Where's the $500 mn?' Red Cross promises houses for 130,000 Haitians, 'builds only 6'
"An investigation has found that the American Red Cross wasted $500 million in its bid to help Haiti, underperformed in its programs, and then tried to cover it up. Despite the NGO's celebrated success, insider accounts point to failures.
When a devastating earthquake struck the Western hemisphere's poorest country in 2010, the American Red Cross was one of the organizations at the forefront of the humanitarian effort to rebuild it a year later, launching a multi-million-dollar effort.
The main program - LAMIKA (a Creole acronym for A Better Life in My Neighborhood') - was to build hundreds of permanent homes to house some 130,000 people living in abject poverty after the quake.
Now, in 2015, the Port-au-Prince neighborhood of Campeche is as dilapidated as ever, with hardly any new buildings, trash strewn around, animals walking the streets, and people enduring sub-standard conditions in self-made shacks.
"Many residents live in shacks made of rusty sheet metal, without access to drinkable water, electricity or basic sanitation. When it rains, their homes flood and residents bail out mud and water," an introduction to a report says.
An investigation by NPR and ProPublica gained access to "confidential memos, emails from worried top officers, and accounts of a dozen frustrated and disappointed insiders" familiar with how the NGO broke its promises, misspent millions of dollars, and then issued self-congratulatory progress statements.
The ensuing report reveals very different results to the ones outlined in CEO Gail McGovern's project plan for Haiti, which promised "brand new communities" that would make "donors proud" and "help the people in Haiti." She claimed her experience had made her more "flexible during emergencies."