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Special Report: Billions unaccounted for in Venezuela's communal giveaway program
Special Report: Billions unaccounted for in Venezuela's communal giveaway program
(Reuters) - The neighborhood of El Chaparral began receiving cash from the Venezuelan government in 2005. The windfall came courtesy of the late socialist leader Hugo Chavez's plan to fight poverty by transferring billions of dollars in oil revenue to communities around the country.
Within a year, auto mechanic Juan Freire was urging authorities to cut off El Chaparral and its sister community of Los Pinos, with a combined population of 250. The money wasn't going to the needy, he says, and it wasn't sowing growth. Instead, Freire alleges, leaders of the community council in this mountain suburb were using some of the cash for personal expenses and to build houses for family members. He and neighbors filed complaints with nearly a dozen state agencies seeking a halt to the transfers.
Yet the money kept rolling in: In 2008, the council received close to $1 million - equal to about $4,000 a resident.
"When we filed complaints, the responses would always be something like, ‘We'll send some recommendations,'" said Freire, 57. "They never gave us answers."
(Reuters) - The neighborhood of El Chaparral began receiving cash from the Venezuelan government in 2005. The windfall came courtesy of the late socialist leader Hugo Chavez's plan to fight poverty by transferring billions of dollars in oil revenue to communities around the country.
Within a year, auto mechanic Juan Freire was urging authorities to cut off El Chaparral and its sister community of Los Pinos, with a combined population of 250. The money wasn't going to the needy, he says, and it wasn't sowing growth. Instead, Freire alleges, leaders of the community council in this mountain suburb were using some of the cash for personal expenses and to build houses for family members. He and neighbors filed complaints with nearly a dozen state agencies seeking a halt to the transfers.
Yet the money kept rolling in: In 2008, the council received close to $1 million - equal to about $4,000 a resident.
"When we filed complaints, the responses would always be something like, ‘We'll send some recommendations,'" said Freire, 57. "They never gave us answers."
Long but good read about the corruption in Venezuela. It's a shame, too, because if they did stop graft, these programs would work, but nope, the graft is swept under the rug because they don't want to "sully" the image of the revolution. Admit to the failings and fix them. 1,500 thieves need to be arrested rather than going after 2-3.
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