Four NGOs Under Scrutiny for Suspected Misuse of USAID Funds
The Chief Public Prosecutor of the Higher Public Prosecutor's Office in Belgrade, Nenad Stefanovic, announced that the Special Department for Combating Corruption has opened a case and contacted the U.S. Department of Justice for the necessary information regarding suspicions raised about USAID.
"In these statements, NGOs and U.S. contractors who received projects in Serbia were mentioned. Among those who raised suspicions about USAID's work are U.S. President Donald Trump, Secretary of State Marco Rubio, White House spokesperson Karolina Levitt, the U.S. Government Efficiency Department headed by Elon Musk, and FBI Director Kash Patel," said Stefanovic.
As he noted, the request for assistance was sent to the U.S. Department of Justice through international legal assistance in criminal matters via the Ministry of Justice of the Republic of Serbia.
"The reason for this is that the allocation and spending of USAID funds are not automatically accessible to the prosecutor's office. Instead, according to rules established by USAID itself, the organization decides which data it will provide to the prosecutor's office, and only after the prosecutor's office proves to USAID that there are concrete suspicions of irregularities and money laundering," explained Stefanovic.
He emphasized that the request to the relevant U.S. Ministry was made in connection with a preliminary investigation initiated by the Special Department for Combating Corruption of the Higher Public Prosecutor's Office in Belgrade, aimed at determining whether elements of criminal acts, such as abuse of office and money laundering, exist, against currently unknown individuals, as announced on the Prosecutor's Office website.
The prosecutor stated that the excessive concentration of funds in the accounts of several NGOs or related consulting firms in Serbia, combined with the non-transparent allocation of funds to a narrow circle of NGOs and the absence of comprehensive financial reports, indicates a basis for suspicion regarding the legality of USAID’s spending.
White House Press Secretary Karoline Leavitt highlighted some examples of "malicious" and "wasteful" spending by the U.S. Agency for International Development (USAID), including one and a half million dollars for programs promoting diversity, equity, and inclusion (DEI) in workplaces in Serbia.
As he emphasized, the U.S. Department of Justice is specifically asked for help in obtaining evidence, providing information, or potential expert findings, delivering financial, commercial, or business records (contracts, invoices, etc.), data from banks or other financial institutions, and identifying or locating criminal proceeds or other materials that could serve as evidence in a criminal case in Serbia before the competent court.
"At the same time, due to the seriousness of the allegations, and to verify the claims and gather evidence regarding suspicions of improper use of USAID funds, abuse of funds, and possible money laundering by NGOs in Serbia, the Special Department for Combating Corruption of the Higher Public Prosecutor's Office in Belgrade has requested the police to gather the necessary information to determine whether there are grounds to suspect that anyone has committed a criminal offense within the department's jurisdiction," added the Chief Public Prosecutor.
It has been ordered that, for now, all documentation related to USAID donations be seized from four NGOs, and that conversations be held with the responsible individuals from these NGOs regarding the use of funds from donations, the pre-established procedures for spending USAID funds, and whether there was an obligation to inform donors about the targeted use of those funds, among other things.
"The police have also been instructed to take other actions and measures within their authority and to submit a report to the prosecutor's office," added Stefanovic, noting that, following this, the police have started gathering information regarding the operations of the Center for Research, Transparency, and Accountability (CRTA), Civil Initiatives, the Center for Practical Politics, and the Trag Foundation.
Additionally, as emphasized, the Special Department for Combating Corruption has sent requests to the National Bank of Serbia and the Administration for the Prevention of Money Laundering to verify the financial transactions of the mentioned NGOs.
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