.
Now on April
8, after Inner
City Press
three times
asked the UN
spokespeople
to simply
confirm that
Ivan Pictet
resigned as
chair of the
Fund's Investment
Committee,
lead spokesman
Stephane
Dujarric
belated acknowledged
it. From the UN's transcript:
Inner
City Press:
This has to do
with the
Pension Fund,
as I alluded
to. I
asked Farhan,
then I asked
you, whether
the head of
the investment
committee of
this $50
billion fund
has
resigned.
And I wanted
to ask now,
that I've
heard that a
memo has gone
to the Fifth
Committee to
that effect.
Spokesman:
Yes, it has…
he did
leave.
He did
resign.
And if I'm not
mistaken, he
said that
after, I
think, almost
10 years of
service, he
felt it was
time to move
on.
We're
obviously very
grateful for
the time and
effort Mr.
Pictet put
into his role.
Inner City
Press:
I've heard
also that his
letter of
resignation
actually makes
some
criticism.
Is that a full
summary?
Spokesman: No,
I would…
I would not
agree with
that
assessment.
Inner City
Press: What's
the process
for actually
appointing a
new
Chairperson of
this $50
billion
fund?
What's the
Secretary-General's
role?
Spokesman: I
will find out.
Well, Inner
City Press is
multiply
informed that
RSG Carolyn
Boykin has
been proposing
current IC
member Linah
Kelebogile
Mohohlo, but
that there are
attendance
issues.
Other IC
members with
questions:
Simon Zheng of
China, about
Boykin's (lack
of) knowledge
of the RMB,
and Achim
Kassow of
Germany. There
are others,
and we'll have
more.
On March 30,
Inner City
Press asked UN
deputy
spokesperson
Farhan Haq:
Inner
City
Press..
about alleged
irregularities
in the Pension
Fund and a
desire by the
current Chief
of the Pension
Fund to change
the rules so
there's less
outside
review. Is the
Secretariat
aware of these
concerns and
how does the
Secretariat
think they
should be
resolved, and
how would
staff in New
York be
represented as
to this $53
billion fund?
Deputy
Spokesman
Haq: As
you know, the
Secretariat in
the form of
the
Secretary-General
does not have
control over
the Pension
Fund.
It's not
something that
I can comment
on.
You'd have to
take that up
directly with
the Pension
Fund.
It seemed a
strange or
telling
answer, given
that there is
a
Representative
of the
Secretary
General to the
pension fund,
Caro Boykin,
on whom Inner
City Press has
previously
reported, here.
More recently,
as first
reported here
by Inner City
Press,
Boykin's
management has
been questioned
by the UN
Dispute
Tribunal on
March 30,
2015, here,
in Singh vs
UNSG (Ban
Ki-moon):
"the
Applicant’s
request for
management
evaluation was
deem
ed premature,
and thus not
receivable.
However, the
MEU made the
following
observations:
"Following
communications
with the
UNJSPF, the
MEU noted that
the job
opening for
the Post was
exceptionally
approved by
[OHRM] and
later reviewed
and approved
by the Central
Review Board.
The MEU
learned that
the CFA
exception was
granted
because the
future
incumbent will
be in charge
of managing
all
investments of
the [IMD],
which are
valued at USD
53 billion."
So after
learning more
about the
growing
scandal in the
UN Pension
Fund,
including
through a
staff meeting
on March 31
that was
itself
controversial,
Inner City
Press on April
1 asked Haq
again.
Haq
now said he
had spoken
with Boykin
who might --
might -- speak
to the press.
Inner City
Press asked,
yes or no, if
Investment
Committee
chairman Ivan
Pictet has
quit.
Haq did not
answer.
There
are $53
billion at
stake here,
and the
Secretary
General
appoints the
members of the
Investment
Committee.
We'll have
more on this.
And
on this, the
allegations of
(some) staff:
-Attempts
by the fund
CEO, Sergio
Arvizú, to
recruit a new
CFO,
subsequent
found to be
unsuitable for
the post.
-
A consultancy
services
contract worth
$520,000,
divided into
two, so as to
avoid scrutiny
by the
Headquarters
Committee on
Contracts, a
committee that
only reviews
procurement
requests above
$500,000.
-
Attempts by
the CEO to
approve return
air tickets
from Mexico to
New York for
four
individuals
with no
relationship,
contractual or
otherwise, to
the fund.
-
Irregular
modification
of a vacancy
announcement
in order to
favor a
particular
candidate to
the post of
D-1 Chief of
Legal
Services.
-
Attempts by
the CEO to
give a
short-term
contract to a
90 year-old
referee on his
CV -- this
person was
said, on March
31, to be
closer to 100
years old.
A failure to
disclose a
conflict of
interest
involving JP
Morgan Chase
was also
alleged.
The UN Pension
Fund, which
has resisted
not only Press
coverage but
also
accountability
to its own
pensioneers,
is said to be
poised to
implement a
major
reduction in
staff rights,
according to a
communication
a
whistleblower
directed to
Inner City
Press on April
2, 2014 and
which Inner
City Press
published on
April 3, here.
Inner City
Press
immediately
began
investigating
the complaint,
including a
draft
Secretary
General's
Bulletin said
to be pushed
by Pension
Fund CEO
Sergio Arvizu
Trevino. From
April 3
through the UN
noon briefing
on April 14,
Inner City
Press asked
Secretary
General Ban
Ki-moon's
spokespeople
three times
for a
response,
including to
staff unions'
letters of
protest.
Finally on
April 14 came
this response
from Ban's
spokesman:
, 
