Wolfowitz has appointed Suzanne Rich Folsom to head the Bank’s department of institutional integrity. Folsom, a US national and former attorney, joined the Bank in 2003 as counsellor to the president. She is married to George Folsom, former head of the International Republican Institute, a rightwing think-tank linked to coup attempts in Haiti and Venezuela. Most observers see the appointment as a response to pressure from US congressional hearings on corruption in the multilateral development banks (see Update 40).

Adding to the long list of resignations of senior Bank staff (see Update 48), Robert Dañino, general legal counsel has announced his departure, rumoured to be unhappy with Wolfowitz’s leadership.