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In Corrupt UN of Guterres Scarcia of UNIDO Again IDd by Whistleblower fearing Retaliation

by Matthew Russell Lee, Patreon Book Substack

UN GATE, Oct 3– How corrupt is the UN system under Antonio Guterres? A month after our first Inner City Press story on UNIDO, we add to it, below:

"Dear Matthew Lee, We are writing to urgently bring to your attention serious concerns regarding the mismanagement and potential misappropriation of European Union funds allocated to the United Nations Industrial Development Organization (UNIDO).  Our efforts reporting Ygor Scarcia internally to UNIDO Human Resources and the Internal Oversight Directorate have gone in vain.

Mr. Ygor Scarcia appears to be protected...

Mr. Scarcia has submitted forged invoices and deliverable reports to justify approvals from the UNIDO finance and procurement team, transferring payments to vendors with personal ties. These funds are then channeled to offshore bank accounts [End of Part 1] And now:

Employees within the UNIDO Finance and HR departments are anxious to come forward due to harassment and threats from Mr. Scarcia. Finance team members at UNIDO in Vienna, who have witnessed Mr. Scarcia’s fraudulent practices, have been coerced into approving payments through constant harassment and threats. One finance team assistant admitted that Mr. Scarcia threatened her in the hall on the 18th Floor at UNIDO during Mr Scarcia’s visit to Headquarters in November 2023.  She was later found sobbing and shaking in the women's bathroom. We have spoken to her, and she confirmed the story but refused to be named or come forward due to fear of retaliation.  We urged via OLAF the European Union to initiate an immediate and thorough audit of Project ID 200319 and Grant ID 2000004755 to ascertain the extent of the financial irregularities and take appropriate corrective actions. Additionally, we requested that FAO and UNDP suspend all current and future funding commitments to Mr. Ygor Scarcia and Mr. Najib Abdi. It is crucial to ensure that all involved parties are held liable and that measures are put in place to bring them to justice and prevent such occurrences in the future.  Allies and Connections  Furthermore, BEGER Gunther and Jason Slater are believed to be Mr Scarcia’s closest allies within UNIDO walls, benefiting from the embezzlement through kickbacks. Mr Beger, with a history at the World Bank, was appointed to UNIDO by Director General Gerd Mueller due to their past acquaintance....  Given the serious nature of these allegations and the potential for retaliation by Mr. Scarcia, we formally request whistleblower protection in line with EU and UN regulations. It is vital to ensure that individuals who come forward with such information are safeguarded against any form of reprisal.  Please consider this email a formal whistleblower report. We trust that you will handle this matter with the seriousness it deserves. We kindly ask you to facilitate leaking this story through appropriate channels to the mass media and through your own networks and the journal called Inner City Press.  Thank you for your prompt attention to this urgent request. We appreciate the vital work you do [End of Part 2 - and what is the UN system doing? Nothing

Part 3:

Jason Slater and Ygor Scarcia, UNIDO, in the context of the ambitious transformational change promised under the leadership of DG Gerd Müller, has continuously exploited the vulnerabilities within UNIDO's oversight mechanisms. The investigation into Scarcia's actions reveals a disturbing pattern of misconduct that erode the integrity of UNIDO. Scarcia has been manipulating financial records to misappropriate donor funds for personal gain, violating UNIDO's legal obligations. He engaged in bribery, silencing employees who were aware of his financial misconduct. Mounting evidence suggest that Scarcia issued threats to individuals who refused to comply with his demands, creating a climate of fear within the organization. The situation has escalated, with reports of Scarcia making physical threats against individuals who oppose him. UNIDO's leadership has failed to address these serious acts of intimidation, allowing Scarcia to operate with apparent impunity. Jason Slater, in collusion with Ygor Scarcia, unlawfully terminated Mr. Sebastian Hochwallner following Hochwallner’s whistleblowing on Scarcia's illicit operations. Such actions also contravene EU directives and Austrian law on whistleblower reprisal. The manipulation of financial records by Scarcia and Slater exposes broader corruption within UNIDO's internal controls, implicating the involvement of dozens of UNIDO officials. Slater has played a critical role in instructing Scarcia to fabricate operational bills and misrepresent financial data to deceive the Director General and UNIDO member states. This involved inflating expenditures in violation of donor agreements to enhance the perceived effectiveness of technical cooperation capabilities and misled stakeholders about the legitimacy of UNIDO’s financial operations. Why are UNIDO's Directors of Oversight and Human Resources failing to take decisive action against Scarcia despite overwhelming evidence of misconduct and actively defending him? How were financial records manipulated without detection by UNIDO’s oversight mechanisms, and what role did Slater play in it? Who are the other individuals involved in this illicit scheme? Why did Scarcia and Slater collude to aggressively pursue Hochwallner's dismissal following his revelations of Scarcia's illegal operations? What caused for the Oversight Directorate of UNIDO to take harsh action against Sebastian Hochwallner, despite his adherence to the organization’s Policy on Fraud Awareness and Prevention and Whistleblowing? Who is Egbert Von Mentzingen, and what is his relationship with Scarcia in defending him and continuously facilitating the authorization of unqualified procurements in Somalia?  Why has a comprehensive internal audit not been conducted to uncover these financial irregularities? What steps are being undertaken to address the evident violations within UNIDO’s leadership? Scarcia's ongoing evasion, intimidation, and threats of violence are deeply concerning. UNIDO's failure to restore trust has necessitated the compilation of a comprehensive report detailing all the evidence we have gathered. This report will be submitted to the UN Secretariat, the Austrian Criminal Intelligence Services, Austrian Federal Bureau of Anti-Corruption, and the European Commission Secretariat to initiate a legal investigative action into Ygor Scarcia and all UNIDO employees involved in Scarcia's illicit operations.

Keep it coming. Though Inner City Press remains banned by Guterres and no response by his Melissa Fleming to this, we continue reporting - keep it coming. And watch this site.

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