UN close to finalising disclosure rules on gifts By Hugh Williamson and Mark Turner July 27 2005 The Financial Times http://news.ft.com/cms/s/08003dd8-fed5-11d9-94b4-00000e2511c8.html The United Nations is close to finalising new disclosure rules that would force senior staff to report any gift worth over $250 rather than the current $10,000 threshold. UN officials told the FT that the new rules would also lower the level at which assets must be reported - from $25,000 to $10,000. The new policy, which aims to bring the UN secretariat in line with other national and international administrations, will apply to director level positions and above. Previous rules covered only those at or above assistant secretary-general level. Other staff, including those working in areas such as procurement that are most prone to corruption, could be included on a discretionary basis. The decision, which must still be approved by the UN’s management committee and the UN General Assembly, is part of a wider effort to convince critics the organisation is taking financial and ethical accountability more seriously. Fraud and mismanagement in the UN’s oil-for-food programme for Iraq have prompted strong criticism from the US and others. Meanwhile member states’ battle over reform of the UN Security Council descended into acrimony yesterday after Italy accused Germany, Japan, India and Brazil of blackmailing poor countries into supporting their joint bid for permanent seats on the council. One German foreign ministry representative dismissed as “ungrounded” charges by Marcello Spatafora, Italy’s UN ambassador, that the four countries, known as the G4, were using “improper and unethical behaviour” to win General Assembly votes for their reform proposal. In a highly emotional speech to the assembly on Tuesday, Mr Spatafora accused one of the four countries of this week cancelling a $460,000 (¬ 382,000, £264,000) project in a country that opposed the G4 proposal. Rome said later that it had evidence to back its accusation, but would not publish it as Italy  did not want to sp ark conflict”. Italy is a leading opponent of the G4 proposal as it is against Germany gaining a permanent seat. Hint of compromise on Security Council reform The outburst came amid signs that the African Union and the G4 might be edging towards a compromise to end the wrangling that threatens to sink any reform of the Security Council. The G4 wants to expand the Council from 15 to 25 seats, including six new permanent seats, with two reserved for Africa. The AU said yesterday that it would hold an emergency summit in the Ethiopian capital, Addis Ababa, on August 4 to resolve internal differences over its stance. One UN diplomat said that a deal could involve AU countries agreeing to drop their demand for the two permanent seats to be given veto rights, in return for an extra non-permanent seat that would float between Africa, Asia and Latin America. That would bring the new Security Council to a total of 26 members. But it is far from certain the AU will rally behind that position