EX IMF economist:IMF Knew Crisis Was Coming

Peter Doyle a now ex economist who for the last 20 years work at the IMF and in a
resingnation letter said he is "ashamed" to have worked there and might just
be telling us that it knew the crisis was coming.

In the letter, dated 18 June and obtained by the US broadcaster CNN, Mr Doyle said the failings of IMF surveillance of the financial crisis "are, if anything, becoming more deeply entrenched".

He writes: "This fact is most clear in regard to appointments for managing director which, over the past decade, have all-too-evidently been disastrous.

Even the current incumbent [Christine Lagarde] is tainted, as neither her gender, integrity, or elan can make up for the fundamental illegitimacy of the selection process.

The highlight of the letter is this bit.

"This is not solely because of the incompetence that was partly chronicled by the OIA report
in to the globle crisis and the TSR report on survaillance ahead of the euro area crisis.
Moreso, it is because the substantive difficulties in the crises,as with others, were identified
well in advance but where surpressed here."

So is this a big pointer that the IMF knew the crisis was coming and did nothing and
if so why?

The only reply the IMF has about the letter is this.

The IMF could not be reached immediately by the BBC. However, CNN reported that a Fund spokesman told it that there was nothing to substantiate Mr Doyle's claims and that the IMF had held its own investigations into surveillance of the financial crisis.

BBC

cnnibusiness.files.wordpress.com...

The IMF investigating itself and found nothing what a shock but thats not too
unexpected.There was a lot of fringe economists taking about a bubble in housing
and to much debt but nobody was listening even the highy payed (and Tax free by the way)
experts at the IMF.

Incompetence and on the gravy train or conspiracy and on the gravy train i'm
still not sure which.

reply to post by skuly

I can't believe there have not been more responses to this. Do people not understand the weight of this or what?


Adding this from ZEROHEDGE:

The rats everywhere are now jumping furiously off the titanic, but few had taken the time to write a letter explaining in detail just how cracked and broken the hull really was. This has now changed, with the departure of Peter Doyle, formerly a division chief in the IMF’s European Department responsible for non-crisis countries and currently an adviser to the Fund. Not content with quietly slinking off the scandal ridden organization which has become the butt of all jokes in the international community, where humor about Lagarde's Louis Vuitton panhandling bag is as pervasive as punchlines about just how incompetent the organization is at actually doing its duty, Doyle has penned the following scathing letter which tears down every myth about the IMF: from its impartiality, to the selection process of its head, to its effectiveness. The letter also contains the following gem: "After twenty years of service, I am ashamed to have had any association with the Fund at all." Pretty much says it all. This is a scandal in the making, and one which may shake to the core the credibility of the IMF in the context of international organization.