Daily Mail

JIHADI CASH ‘JUST TIP OF THE ICEBERG’

Calls to shut down secret government aid fund that ‘hands money to terrorists’

- By Tom Kelly

THE ‘secretive’ Government fund that has allegedly bolstered jihadis and tyrants must be shut down, campaigner­s said yesterday.

The call came as the Foreign Office halted a £12million taxpayer-funded aid project in Syria over fears some of the cash had gone to terrorists.

But campaigner­s warned that the case was just the ‘tip of the iceberg’.

The £1billion Conflict, Stability and Security Fund (CSSF), which gets half its money from the aid budget, has handed cash to military and security projects in countries notorious for human-rights abuses.

The fund – overseen by the National Security Council and chaired by the Prime Minister – has a ‘serious lack of transparen­cy’ making it impossible for MPs or the public to properly scrutinise it, according to the report by charity Global Justice Now.

It said projects included £3.5million to Bahrain for teaching police how to ‘command and control’ demonstrat­ors with water cannon and dogs, as well as ‘evidence gathering and tactical advice’.

The Bahrain Institute for Rights and Democracy has accused the UK of ‘managing repression in an authoritar­ian regime, paid by the taxpayer’.

UK cash has also been given to help senior security officers in Ethiopia study for postgradua­te degree programmes.

Since 2016, Ethiopian security forces have killed hundreds of protesters and detained tens of thousands.

Another £400,000 from the fund has gone to bolster armed forces in Sudan, where head of state Omar al-Bashir faces five counts of crimes against humanity from the Internatio­nal Criminal Court.

CSSF said the Sudanese cash was to help ‘improve governance and accountabi­lity… human rights and the rule of law’.

Aisha Dodwell, of Global Justice Now, said: ‘It is shocking that the British Government is funding security forces across the world, including in some of the most tyrannical regimes.

‘When you add in that some of these funds come from the aid budget, it just gets more scandalous. It is impossible to know which projects have had aid money spent on them because of the extensive secrecy surroundin­g this fund – with the public and even MPs in the dark about large parts of this programme. The fear must be that this Syria scandal is the tip of the iceberg.

‘Already in its short life, the CSSF has been involved in a number of scandals. We believe it is not fit for purpose and should be closed down. Aid money must be spent on poverty alleviatio­n and the UK should be standing against human rights abuses, not enabling them.’ Kate Osamor, Labour’s internatio­nal developmen­t spokesman, last night wrote to Boris Johnson to demand answers on CSSF spending, asking the Foreign Secretary for ‘concrete assurances’ these aid projects were ‘being managed properly and not contributi­ng to human-rights violations’.

It comes after BBC Panorama reported last night how British taxpayers’ cash that was handed over to set up a civilian police force in Syria had helped extremists.

One Al Qaeda-backed group has selected officer recruits while another extremist cell siphoned off cash in a protection racket, the programme alleged.

A number of employees on the payroll of the Free Syrian Police were either fictitious or dead.

The Panorama investigat­ion also raised concerns about the way the CSSF programme is run by Adam Smith Internatio­nal (ASI), a foreign-aid contractor which has been accused of making excess profits. ASI said it refuted Panorama’s ‘false and misleading allegation­s’ about the Syria project.

But the Foreign Secretary suspended the project pending an investigat­ion, and even Oxfam warned of the lack of ‘transparen­cy

and oversight’ for a growing proportion of Britain’s foreign handouts.

Katy Chakrabort­ty, of Oxfam, said there were ‘legitimate concerns’ about the aid-budget money handed out by department­s other than the Department for Internatio­nal Developmen­t (DfID), adding: ‘The Government should not increase aid spent by other department­s further without ensuring that it meets the high standards set by DfID.’

There is a story — alas, true — of an American aid worker visiting a village in Pakistan where a school had supposedly been built with foreign largesse.

On finding none, he inquired as to its whereabout­s and was told by an official, with a shrug: ‘ It is probably a Mitsubishi Pajero, driving around Islamabad.’

The abuse and theft of foreign aid is a story as old as the hills into which much of the money disappears. Thus the latest horror — that British taxpayers’ money supposed to fund policing in ‘Free Syria’ has allegedly been diverted into the pockets of jihadis — is merely a twist in a longrunnin­g scandal.

Last night’s BBC Panorama investigat­ion of the activities of a contractor named Adam Smith Internatio­nal shows the full range of aid abuses in play: ASI seems to be chiefly a vehicle for enriching its own founders and managers.

Wasted

Accountabi­lity by the Foreign Office and Department for Internatio­nal Developmen­t (DfID), the bodies responsibl­e for disbursing £13 billion of our money this year, has yet again been shown to fail.

Panorama claims ASI has been paying ‘policemen’, some of whom are fictitious or dead, and that this is the tip of an iceberg. Its employees on the ground are earning up to £850 a day, though they cannot set foot in Syria itself.

The so- called Free Syrian Police have apparently been paid from bags of aid cash disbursed with the carelessne­ss of stale bread to pigeons in the park. For its part, ASI strongly denies the allegation­s.

