On
UN Pension
Fund After
Budget
Committee
Demanded
Changes This
Letter To Guterres UNresponsive
By Matthew
Russell Lee, Exclusive,
now follow up
UNITED NATIONS
GATE, January 6 – At the UN of
Secretary General Antonio
Guterres, top jobs are doled
out to unqualified people
based on favoritism and
corruption is covered up with
confidentiality agreements.
Such practices are the subject
of extensive media coverage a
mere three hour train ride
south, but at the UN the Press
which reports on them is
roughed up by Guterres UN
Security and has been banned
from entering the UN for 186
days and counting. But the
UN's self-regulating
mechanisms have become more
corrupted under Guterres. Last
week Inner City Press
published and asked Guterres
and his spokesman without
answer about about the UN
Joint Staff Pension Fund, and
the letter Guterres - who has
taken to refusing Inner City
Press questions despite a promise
to the contrary by his USG DPI
Alison Smale - has gotten from
unions, after even UN OIOS
issued a devastating audit
of the Pension Fund, see
below. With Guterres refusing
basic questions and having
left town before the UN Budget
Committee and General Assembly
votes, they have passed a
Pension Fund resolution
including Notes the current
dual role of the Chief
Executive Officer and
Secretary of theBoard; and
decides to replace the
existing post by two distinct
and independent positions
as“Pension Benefits
Administrator” and “Secretary
of the Board” no later than
January 2020;
14. Notes that the Board
established a working group,
which should adhere to the
Tripartite Structure of the
Board, with the latter
considering the issues of
participation, rotation
andequitable representation on
the Board in fulfilling the
mandate of the working group
in order toreview the
following elements:
(a) The terms of reference,
and self-evaluation
methodology of Boardmembers;
(b) The composition and size
of the Board, including the
role of retiree
representatives and modalities
to directly elect retiree
representatives to
the Board;
(c) Allocation of seats on the
Pension Board;
(d) Implementation of a review
and rotation scheme for the
adjustment of the composition
of the Pension Board on a
regular basis, to allow
eligible member organizations
to share the rotating seats in
a fair and equitable
manner;
(e) Including a regular review
mechanism for the adjustment
of the composition of the
Pension Board;
(f) The usage of the Standing
Committee;
(g) The need for the Assets
and Liability Monitoring
Committee;
15. Requests the Board to
submit the key findings of
this review to the General
Assembly at the main part of
its seventy-fourth session;
16. Urges the Pension Board to
ensure timely and proper
succession planning for the
positions of Chief Executive
Officer and Deputy Chief
Executive Officer to allow
adequate time
for their competitive
selection based on
pre-established procedures
that ensures integrity and
fairness." Still silence from
absentee SG Guterres including
on his conflicts of interest,
reported here,
asked about here.
With no answers by Guterres'
spokesmen to Inner City Press'
written questions in 2019,
here's from a letter sent to
him and his Deputy Amina J.
Mohammed after the Fifth
Committee and UNGA vote: "Dear
Secretary-General... On 23
December the General Assembly
adopted a resolution on the
Pension Fund. It supported the
OIOS audit of the Fund’s
governance, which had been
strongly critical of the
Board’s way of working. The
resolution further demanded
"unfaltering accountability"
from the Fund's Board members
and asserted the General
Assembly’s "existing
prerogative…on matters
pertaining to the Fund". In
relation to the current matter
it called for "integrity and
fairness" in selection
processes. On 24
December a leaked email was
published in the media in
which the Mr. Levins appeared
to conspire with other Board
members to manipulate the
process. In the email
(enclosed), the Chair stated
his intention to exclude us
“as it is clear what their
view will be.”
Since then we have not heard
anything from Mr.
Levins. In light
of the above, we maintain our
belief, for the reasons below,
that the requirements of of
the Fund’s Regulations, as
decided by the General
Assembly have not been met.
For memory Article 7(a) states
that “The Chief Executive
Officer of the Fund and a
Deputy shall be appointed by
the Secretary-General on the
recommendation of the
Board.” We note
that any decision of the
Board, of which a
recommendation is one, needs
to be made legally, either in
a Board session or special
session, or in a meeting of
the Standing Committee. There
is no precedent for decisions
being made
otherwise. The
Chair of the 65th session
hasn’t provided the Board with
the possibility to consider
the serious concerns raised
about the candidate by
Succession Planning Committee
before an informed decision is
taken. The Committee’s own
assessment is that the
candidate lacks necessary
knowledge and needs additional
assistance to function well.
