UN Envoys Deadlocked Over Management Changes Sought by Volcker 

By Bill Varner
September 8, 2005
Bloomberg
Original Source:  http://www.bloomberg.com/apps/news?pid=10000086&sid=aYSjyIPVayeQ&refer=latin_america
Sept. 8 (Bloomberg) -- Diplomats at the United Nations said they can't agree on proposed improvements in management and oversight of the world body, a day after former U.S. Federal Reserve Chairman Paul Volcker said in a report on corruption of a UN-administered program that such changes are urgently needed. 
One issue is whether to give the secretary-general greater authority to hire, fire and transfer workers, Ambassador Nirupam Sen of India said. He said developing nations that form a majority in the UN General Assembly want to retain their traditional control over personnel issues, while the U.S. and other industrialized nations want the secretary-general to have the authority of a corporate chief executive officer. 
There were ``two camps,'' one that wants to give the secretary-general ``carte blanche,'' and one that wants the General Assembly to continue to ``monitor very closely the way he operates,'' Algerian Ambassador Abdallah Baali said. 
Volcker, in his final report on UN administration of the $69.6 billion Iraqi oil-for-food program, criticized Secretary- General Kofi Annan's management and oversight of departments he leads. He said Annan, the Security Council and the UN agencies that ran the program ``were not up to the truly extraordinary challenges'' of the world body's mandate. 
Saddam Hussein 
The report on the program, through which deposed Iraqi dictator Saddam Hussein skimmed about $13 billion, said the UN ``requires stronger executive leadership, thorough administrative reform, and more reliable controls and auditing.'' 
Volcker recommended creation of the position of UN chief operating officer to handle administrative responsibilities for the secretary-general, and formation of an independent auditing board. 
Annan, while acknowledging mistakes, has asked for more money to ``attract, retain and develop a cadre of professionals capable of carrying out these operations,'' and authority to ``move them from post to post in a fair and practicable way'' and review all mandates older than five years. 
The U.S. has taken the lead in calling for change, with Ambassador John Bolton asking all UN member governments in an Aug. 30 letter to make changes that will create an organization that is ``fully accountable, transparent and efficient, and a workforce based on the highest standards of integrity and competency.'' 
New York Summit 
UN envoys for months have been debating proposed management changes for U.S. President George W. Bush and more than 150 other heads of state and government to endorse when they gather in New York next week. The UN is calling the Sept. 14-16 summit, to mark the 60th anniversary of the world body's creation, the largest meeting of world leaders in history. 
The White House said today that Bush would be in New York on Sept. 13 and 14 for meetings with other leaders and to ``stress the United States' commitment to a broad international agenda that recognizes the connection between freedom, democracy, trade and development, and security.'' 
Australian Ambassador John Dauth said the difference was between ``visions of what the position of secretary-general should become, modernized or stay with the old ways,'' which he described as General Assembly ``micromanagement.'' 
Russian Deputy Ambassador Konstantin Dolgov said his government is reluctant to authorize funding of all the changes Annan and Bolton are seeking. 
`Fundamental Problems' 
``There are fundamental problems,'' India's Sen said. ``It is a broad divide between the North and South. We cannot be part of a solution that makes the problem worse. We want the balance of flexibility and accountability to be struck, and that is not in the proposal on the table.'' 
After a discussion of the issue today by representatives of 30 UN member governments, U.K. Ambassador Emyr Jones Parry said that ``to be really positive about it, we stood still.'' 
Diplomats said today they cleared one major hurdle to agreement on a summit declaration by agreeing to a U.S. proposal that will allow Bush and other world leaders to endorse development goals for poor nations. 
Talks had been deadlocked over U.S. opposition to any reference in the summit's draft declaration to the UN's Millennium Development Goals because they include specific development targets, such as halving world poverty and reducing infant deaths by two-thirds by 2015. 
South African Ambassador Shadrack Kumalo said a ``major breakthrough'' came after Bolton offered compromise language that will recommit Bush and the other leaders to previously adopted development objectives and include references to the Millennium Development Goals in the declaration they will adopt.