Earlier on you heard Ralph Fonseca explain that he didn't know about or approve over a million dollars in legal fees paid to Glen Godfrey. Later on in the day he spo0ke about who really destroyed the DFC? He says blame the IMF.
Merlene Bailey-Martinez,
"Why are we at this point where DFC according to the prospectus was being liquidated and now DFC's activities are so scaled down that it has been redesigned just to manage the securitization portfolio?"
Hon. Ralph Fonseca,
"The short answer in my understanding is that DFC fell victim to a well orchestrated political agenda that was oiled by a determined determined ideology of the international financial institutions. That is the short answer."
Merlene Bailey-Martinez,
"I almost feel like I should get up and cheer. Actually that was not by question. In terms of, I was not advocating on behalf of the IMF, I was just looking at the performance of the DFC and the projects that, the fiscal arrangements that the DFC had been involved in, had some adverse implications on the performance of the DFC."
Hon. Ralph Fonseca,
"If we had the will, the DFC could have been salvaged and showed how it could have been salvaged. I have said many times in my testimony today that it was government policy that caused those assets to move over to the DFC, that brought that additional burden and that we always intended to pay for it and that in fact it has been paid for as a government policy. Those are the major points that I was trying to make. The fact that you made reference, Madam Commissioner, I figure we've been getting along very well today because we had something in common, you understand the IMF problem, you understand the need for a development bank, so you understand development. We didn't need the IMF is what I am saying to tell us that we were walking a tight rope. We knew we were walking a tight rope. When you get into government and you have minus seventeen million dollars in the Treasury, what else are you going to do."
The hearings continue on Tuesday morning when Glen Godfrey is scheduled to appear.