Board members have a fiduciary
duty to act in the best
interest of the Fund for the
sake of all stakeholders. This
includes asking the necessary
questions about the
information available,
obtaining satisfactory answers
and making informed decisions.
Our participants expect this
as do the General Assembly and
OIOS. Seeking
“yes” or “no” emails in such a
perfunctory exercise that lies
outside the rules cannot
replace such a requirements
and raises questions as to how
a discussion can be conducted
(as is required in session for
many less important matters),
how questions are answered,
how proposals are modified if
necessary, how consensus is
sought if possible, how
different positions are
registered, how presences are
noted, how absences are
distinguished from
abstentions, and therefore
under which conditions
alternates can vote. It should
be noted, possibly for the
same reasons, that the General
Assembly, the Board’s parent
body, does not conduct its own
sessions by email and
established the Standing
Committee of the Board for the
very purpose of reaching
formal decisions between
sessions. Indeed in the leaked
message, the Board Chair
admits that his asking for
“yes” or “no” emails is “a
rather messy
arrangement”.
There is a clear risk that the
UN Appeals Tribunal will
uphold the appeal against the
process given its past support
for adherence to the Fund’s
Regulations. Such a decision
would put at risk all
decisions and payments made by
an incorrectly appointed
Acting CEO, and would put the
Fund in a real
crisis. The
General Assembly has entrusted
important parts of the
oversight and operation of the
Fund to you and to the Board
with the understanding that we
follow the Regulations it has
set. Recent resolutions on the
Pension Fund have expressed
increasing concern with
regards to how that trust has
been managed. That trust
should not be taken for
granted and we are very
worried that should
Regulations continue to be
broken, the General Assembly
will seek alternative methods
to operate the Fund. We hope
you will agree that this
situation is best avoided and
that the General Assembly’s
trust remains vital at a time
that its support is required
for other major
reforms. We
recognise the urgency of the
situation but we believe it
could have been entirely
avoided. Calls have been made
since October for a special
session of the Board or
meeting of the Standing
Committee to ensure compliance
with the Regulations. Either
could have been convened by
the respective chairs at any
time. To this end
we recommend that you do not
accept the Mr. Levin’s
proposal as a recommendation
of the Board but instead
request that the minutes of a
special session of the Board
or meeting of the Standing
Committee be provided, in
order to satisfy Article 7(a)
of the
Regulations. We
also recommend, given the
departure of the current
Acting CEO on 31 December,
that existing delegations of
authority by the Acting CEO be
maintained so that staff of
the Fund Secretariat in Geneva
and New York may continue to
certify and approve payments
from 1 January and until a new
Acting CEO is appointed. If
necessary, an
officer-in-charge can be
designated from among the
senior staff of the Fund
Secretariat for the purpose of
maintaining those delegations
beyond the departure of the
current Acting CEO."
On the morning of December 18,
Inner City Press in writing
asked Guterres and his
spokesman Stephane Dujarric,
"December 18-4: Please
immediately confirm the SG's
receipt of, and state the SG's
action on, the Dec 14 letter
from staff unions for more
transparency in choosing the
next CEO of the UNJSPF Pension
Fund. I reiterate Inner City
Press' unanswered question on
transparency in the
replacement of Deputy High
Commissioner for Human Rights
Kate Gilmore." Five hours
later at close of UN business,
no answer to this question or
any other from Inner City
Press. The UN of Guterres and
Dujarric is corrupt. Here's
the letter: "Friday 14
December 2018
Dear Secretary-General,
As you may be aware, the
current CEO of the Pension
Fund will retire on disability
at the start of 2019.
In anticipation, the Pension
Board established the
Succession Planning Committee
at its 65th session in order
to identify a candidate for
Acting CEO pending the search
for a full replacement.
At the time the Board asked
that the Succession Planning
Committee’s proposal be sent
directly to you by the Bureau
(an entity that is not
explained in the Fund
Regulations and Rules and
whose existence has also been
questioned by OIOS on legal
grounds). However, as you will
be aware, the Fund’s
Regulations, as promulgated by
the General Assembly, actually
require that the Board first
agree that proposal, and then
in turn submit it to you as
its recommendation.
Article 7(a) The Chief
Executive Officer of the Fund
and a Deputy shall be
appointed by the
Secretary-General on the
recommendation of the Board.
The rationale for Article 7 is
that the Board, rather than
the Succession Planning
Committee, is ultimately
responsible for the
performance of the Fund’s
senior leadership.
A number of Board members have
noticed this discrepancy with
the Regulations and have
officially requested, since
November, that the Board hold
either a special session to
review and officially approve
the proposal of the Succession
Planning Committee, or
alternatively for reasons of
expediency and cost, call a
meeting of the Standing
Committee, which in between
Board sessions, can legally do
the same.
