VZCZCXYZ0006
PP RUEHWEB

DE RUEHAM #0526/01 0561220
ZNR UUUUU ZZH
P 251220Z FEB 09
FM AMEMBASSY AMMAN
TO RUEHC/SECSTATE WASHDC PRIORITY 4554
INFO RUEHGV/USMISSION GENEVA 0709

UNCLAS AMMAN 000526 
 
SIPDIS, SENSITIVE 
 
DEPARTMENT FOR PRM/ANE, GENEVA FOR RMA 
 
E.O. 12958:  N/A 
TAGS: PREF EAID UNHCR IZ JO
SUBJECT: JORDANIAN RED CRESCENT ECLIPSED BY ALLEGATIONS OF 
CORRUPTION 
 
REF: AMMAN 0410 
 
¶1.  (SBU) Summary:  The NGO International Relief and Development 
(IRD) 
has told PRM that it intends to sever its relationship with the 
Jordanian Red Crescent (JRC) over its belief that the organization 
was 
deliberately double-billing donors for services.  As part of an 
independent inquiry, Post has determined that JRC requested and 
received 
funding for operations in the Marka and Hashimi JRC clinics from 
IRD. 
Additionally, JRC requested and received funding from the German and 
 
French Red Cross for the same clinics.  German and French Red Cross 
 
officials in Jordan confirmed that their organizations, unaware of 
the 
IRD funds, funded 100 percent of the Marka and Hashimi clinic 
operations 
at JRCQs request.  Post recommends that USG partners review all past 
 
transactions with JRC to ensure the proper use of USG funds.  Post 
further recommends that no PRM partner enter into a fiscal agreement 
 
with JRC, at least until the allegations of mismanagement are 
clarified. 
End Summary. 
 
¶2.  (SBU) On January 8, 2009, RefCoord met with Nick Stevens of 
International Relief and Development (IRD)(protect) as part of 
regular 
monitoring and evaluation of the PRM-funded IRD primary health care 
 
projects.  JRC plays a key role in the project, managing and 
staffing 
six health centers in which the IRD project takes place.  Stevens 
said 
that he had evidence that JRC was billing IRD for operations in the 
 
Marka and Hashimi JRC clinics, which were already paid for by other 
 
donors and would therefore limit IRD dealings with JRC in the 
future. 
 
¶3.  (SBU) On February 3, and 4 respectively, Post spoke with 
representatives of the French and German Red Cross in Jordan.  The 
Red 
Cross organizations confirmed that JRC requested and received 
funding 
from their organizations for operations in the Hashimi and Marka 
clinics.  When they learned that IRD funded the same activities, 
Both 
the French and German Red Cross approached IFRC with the 
irregularities. 
 
¶4.  (SBU) According to Robert Guzman of the French Red Cross, IFRC 
Program Coordinator Andreas Fabricius, responsible for monitoring 
the 
JRC refugee program for IFRC, brought these irregularities to the 
attention of IFRC leadership in January 2009.  Upon learning of the 
 
irregularities, IFRC Director Ahmed Gizo formally requested an 
explanation of the fiscal aberrations from JRC President Hadid in 
January 2009.  At the date of this report, JRC had not responded to 
the 
request.  President of JRC, Dr. Hadid expressed to Gizo his anger 
that 
IFRC had made public accusations against JRC.  (Note:  In previous 
conversations with RefCoord, Gizo had expressed concerns about JRC 
management controls and the professionalism of its administrative 
staff, 
but he did not mention evidence of wrongdoing.  End note.)  IFRC 
management asked Fabricius, who uncovered the possible wrongdoing to 
 
relocate to Syria (Note: Fabricius left Amman for reassignment to 
Syria 
on February 4, 2009.  End note).  Guzman saw Fabricius' reassignment 
as 
an attempt to placate Dr. Hadid of JRC.  Post was unsuccessful in 
our 
attempts to contact Fabricius to confirm his involvement. 
 
¶5.  (SBU) Recommendations:  Given the multiple, credible sources on 
 
alleged JRC wrongdoing and IFRC-Jordan apparent knowledge of JRC 
management issues,  RefCoord recommends that IRD headquarters review 
all 
financial transactions with JRC and document all payments made in 
fiscal 
 
year 2008 to JRC for services in the Marka and Hashimi clinics. 
IFRC 
should be asked to account for any discrepancy found in the way USG 
 
funds were allocated to JCS supported clinics.  IFRC should present 
the 
result of any internal audit through IFRC headquarters to RMA 
Geneva. 
 
 
Visit AmmanQs Classified Web Site at 
http://www.state.sgov.gov/p/nea/amman 
 
BEECROFT