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Global Fund Investigation Finds Recipient Organization In Bangladesh 'Misappropriated' $1.89M In Grant Funds

“The Global Fund to Fight AIDS, Tuberculosis and Malaria is eyeing the recovery of some $1.89 million ‘misappropriated’ grant funds following an investigative report [.pdf] on one of its sub-recipients in Bangladesh,” the Devex “Development Newswire” blog reports. “The money covers 52 percent of the total amount disbursed to non-governmental organization Padakhep Manabik Unnayan Kendra [PMKU] under the fund’s 2004-2009 HIV and AIDS program,” the blog writes, adding, “The [non-governmental organization (NGO)] ‘fabricated’ documents, including bank statements, accounting journals, invoices and copies of checks that were never issued, according to the report published online Tuesday” by the Global Fund.

“‘We do not tolerate any misuse of funds, no matter how minor,’ Chief Risk Officer Cees Klumper said in a press release,” the blog adds, noting, “Klumper cautioned, however, that the analysis does not represent a comprehensive accounting of all misspent funds.” According to the blog, “The report recommends barring PMUK from receiving Global Fund grants and suggests notifying other donors of the case, presumably as warning for future transactions with the group,” and it “also recommends transfer of the case to the proper authorities in Bangladesh for criminal and civil action” (Ravelo, 7/11).

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