Mr. Antonio Guterres
Secretary-General United
Nations
We agree with this request and
to this end have also asked
both the Chair of the Board,
Mr John Levins, and Chair of
the Standing Committee to
convene a meeting in a timely
manner. We regret that
to-date, these requests have
not been answered, and at this
stage the majority of the
Board has no idea who is under
consideration nor who the
Succession Planning Committee
might propose; in keeping with
usual Board practice, the
Committee’s members have been
sworn to secrecy.
In order to ensure compliance
with the Fund’s Regulations
and uphold the values of
transparency and
accountability, we therefore
ask that any proposal
submitted to you by the
Bureau, be returned with a
request that approval first be
sought by either the Board or
Standing Committee.
At a time when OIOS has drawn
attention to the repeated
failures by the Pension Fund
to follow its own Regulations
and at a time when the Board’s
compliance with the
Regulations is under close
scrutiny by the General
Assembly, we urge you to
ensure that these same
Regulations be followed. It is
essential that the Acting CEO
you appoint is one that is
known by the Board and one
that enjoys the Board’s full
confidence and support. Only
in this manner can the Acting
CEO also enjoy the confidence
of the General Assembly and
Fund participants and can the
appointment process be
considered clean." Will
Guterres and is spokesman
answer when Inner City Press
asks in writing about it on
December 18? The Pension Fund
Board met in Rome from July 26
to August 3. (The Rome-based
publication Italian Insider
has covered Guterres'
censorship of Inner City
Press, here,
but those in charge of the UN
Pension Funds' billions seems
quite pleased or acquiescent
to it. Guterres is overseeing
and allowing UN litigation
against Italian Insider.) On
the Pension Fund corruption
and cover up front, a recent
audit, of the type Guterres
has refused to start about the
CEFC UN bribery scandal,
showed that the Fund’s
management used a $400,000
contract with a "Big Four
consulting firm" - Inner City
Press exclusively identified
it as PWC before being roughed
up and ousted from Guterres'
UN -- to then procure an
additional $1.8 million of
unrelated services, which
Inner City Press reported to
be outside UN procurement
rules. As the $1.8 million had
not been subject to
competitive bidding, the
consulting firm billed
extensively on hours for
senior partners. But in Rome,
this audit was not shared with
UN Pension Board members. The
Board’s audit committee, which
was aware of the audits, chose
not to disclose its views on
these audits. The Audit
Committee also withheld from
the Board that the Fund’s
management had not accepted
recommendations from the
Office of Internal Oversight
Services, to which Inner City
Press has repeatedly written
throughout this summer of
censorship, that would prevent
such events from happening
again. Those impacted say that
audit committee members were
required to sign a
confidentiality agreement -
echoes from 200 miles south.
One
recommendation coming out of
the Rome UN Pension Board
meeting is to give the UNJSPF
Deputy CEO job to an
under-qualified French
candidate, Thibaud Beroud. The
Deputy CEO post is important:
the CEO of the Pension Fund
has been out on extended sick
leave, like Heidi Mendoza the
head of OIOS. Beroud has
worked at the French Senate's
3000 member pension fund for
nine years -- but even the
UN's job notice for the Deputy
CEO position at the UNJSPF,
with 200,000 members, requires
a full 15 years of such
experience. (Inner City Press
is publishing the job notice
and Beroud's French Linked in
resume on Patreon, here.)
But this is how the UN works,
under Guterres. His Jan
Beagle, who under the changes
Guterres managed to get
through the UN Budget
Committee by remaining silent
on killings by Committee Chair
Tommo Monthe's Cameroon, will
be responsible for see that
(or if) Human Resources rules
are followed, has been made
aware of the problems but it
is UNclear what she is doing
about it. Ultimately as with
the expanding UN sexual abuse
and harassment scandals, the
rot is due to Guterres, and
his response has been...
censorship.
Because the
initial pretext of Guterres
and his "Global Communication"
ex-NYT bureau chief Alison
Smale to rough up and ban
Inner City Press, that it was
prohibited from covering the
UN Budget Committee meetings
as it has for ten years, fell
apart, Guterres' spokesman
Farhan Haq told Fox
News: “there have been a
number of allegations from
fellow journalists that Lee
has harassed them over the
years. 'A lot of journalists
have not just been harassed
but threatened by him and
that’s a problem,' Haq said.”
That
last line is extraordinary.