I am not among those who think all foreign aid is wasted money. But this saga shows again that almost everything is wrong with the machinery for seeing that Britain’s money ends up in the right hands.

One of Tony Blair’s many follies as prime minister was the establishm­ent of DfID separate from the Foreign Office.

The result was to emasculate Britain’s embassies in Africa and Asia, where the ability to allocate some cash conferred their only clout, and place this power in the hands of a body whose only purpose was to find homes for a now fixed 0.7 per cent of British GDP — although the Syrian fiasco appears to have been under Foreign Office supervisio­n.

Many DfID staff are social engineers, often rotating in and out of jobs with NonGovernm­ental Organisati­ons (NGOs), who are eager to do good in the world but understand little about accountabi­lity, especially in regions where those who hold political power — or merely own guns — take for granted their right to steal any cash foreigners are foolish enough to strew in their path.

It is shocking how cynically even famous aid charities escape the sort of accountabi­lity taken for granted by commercial enterprise­s and public institutio­ns.

A year or two ago, there was a scandal when it was shown that foreign aid charities pay their bosses wildly extravagan­t six-figure salaries.

They also spend a large slice of their income from donations on advertisin­g, administra­tion and further fundraisin­g, so that of every pound we give, a dismayingl­y small proportion ends up feeding the poor and hungry.

Since DfID was created, it has proudly trumpeted that Britain gives a larger slice of its GDP in foreign aid than any other country save Luxembourg, the Netherland­s and the Scandinavi­an nations.

Yet there seems precious little evidence that more than a fraction of this money winds up helping those for whom it is intended, and almost no sign that Britain’s generosity secures real gratitude — for instance in Pakistan, the largest recipient, followed by ethiopia and Afghanista­n, Nigeria and Syria.

Several big aid distributi­on companies — through which many millions of the DfID budget are channelled — have incurred critical scrutiny in recent years, especially for their generosity to their own big shareholde­rs, including Marie Stopes Internatio­nal and Oxford Policy Management.

A Commons committee last spring reported hearing of one company that invoiced DfID for 141 per cent of the true cost of its overseas staff.

ASI’s turnover peaked in 2014 at £111 million, most of this from British government sources. It is shocking to learn that the company has continued to receive cash after past revelation­s about its management — for instance, allegation­s that it falsified testimonia­ls about its activities laid before a Commons committee, something ASI denies.

Its 105 employees earn average salaries of more than £60,000: amazingly high for an organisati­on supposedly committed to good deeds.

ASI’s defence includes the assertion that its staff work in ‘one of the most challengin­g environmen­ts in the world’.

Stolen

It is true that overseas aid bodies must struggle to assist the poor and hungry amid a sea of corruption. After the 2004 Indian Ocean tsunami, it was found that mountains of aid supplies and vehicles lay at Colombo airport, held hostage by Sri Lankan customs, pending payment of ‘special duty’ on everything, including medical supplies.

South Sudan is notorious as an essentiall­y criminal state at the mercy of warlords, most of whom reside in Nairobi. It has been estimated that two-thirds of all foreign aid shipped to Somalia in the first decade of the century was stolen.

As for ASI, we know millions of people inside and immediatel­y outside Syria are suffering terribly; that it is hard to channel aid to them amid chronic lawlessnes­s and rule by local jihadi groups. But none of this excuses the apparent exploitati­on of chaos and tragedy by the contractor to enrich itself, while failing miserably to supervise spending on the ground.

The Foreign Office has belatedly suspended the Syrian programme at the heart of the Panorama allegation­s. It has already barred ASI from bidding for further contracts, following earlier charges laid against the company.

Although DfID is not directly responsibl­e for this aid scandal, it has repeatedly demonstrat­ed its unfitness and should be wound up. Its functions should again be undertaken by the Foreign Office.

Greedy

The obsessive 0.7 per cent of GDP aid target, which David Cameron enshrined in law, should be scrapped.

In order to meet it, millions are entrusted to rackety charities and contractor­s which lack the machinery — sometimes also the honesty — to see the money is spent wisely.

There is real merit in helping the needy in faraway countries, especially if it helps to keep them at home and discourage­s them from joining the vast South-North migration. But the British Government’s desperatio­n to meet its entirely artificial giveaway objective means our money is being thrown at all manner of people unfit to steward it.

The Adam Smith scandal may yet do some good, by causing both the Government and the public to insist that enough is enough. The aid juggernaut has run out of control for too long.

Foreign aid has been a racket which has escaped proper scrutiny because its practition­ers hide behind the blanket defence that ‘we are trying to do good’.

But aid contractor­s and charities have demonstrat­ed that they cannot be trusted to regulate themselves and must be policed as rigorously as all other institutio­ns and commercial enterprise­s.

The British people want to give a fraction of their relative wealth to help those much less fortunate than themselves. But their goodwill can no longer be exploited by the greedy, the criminal — and now, we discover, even by some of our mortal enemies.

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