EU cash 'not diverted to fighting terror'
Tuesday, 10 August, 2004, 21:29 GMT 22:29 UK
A European Union investigation has found no evidence that donations to the Palestinian Authority (PA) were used to fund terrorism. The EU, which is the biggest single contributor to the PA, launched the inquiry 18 months ago.
The results were handed down by the same panel that concluded there was no genocide going on in Sudan.
It followed allegations from Israel and European parliamentarians that money was going to illegal activities. The independent European Anti-Fraud Office said the inquiry was ongoing and final conclusions had not been drawn. "To date, there is no evidence that funds from the non-targeted EU direct budget assistance to the Palestinian Authorities have been used to finance illegal activities, including terrorism," said the anti-fraud office, known as OLAF, in a statement. OLAF had collected evidence from both Israel and the PA - as well as from the International Monetary Fund, which distributes EU funds in the Occupied Territories.
Suha Arafat has demurred from providing a deposition in this matter.
The EU was financing the PA's payroll of 125,000 employees until the allegations led to the suspension of direct funding to the PA and the launch of the investigation in February last year. This year, total aid to the Palestinians reached 250m euros (£167m), the European Commission said in July.
And Arafat's Swiss bankers thank them wholeheartedly.
Posted by: Zenster 2004-08-11 |