Another embezzlement scandal has surfaced involving €74,000 misappropriated from an OGBL aid organisation managing international trade union projects in Cape Verde.
According to Reporter.lu, the funds were diverted by a former local project manager in Cape Verde. The individual in question, reportedly trained as a fitness instructor in Luxembourg and now running a real estate agency in Praia, is under investigation by the Luxembourg judiciary following a formal complaint filed late last year.
The irregularities led the OGBL to terminate the "Cenfos" project in Praia last year, citing severe discrepancies in the accounts. This project was 80% co-financed by Luxembourg's Ministry of Cooperation, which has since confirmed that the OGBL’s "Solidarité Syndicale" branch will fully reimburse the misused funds.
Since 1997, Luxembourg's largest trade union has had its own development aid organisation, with the goal to strengthen trade unions in developing countries such as Bolivia, Ghana, and Cape Verde.
The future of the OGBL's development aid programmes now hangs in the balance. The agreement between the OGBL and the ministry is set to expire this year, and it remains unclear whether it will be renewed.
The news comes just several months after a €60 million embezzlement scandal was uncovered at Caritas.
