Introduction - The Fundacion's Story
Of Bats and Ectoparasites
Learning to Preserve

"I was delighted by the idea, but I was very scared," recalls Greta Gustafson, a rancher and founding executive board member. "How in the world are we going to raise that money?" she said. "I had worked for many charity groups, but we had raised money through bake sales -- but $7 million? -- I had no idea how to raise that."

In December, 1988, the group founded the Fundacion Moises Bertoni, naming it after a Swiss-born naturalist who had immigrated to Paraguay and made a name for himself internationally for his scientific discoveries. Gauto was named the group's executive director. At the same time, U.S. Ambassador Timothy Towell and his wife Dane had taken up residence at the U.S. Embassy in Paraguay. Gauto and Randall couldn't have found better allies. The couple were strong environmental supporters.

"It was the one thing he could talk about without offending Stroessner," said Randall. "The ambassador was good at keeping the issue on the front burner."

At the time, the World Bank was getting more and more criticism for its lack of attention to environmental matters. It had recently issued a mandate that none of its policies would contribute to the significant loss of tropical forests.

Another window of opportunity opened up in February of 1989 when General Stroessner was overthrown by his right-hand man, General Andres Rodriguez. "Seeing that this project would not require an economic cost and would help improve Paraguay's image, Rodriguez instructed the government to collaborate," says Gauto. "It was springtime for the environment in Paraguay," he added.

NEGOTIATING TO SUCCESS

Eventually, the World Bank started to cave in. "The head of the IFC phoned me one day and said, "Come on over, we need to talk,"" says Randall. Through a series of negotiations, The Nature Conservancy, FMB, the World Bank and the IFC came up with a plan. By this time, the asking price had dropped to $5 million. Taking a chance, Randall put up an offer of $2 million in cash. Nature Conservancy president John C. Sawhill had agreed to lend the money from the Conservancy's Land Preservation Fund. The Bank said, "let's talk further," says Randall.

After much debate -- the issue was quite controversial among member countries who saw the difference of $3M as an outright donation to only one nongovernmental organization -- the Bank accepted the offer but returned with a series of conditions: first, that the rights of the indians would be respected; second, that the land would not be expropriated; and finally, that a provision be made for the protection and management of the land once acquired.

Gauto and Randall managed to raise the needed funds without having to take out a loan from the Conservancy. An anonymous donor from Ohio gave $750,000. The U.S.-based utility, AES Corporation, donated $500,000. USAID gave $500,000 and miscellaneous donors gave another $250,000.

Continues next page

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