Tsunami money still sitting in bank accounts...
Is there another scandal brewing?
Millions of pounds of taxpayers' money given by the Government to the Asian tsunami appeal could still be sitting in the bank accounts of UN agencies and charities, spending watchdogs have found.And, this is just the UK!
Although more than £50 million was paid out within weeks of the disaster, delays in setting up humanitarian projects have left an unknown sum unspent.
Following the disaster on Boxing Day 2004, which killed around 300,000 people, Tony Blair pledged £75 million in immediate aid. In the event, however, this was reduced to £64 million because so much money was being raised by private donations across the world. Of this sum, around £50 million was paid by the Department for International Development (DfID) to third parties, such as UN agencies and charities.
A report from the National Audit Office, published yesterday, commends the speed of the Government's response but questions what happened to all the money. Some of the projects handled by the third parties were delayed, but the unspent cash remained in the hands of the grant recipients.
The department is now trying to find out what happened to the unspent cash and will seek refunds "where appropriate", the report said. However, officials are simply unable to say how much has been spent and where.
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