Without identifying a single
one of these "lot of
journalists," Haq declares
their anonymous allegations to
be true: "HAVE not just been
harassed but threatened me
him." This stands in contrast
to the UN not accepting - in
the case
of Alison Smale and Stephane
Dujarric, trying to not even
acknowledge receiving - Inner
City Press' written, on the
record allegations complete
with exhibits. It's called
favoritism, and censorship.
This same
Farhan Haq recently answered one
of Inner City Press' written
questions, about why Guterres
had taken no action on its
documented exclusive May 24 report
for which it received threats
(and subsequent letter
to Guterres and Smale) that
through presumptive nepotism,
management of the UN Security
Council's website had been given
to John
van Rosendaal,
the
photographer husband of Kyoko
Shiotani, the
chief of staff of Guterres'
Under Secretary General for
Political Affairs Rosemary
DiCarlo, previously US Deputy
Ambassador to the UN under Susan
Rice and Samantha Power. Haq responded,
"If there are
allegations of misconduct they
should be taken to the internal
oversight offices and
mechanisms. Unfounded
allegations do not constitute a
formal complaint." So how does
Haq for the UN now deem
anonymous allegations against
Inner City Press not only as
formal complaints, and as true?
How
corrupt has Guterres' UN
become? Even the Security
Council's website is a prize
to quietly be given to a top
official's spouse, with no
competition or transparency.
In May prior to being banned
from the UN in July by
Secretary General Antonio
Guterres, Inner City Press was
exclusively informed by
whistleblowers that Department
of Political Affairs chief of
staff Kyoko Shiotani's husband
John van Rosendaal has been
brought in to run the
Council's website, as if the
UN and its Security Council
were a small business suffused
in nepotism. After its
reporting, Inner City Press
was approached by a senior UN
person and told to drop the
story, or else. Then, in the
middle of a speech by Guterres
on June 22, Inner City Press
was pushed
out of the UN by UN Lieutenant
Ronald E. Dobbins and four UN
Emergency Response Unit
officers who, equipped with
automatic weapons, refused to
give their names. On July 3,
after a written alert
by Inner City Press to
Guterres and his team
including about
"irregularities in even how
the UNSC's website is run," a
more violent ouster
and 23 day ban
since. In the interim, more
information from sources about
the UN website corruption:
"Further to your article,
let me inform you that van
Rosendaal was hired at a P5
level (something that takes a
lifetime for career UN staff
to accomplish). And that he
won't be even making the web
site, that will be done by
another department, he will
just show up to meetings from
time to time. He has
absolutely no expertise in
design or development of web
sites and will not make any
contribution to the actual web
site. His contract was again
extended, and will probably
get another extension after
the new year. Similar sites
done by DPI in the past were
done with internal resources,
no extra cost and usually by
lower P level staff or G level
staff. In addition to this he
is asking for additional money
to hire external contractors
that are suppose to do some of
the actual work." Inner City
Press, from the bus stop in
front of the UN Delegates
Entrance where is it working
since banned by Guterres,
asked a follow up question, as
it cannot due to UN
Spokespeople given Guterres
ban: "what has USG Rosemary
DiCarlo (or anyone else) done
about this, since it was
exposed?" The reply: "Nothing
much was changed. I believe
only you reported it and they
don't consider that as much
negative exposure. So pretty
much business as usual. This
project is financially
supported by the Dutch
government and John is Dutch
so... The total cost with his
P5, the other offices involved
and external contractors that
John is hiring could reach
probably close to half million
dollars" or, we're told,
double that. So it was simple
for Guterres' (and it seems
DiCarlo's) UN: do nothing
about the blatant corruption,
just rough up and ban the
Press which alone reported on
it. Finally on July 30, with
Inner City Press still banned
from the UN by Guterres for
the 27th day in a row,
Guterres' deputy spokesman
Farhan Haq after the noon
briefing Inner City Press
could not attend emailed this,
which we publish in full: "If
there are allegations of
misconduct they should be
taken to the internal
oversight offices and
mechanisms. Unfounded
allegations do not constitute
a formal complaint. Mr. Van
Rosendaal was hired via proper
channels in accordance with
standard procedures. He is
fully qualified for the job.
The Security Council website
has not been “given” to
anybody. Mr. Van Rosendaal is
the project manager for SCAD.
Other UN offices are also
involved in this
project. We will leave
it up to the Member State to
announce its involvement, but
Mr. Van Rosendaal’s position
is outside the budget provided
by the Member State. His
nationality had nothing to do
with his hiring." So it seems
that the information provided
to Guterres and his team on
July 25 was not even passed on
by him or his team to OIOS.
We'll have more on this OIOS -
watch this site.
***
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