Financial Times FT.com

World Bank crisis becomes perilous

Published: May 10 2007 03:00 | Last updated: May 10 2007 03:00

At some point even a sole superpower must recognise reality. Hopes for an effective presidency of the World Bank by Paul Wolfowitz are over. He must either go or be the lame-duck president of a deeply damaged institution.

The special panel established to investigate Mr Wolfowitz's behaviour towards the re-assignment of his girlfriend has concluded that he violated rules governing conflict of interest. Mr Wolfowitz's lawyer demands sufficient time to prepare a rebuttal. This request should be granted to remove suggestions of a lack of due process. But if this concession is granted, the administration must accept the legitimacy of the outcome of that process.

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