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Report: Massive graft alleged in tsunami aid projects

Source
Associated Press - July 1, 2005

Large scale corruption has marred tsunami reconstruction in Aceh province, with more than US$100 million earmaarked for disaster relief unaccounted for, a legislator and an aid worker were quoted as saying Friday.

Firdaus Illyas, from aid group Aceh Emergency Commission, told a parliamentary hearing that graft had occurred in the construction of emergency housing, Koran Tempo daily reported.

He also said that local officials had dramatically overstated the number of refugees so as to be able to claim more relief funds, a common practice in disaster areas elsewhere in Indonesia, the paper reported.

Lawmaker A.S. Hikam said 1.2 trillion Indonesian rupiah (US$122.7 million of funds had disappeared, Tempo reporrted. He gave no more details.

Parliament was scheduled to summon seven ministers in charge of Aceh reconstruction projects on Friday to discuss the allegations, the paper said.

The graft allegations appeared to relate to Indonesian government funds allotted to Aceh soon after the Dec. 26 disaster, not the millions of dollars of international aid spent over the last few months in the region, which lost more than 130,000 people to the giant waves.

The reports will concern international donors and the Indonesian government, which has vowed to stop corrupt officials stealing money earmarked for survivors in Aceh province, on the northern tip of Sumatra Island.

Corruption remains endemic at all levels of Indonesia society despite vows by successive governments to crack down on the practice.

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