Fed: Red Cross has fully allocated $15.4 mln raised for Bali

AAP General News (Australia)
08-02-2004
Fed: Red Cross has fully allocated $15.4 mln raised for Bali

By Sheree Went

SYDNEY, Aug 2 AAP - After a barrage of criticism and three inquiries into unlawful
financial conduct, the Australian Red Cross today announced it had finished allocating
$15.4 million raised for victims of the Bali bombings.

The charity's 20-month Bali Appeal Fund provided $11.2 million in support of 570 Australian
victims and their families, and directed $3.6 million to upgrading emergency and health
services on the resort island.

Of the $11.2 million, $10.3 million was issued as direct financial aid to Australians
affected by the October 2002 twin blasts which killed 202 people, 88 of them Australian.

Administration fees, earlier estimated to be a maximum 10 per cent of funds raised,
came in lower than expected at four per cent, or $568,000, of the total donations received.

The appeal was marred by criticism, with allegations that the Red Cross was too slow
in dishing out the funds and that it was profiting from the goodwill of donating Australians.

The furore led to some donors requesting that their money be refunded.

It also prompted the Red Cross to appoint independent auditor PricewaterhouseCoopers
(PwC) to look into the matter.

PwC and the NSW and Victorian governments later cleared the charity of any financial
wrongdoing, but they found there had been a failure to communicate the facts of the appeal
to donors.

Noel Clement, general manager of domestic operations, today downplayed the criticisms
and said that while there had been complaints, the majority of the fund's recipients were
happy and satisfied with the timing of their payments.

"I wouldn't deny that obviously concern was expressed by a number of people and we
were very concerned about that and certainly re-established relationships with all those
people again very quickly," Mr Clement said.

"We were very keen to try and meet their needs and we never wanted to be blase about
that, it was a very intense and difficult time."

The Darwin Hospital received $500,000 for its spray-on-skin technology that was used
to treat many of the victims.

A total of $2.6 million was spent on $10,000 lump sum payments to help seriously injured
Australians and next-of-kin of deceased Australians.

The people of Bali were given three new ambulances in the assistance package, $200,000
for a blood bank project and $200,000 for a tracing unit that was used directly after
the bombings.

Nearly half a million dollars was spent on fighting tuberculosis on the island, while
an extra $600,000 went towards a mental health program.

Domestic programs have been completed but some longer term infrastructure programs
in Bali will run up until May 2007.

AAP swe/bes/jlw

KEYWORD: BALI DONATIONS NIGHTLEAD (WITH FACTBOX)

2004 AAP Information Services Pty Limited (AAP) or its Licensors.