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 Arafat Spent EU's $20m. on Luxury Homes for PA Officials

The JERUSALEM POST
11/30/1998

By DOUGLAS DAVIS and HILLEL KUTTLER

 

LONDON (November 30) - An estimated $20 million in European Union aid that was intended to provide cheap housing for Palestinians has been used to finance luxury apartments for rich supporters of Palestinian Authority Chairman Yasser Arafat.

An EU report revealing this was made public in the London Sunday Times yesterday, a day before more than 40 nations will gather at the State Department in Washington to pledge funds for further developing the Palestinian economy.

The paper said that "the scandal has benefited a general, a police chief, and other acolytes of the Palestinian leader."

The paper quoted the EU's auditors as saying the money was spent "without any economic controls and is not recoverable."

Ten of the apartments have been built opposite the Nusseirat refugee camp, south of Gaza City. Each is more than 100 square meters, with three bedrooms, Italian design kitchens, and bathrooms containing pink or blue ceramic tile.

Palestinian sources were quoted as saying that 90 percent of the EU-financed apartments have been given to "returnees," three have been taken over by Brig.-Gen. Mazan Iss Did and another by police chief Tala Abo Zaidi. The Palestinian Industry Ministry is also said to control two of the apartments.

The housing project is part of a $60 million EU aid package and was administered by the Palestinian Housing Authority, which has refused to meet EU auditors, according to the EU's internal financial control report.

It had been originally planned to use the package for a self-sustaining building program to provide cheap mortgages to Palestinians on modest incomes.

 



Source: http://www.jpost.com/com/Archive/30.Nov.1998/News/Article-1.html


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