Meddling in Haiti… Again
And on a more depressing note, the Times also has an article today on a new report (PDF) that describes how the U.S. government blocked the disbursement of loans intended to fund clean-water and sanitation projects in Haiti for political reasons.
The revelation of the role the American government played in keeping the loan money from reaching Haiti is the most disturbing part of the report–though given our history in that country it would be difficult to describe the news as shocking–and I’ll get to it in a moment.
But the report’s real effort–and arguably its most important–is to construe this meddling as a human rights violation. Specifically, the report concludes that “it is clear that actions taken by the United States in blocking IDB development loans earmarked for water projects in Haiti were a direct violation of the U.S. government’s human rights obligations.”
The key conceptual hinge for this argument, which seems fairly novel to me as a legal argument (but what do I know?) is that
the human rights of individuals in many parts of the world—including the right to water—are directly affected by the actions that some States take at the international level through international organizations, development programs and, most importantly for this report, IFIs [international financial institutions]” (p. 50).
This opens the path to the report’s conclusion that
the United States actively impeded the Haitian State’s ability to fulfill the Haitian people’s human right to water through its actions, thus breaching its duty to respect human rights. Such blatant frustration of the object and purpose of the human rights treaties to which the United States is a signatory or a State party is a clear violation of international law.
In any case, here are the paragraphs that describe the U.S. government’s interference with the Haitian loans, from pages 11 and 12 of the report, which was jointly authored by the Center for Human Rights and Global Justice (CHRGJ), Partners In Health (PIH), the Robert F. Kennedy Memorial Center (RFK Center), and Zanmi Lasante:
In December 2001, the Treasury Department circulated the following language to its own staff and to that of the USED [United States Executive Director’s Office of the Inter-American Development Bank]:In return for the formation of a [Provisional Electoral Council] formed on this basis, the [U.S.] Ambassador may tell Aristide that the U.S. would not oppose the gradual release of [the loans] provided that the conditions for their disbursement are satisfied … the U.S. would adopt a helpful posture in the IDB on the release of some of the resources pending in that institution. The Ambassador should stress that the U.S., however, believes it is inappropriate for pending resources to be released.
The IDB’s Articles of Agreement explicitly prohibit taking such political considerations into account:
[t]he Bank, its officers and employees shall not interfere in the political affairs of any member, nor shall they be influenced in their decisions by the political character of the member or members concerned. Only economic considerations shall be relevant to their decisions, and these considerations shall be weighted impartially in order to achieve the purpose and functions stated in Article I.
Instead of adhering to the Bank’s Articles of Agreement—to which it had committed itself to give “full force and effect” when it became a member—the U.S. government demonstrated every intention of using its power within the IDB to tie the release of the loans to its definition of political progress. It subsequently began to explore avenues within the IDB to block the release of these loans.
Treasury Department officials approached Bruce Juba, Special Counsel in the USED’s office, about the possibility of blocking the loans. Mr. Juba responded that because the four loans faced no legitimate technical obstacles and had already been approved, the United States could not use its veto power in the FSO to block their disbursement.lxxx On this matter, he was unequivocal, stating that: “The 4 loans approved by Parliament have NO obstacles to disbursement at this point,” and that, “THERE IS NO ‘VETO’ UNLESS CONDITIONS PRECEDENT HAVE NOT BEEN MET AND A BOARD WAIVER IS REQUIRED.” (emphasis in original).
Met with this obstacle, Juba suggested a different way of achieving the same goal: the U.S. government could, through various means, “slow” the disbursement process….
The Treasury Department seized upon Juba’s suggestion and—to implement this “slowing”
tactic—began drafting a letter for the USED’s Lawrence Harrington to send to IDB President
Enrique Iglesias…. The true purpose of the letter was clear in Juba’s reference to it
by email, when he wrote to Treasury Department staff saying, “I hope to get final OK to have Larry Harrington sign [the letter] tomorrow. While this is not a ‘bullet proof’ way to stop IDB disbursements, it certainly will put a few more large rocks in the road.” (emphasis added).As this discussion was taking place internally within the U.S. government, it was clear that
there was no valid reason to continue withholding disbursement. The fact that the concerns being raised by the United States were irrelevant was evident in a presentation by IDB’s Country Division Chief, Richard Archi, to IDB member States at a Haiti Informal Donor’s Meeting at the World Bank on April 4, 2001. In his presentation, Archi confirmed that: the loans were current, as they had been updated the previous year; the OAS position on the political situation in Haiti was irrelevant to the IDB’s disbursement process, contrary to the implication made by the U.S. government; and finally, that Haiti had only $800,000 of arrears at that time, which would not impact disbursement.

