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I was thinking of having a sentence that goes like:

This situation presents the paradox of ________.

Basically, I want to say that it's ironic that the worst human rights abuses can be traced back to World Bank but at the same time, World Bank declares the human rights issues to be completely out of their responsibility.

What World Bank is saying is that human rights is completely outside their mandate. At the same time, they're the source of the worst human rights abuses

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    Does Company X actually acknowledge that they produce bad things—while trying to excuse it—or are they claiming that they don't produce bad things? (Also, your irony sounds like a good word in general . . .) – Jason Bassford Supports Monica Jan 10 '19 at 21:34
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    "it's ironic that the worst human rights abuses can be traced back to Company X but at the same time, Company X declares the human rights issues to be completely out of their responsibility" I don't see any irony here, nor do I see how you would say the source is "clean" in any way here. – Laurel Jan 10 '19 at 21:41
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    I would call that hypocrisy. – Robusto Jan 10 '19 at 21:57
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    I think you'd need to say how Company X are complicit and how they are able to pretend(?) to wash their hands of the human rights abuse. Please edit and add more detail. – tmgr Jan 10 '19 at 22:50
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One would say that Company X keeps their hands clean.

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There is an idiom that seems to be appropriate here:

sail under false colors

According to Collin's Dictionary:

To behave deceptively;  the “colors” of a ship are its  identifying flags:  “It turned out that the door-to-door sales rep  was sailing under false  colors and was  actually a swindler.”

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I would call Company X a wolf in sheep's clothing.

a malicious person in a harmless or benevolent disguise

  • Collins English Dictionary. Copyright © HarperCollins Publishers
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