Billy Timmins (Wicklow, Fine Gael)
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Question 371: To ask the Minister for Foreign Affairs if he will respond to a query (details supplied); and if he will make a statement on the matter. [6373/10]

Peter Power (Limerick East, Fianna Fail)
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The query referred to by the Deputy relates to funding under the Government's aid programme for an Irish Non-Governmental Organisation (NGO), which received funding of €200,900 from Irish Aid in 2004 for a two-year training programme to benefit young adults with disabilities in Eastern Europe. In response to concerns about how aspects of the programme were being managed, Irish Aid carried out a detailed evaluation and audit review, which was completed in February 2007.

The evaluation and audit review highlighted a number of management issues and found that a proportion of the Irish Aid funding had not been sufficiently accounted for. All the recommendations in the report were followed up in detail with the NGO, resulting in the reallocation of funding identified as not allowable under the terms of the original grant, to support substantial additional training programmes agreed with Irish Aid. These programmes were completed in August 2009. Final reports have been received by Irish Aid, and all funding has been fully accounted for.

In this case, the evaluation and audit review initiated by Irish Aid found no evidence of misappropriation of funds, or of fraud. Irish Aid, which is managed by the Development Cooperation Division of the Department of Foreign Affairs, operates on the basis of very rigorous audit procedures, which are designed to ensure that all funding under the aid programme is used for the purpose intended, achieving value for money for the taxpayer. The Irish Aid internal audit unit is an independent unit which operates to the highest professional standards and in accordance with best international practice. Its work programme is shared with the Comptroller and Auditor General and is overseen by the independent Audit Committee of the Department of Foreign Affairs, which also follows up on the implementation of audit recommendations.

The Fraud Policy of the Department of Foreign Affairs requires that, following investigation, and where appropriate, instances of suspected fraud are reported to the Garda, the Comptroller and Auditor General, or to the relevant authorities in other countries.