Potential Peruvian OIOS Candidate

C O N F I D E N T I A L LIMA 001689 NOFORN SIPDIS FOR IO/MPR - MATT GLOCKNER, IO/MPR - BRIAN HACKETT, USUN/MR - BRUCE RASHKOW, AND USUN/MR - CHERITH NORMAN E.O. 12958: DECL: 2019/12/03 TAGS: AORC UN PREL AMGT PE SUBJECT: Potential Peruvian OIOS Candidate REF: STATE 117720 CLASSIFIED BY: James D. Nealon, Deputy Chief of Mission; REASON: 1.4(B),(D) ¶1. (C) Genaro Matute is known to the Embassy from his time as Peru's Comptroller General (CG - rough equivalent of a government-wide Inspector General) from October 2001 to October 2008, who served during two successive administrations (Toledo and Garcia). He is seen as having done a credible job in a difficult environment in which political influence in state institutions and public spending decisions is a problem. The USG, particularly USAID, worked closely with Matute in designing and establishing the anti-corruption pillar of Peru's MCC Threshold Program, but his term ended before the program's implementation began. Toward the end of his tenure as CG, some critical media reports raised questions regarding Matute's integrity, and accused him of allowing his wife to use an official vehicle for personal purposes. Nevertheless, Matute retained favor with the GOP and was appointed in August 2009 to the head of the Prime Minister's Anti-Corruption Unit. ¶2. (C) The following are responses keyed to the questions raised in para 8 of reftel: - Matute's expertise within the accountability/oversight community is relatively extensive, including seven years as Peru's CG. He does not have experience directly related to the UN. - Matute's reputation of impartiality and professionalism within the country is strong. - Our GOP contacts are unaware Matute is being considered as a candidate for the OIOS position, and have no official view as to his fitness to serve at the UN. When queried, MFA contacts echoed the view of Matute as an upstanding public servant with no likely skeletons who performed capably for seven years as Peru's CG. - Matute was well-regarded by his staff as a serious, disciplined and even-handed leader. His successor has echoed this view while suggesting that Matute's management was characterized by a degree of disorganization, incomplete record-keeping and lack of planning for a future. For example, the Comptroller's office has very little presence outside of Lima, notwithstanding a government-led decentralization policy that has resulted in increasing public decision-making and budgetary authority being transferred to the sub-national level. (This criticism may have a political rather than a purely substantive or objective connotation.) - Matute is known for "speaking truth to power" and also maintaining management's trust, respect, confidence, and cooperation. His subsequent appointment as head of the PM's Anti-Corruption Unit underscores this latter point. - We are unaware of information that would disqualify Matute from serving as head of the OIOS. - We will forward Matute's CV separately to Peru desk office, IO/MPR and USUN/MR. ¶3. (C) We believe Matute could make a capable UN manager, and we support his being considered as a candidate for the UN OIOS position. That said, it is unclear that his experience and accomplishments to date have prepared him for a challenge of this magnitude. MCKINLEY