Pollution funds diverted

Hundreds of millions of dollars designated for pollution control and prevention never reached its target because of embezzlement and fraud, a National Audit Office report said yesterday.

The report said $535 million that should have been used in waste water treatment and pollution discharge was embezzled, intercepted or not levied, while 10 provinces had unused assets for water pollution projects worth $117 million.

Local government departments in 13 provinces embezzled or made fraudulent claims for $75 million for water pollution prevention and control between 2001 and 2007, the report said.