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Donors suspend funding to Zambia farmers' body over alleged malpractice

Xinhua, April 12, 2016 Adjust font size:

Sweden and Finland have suspended funding to a Zambian farmers' association following the launch of investigations into alleged malpractices in the handling of funds, said a statement reached by Xinhua Tuesday.

The two countries said in the statement issued by the Swedish embassy that they have suspended funding to the Zambia National Farmers Union (ZNFU) during the time investigations will be carried out.

Reports of alleged mismanagement of funds at the association emerged in the latter part of 2015, leading to the launch of investigations.

The statement said the cooperating partners carried out a special audit of the association following the reports.

"Based on the findings of the now concluded special audit, the cooperating partners have decided to continue reviewing the potential mismanagement by engaging an international audit firm. At this stage, the cooperating partners are not in a position to comment whether mismanagement of funds has taken place or not," the statement said.

It added that as funding agencies, development partners were obliged to ensure that development funds were used for eligible and intended purposes and to investigate any suspicions of the contrary.

The farmers' body is also being investigated by Zambia's Drug Enforcement Commission (DEC). Endit