Reply #17: where he stole the money? from wikipedia.org [View All]

[barb162]

"In 2003 a team of American accountants - hired by Arafat's own finance ministry - began examing Arafat's finances. The team determined that part of the Palestinian leader's wealth was in a secret portfolio worth close to $1 billion -- with investments in companies like a Coca-Cola bottling plant in Ramallah, a Tunisian cell phone company and venture capital funds in the U.S. and the Cayman Islands. The head of the investigation stated that "although the money for the portfolio came from public funds like Palestinian taxes, virtually none of it was used for the Palestinian people; it was all controlled by Arafat. And none of these dealings were made public". Arafat appears to use his wealth to improve his standing and influence; he has always lived frugally, and continues to do so.<15> (http://www.cbsnews.com/stories/2003/11/07/60minutes/main582487.shtml)

In 2003 the International Monetary Fund (IMF) conducted an audit of the Palestinian Authority and stated that Arafat diverted $900 million in public funds to a special bank account controlled by Arafat and the PA Chief Economic Financial Advisor. The IMF did not claim that there were any improprieties and it specifically stated that most of the funds have been used to invest in Palestinian assets, both internally and abroad. <16> (http://electronicintifada.net/v2/article1958.shtml)

An investigation by European Union of claims of misuse of EU funds by the Palestinian Authority has, until now, found no evidence EU funds being diverted to terrorist activities. However, the EU has insisted on "deepening reform in the PA and improving its financial management and audit capacities" as "the best preventive strategy against the misuse of funds and corruption in the PA", and has made further funding contingent on these reforms <17> (http://europa.eu.int/comm/external_relations/mepp/faq/index.htm#Allegations%20of%20misuse%20of%20EU%20funds) According to "Forbes", the new PA Finance Minister is tasked with reviewing PA finances, which may result in weakening of Arafat's control over them."