World finance chiefs who led Brexit scaremongering branded ‘clowns’ over handling of the European financial crisis
MPs hit out after the IMF’s own watchdog found staff its misled own board
WORLD finance chiefs who led Brexit scaremongering were branded “clowns” yesterday after a damning report savaged their handling of the European financial crisis.
MPs hit out after the International Monetary Fund’s own watchdog found staff misled their own board, made serious misjudgments in Greece, became euphoric cheerleaders for euro project and ignored crisis warnings.
The watchdog blasted a “culture of complacency” and accused the IMF of being over-optimistic about ailing countries’ banking systems until the disastrous collapse in 2008.
And it set out how the IMF became a cheerleader for the euro despite internal concerns as it decided to back “Europe’s political project” and fell victim to “groupthink”.
The devastating verdict on the IMF’s handling of the financial crisis and bailouts to Greece, Portugal and Ireland is a major embarrassment to IMF boss Christine Lagarde and her sex party-loving predecessor Dominique Strauss-Khan.
And it raised questions as to why the IMF was allowed to play such a big role in the EU referendum campaign.
Ms Lagarde led passionate pleas for the UK to remain in the EU as the IMF warned Brexit would lead to recession and hit living standards.
It sparked calls for a clear-out of senior IMF figures.
UKIP MP Douglas Carswell raged: “For years we have been told the IMF is full of great experts whose every word and utterance should be considered with great care.
“It turns out they are clowns.
“Their own watchdog has discovered that they spouted whatever was politically expedient to spout, whether that was defending indefensible bailouts, supporting the Euro or demanding that Britain stays in the EU.
“The IMF is an incredibly important organisation but it has been taken over by the buffoons who meet in Davos.
"The British Government should make sure there are some proper economic experts in charge rather than failed French finance ministers – and that should also rule out any job for George Osborne.”
Tory MEP Daniel Hannan added: “I argued against the appointment of Christine Lagarde because she had already made clear, as French finance minister, that she was prepared to break the rules in order to preserve the Euro.
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“She has done the same at the IMF, badly compromising that organisation.
“Her ridiculous warnings against Brexit were all really about trying to save the euro, and are already unravelling.
“Plainly, the non-EU members of the IMF are also sick of her behaviour.
“It’s time to let someone from outside Europe take over at the IMF, and begin the task of restoring its credibility.”