MEDIA RELEASE
Released By:
AusAID
AusAID has recently become aware an allegation of fraud was made against International Relief and Development (IRD) operations in Afghanistan last year. The allegation relates to an activity implemented under an agreement with USAID, the US Government's official overseas aid agency, not AusAID.
IRD is contracted by AusAID to deliver programs in Afghanistan.
AusAID has zero tolerance for fraud. We sought urgent advice from IRD on the substance of these allegations and why AusAID was not informed. IRD's response, and other AusAID inquiries with the US Government, indicate that there is no active fraud investigation underway involving IRD. IRD continues to implement development projects for USAID, including in Afghanistan.
AusAID contracts stipulate that AusAID must be informed immediately should the contractor be under investigation, formal or informal, for fraud or other malpractice. This is to ensure that Australian taxpayers' money is used appropriately.
AusAID has sought assurances from IRD that they have strong controls in place to ensure contract arrangements are followed in the future. We will closely monitor IRD's performance in delivering on their contractual obligations.
IRD is implementing the following aid programs for AusAID in Afghanistan:
- training over 1000 Afghan teacher trainers in contemporary teaching methods
- management of continuing in-Australia scholarships
- management of a program to improve public financial management (budget execution, procurement) to Afghan ministries
- other logistics and procurement services, as required.
There is no indication of fraud by IRD in the programs it is delivering for AusAID in Afghanistan. AusAID will continue to closely monitor IRD's performance in delivering these programs.
AusAID is continuing to review this issue and will take whatever further action may be required.
Media contact: AusAID Media 0417 680 590