Germany Suspends Payments To Global Health Fund

270 million) for 2011 will be withheld from the Global Fund to Fight AIDS, Tuberculosis and Malaria pending a complete analysis by Germany into the corruption that the fund’s own researchers are turning up. German Development Minister Dirk Niebel said the serious questions elevated in two AP articles on Sunday and Monday require a thorough investigation.

The AP reported Sunday the fund’s new investigative device has discovered that high percentages of some agreement money for healthcare were consumed up by problem. Germany is the fund’s third largest federal government donor behind the U.S. The Global Fund, created in 2002, was setup to get money into the hands of countries and organizations fighting those diseases straight, bypassing traditional troublesome U.N.

3 billion a yr and promises to have saved 6.5 million lives by delivering AIDS and TB treatment and handing out thousands of insecticide-treated malaria bed nets. 34 million in losses due to forged documents, improper bookkeeping and other widespread fraud and said Germany has summoned a Global Fund representative to go over the reports. AP, speaking on condition of anonymity in line with German government policy.

Global Fund spokesman Jon Liden told the AP that donors are responding from what he called deceptive media reports. Liden said the fund will answer any questions Germany may have in talks in a few days in Bonn. 4 million was misappropriated. Half of Mali’s TB and malaria offer money went to supposed “training events,” and signatures were forged on receipts for per diem obligations, travel and lodging expenditure claims. The fund says Mali has arrested 15 people suspected of committing fraud, and its health minister resigned without explanation two days before the audit was made public. Niebel, of Germany’s pro-business Free Democrats, has been less enthusiastic about the Global Fund than his Social Democratic predecessor.

He also has not yet requested next year’s euro200 million donation to the account to be reserve in his ministry’s budget. The fund’s inspector general, John Parsons, launched a fresh investigative device in 2008. Last fall, he called Robert Appleton as its innovator, a decorated ex-U highly.S. U.N. anti-corruption job drive chairman. Swedish Development Minister Gunilla Carlsson said there had been progress toward addressing Swedish concerns in that meeting. Since Tuesday, the finance has been greeting all visitors to its website with a declaration reacting to the AP tales and describing how finance money is protected.

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13 billion the account has dispersed since it was made. Fund officials say the U.N. 3.88 billion, or 30 %, of the total sum the finance has handed out to date. But the fund’s investigators aren’t provided with UNDP’s internal audit reports, handicapping their ability to more closely examine the spending. UNDP says it produces some given information about those reviews but is reconsidering that plan. All rights reserved. This material might not be published, broadcast, rewritten or redistributed.

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