Following the arrest of International Monetary Fund Managing Director Dominique Strauss-Kahn on charges of sexual assault and attempted rape, the IMF named John Lipksy, a former JPMorgan and Salomon Brothers economist, its new man in charge.
Lipsky, who just a few days ago announced that he would be leaving the IMF at the end of August, had been serving as the Fund's first deputy managing director, focusing on the credit crisis in Greece. Previously, in the wake of the financial crisis, Lipsky spearheaded IMF efforts to better identify global economic "vulnerabilities and risks" and to "propose specific remedies" to worldwide economic problems.
This is Lipsky's second time working at the IMF. Prior to joining the investment bank Salomon Brothers in 1985 (Salomon was later swallowed by Citigroup), he worked for the Fund (as the IMF is often called) for more than a decade, during which time he famously helped Chile out of its financial crisis while the country was under the military dictator Augusto Pinochet.
At Salomon Brothers, Lipsky led the bank's European economic and market analysis group; he later served as its chief economist -- a position he also held at J.P. Morgan.
Colleagues of Lipsky describe him as "low-key," "capable," "methodical," and "a very talented economist, probably one of top in the world right now." They also call him "a steady hand who can give the fund some stability in the aftermath of Strauss-Kahn's arrest."
However, at least one colleague believes that since Lipsky has plans to leave the IMF, "he's unlikely to push any major initiatives."
Lipsky, who, along with his impressive professional background, has a very fine collection of facial hair above his lips-ky, received his undergraduate degree from Wesleyan University and his doctorate in economics from Stanford.
(Bloomberg: IMF in Wake of Scandal Turns to Lipsky)