EU Lets Debt Problems of Corruption Riddled Greece Slip By

EU Lets Debt Problems Slip By - WSJ.com-by Stephen Fidler

After months of complaints from governments and industry about the overvalued euro and the damage it is causing to economic growth in the euro zone, someone at last has done something about it. The euro fell to the lowest level against the dollar for three months Thursday thanks to Greece and its debt downgrades by two rating firms.

But if anyone was grateful to Greece, whose profound fiscal problems are being blamed for this hoped-for currency reversal, they weren't announcing it.

Indeed, it is probably not praise that is ringing in the ears of the Greek finance minister, George Papaconstantinou, as he travels Europe this week to drum up support for his government's tepidly received plan to bring its budget deficit under control.

Georges Ugeux, chairman and chief executive of Galileo Global Advisors, a New York boutique financial advisory firm, says repeated failure of European efforts to force Athens to put its house in order and deal with corruption, a big parallel economy, and fiscal fraud is starting to have important consequences.