Germany Suspends Payments to Corrupt Global Health Fund

BERLIN (AP) — Germany says it is suspending payments to the Global Fund to Fight AIDS, Tuberculosis and Malaria until it gets answers about corruption allegations raised in articles by The Associated Press.

Development Minister Dirk Niebel said in a statement late Tuesday the serious questions raised about the $21.7 billion development fund’s work require a thorough investigation.

The ministry added Wednesday that this year’s pledge to the Geneva-based fund of €200 million ($270 million) will be withheld pending a full investigation.

Germany is the fund’s third largest government donor behind the U.S. and France, having pledged €600 million for 2011-13.

The AP reported Sunday that the fund’s new investigative unit found high percentages of contract money eaten up by corruption.

AP foreign, Wednesday January 26 2011

Source: The Guardian

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