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Peru OCEX London: Report Reveals Alleged Wasteful Spending

USAID Faces Scrutiny Amid Allegations of Waste and Abuse

– The U.S. Agency for International Development (USAID) is under intense scrutiny following the release of a White House fact sheet detailing what officials describe as millions of dollars in wasteful spending. The revelations come as the Trump administration moves to significantly downsize the agency, citing a pattern of “waste and abuse” of taxpayer funds.

The White House report, released on , outlines a series of projects that have drawn criticism, including ’s announcement of a near-total staffing reduction. According to the administration, USAID has funded projects ranging from tourism in Egypt to electric vehicles in Vietnam, and diversity, equity, and inclusion initiatives in Serbia.

Specifically, the fact sheet highlights $6 million allocated to fund tourism in Egypt, $2.5 million for electric vehicles for Vietnam, and $1.5 million to “advance diversity equity and inclusion in Serbia’s workplaces and business communities.” Further examples cited include $70,000 for the production of a “DEI musical” in Ireland, $47,000 for a “transgender opera” in Colombia, and $32,000 for a “transgender comic book” in Peru.

The administration’s concerns extend beyond these specific projects. The White House alleges that $2 million was spent on sex changes and “LGBT activism” in Guatemala, and that “hundreds of thousands of dollars” were directed to a non-profit organization reportedly linked to designated terrorist organizations – even after an internal investigation was launched. Millions were also reportedly allocated to EcoHealth Alliance, an organization involved in research at the Wuhan lab.

The report also alleges that USAID funding supported the production of opium in Afghanistan, with “hundreds of millions of dollars” going towards “irrigation canals, farming equipment, and even fertilizer used to support the unprecedented poppy cultivation and heroin production,” ultimately benefiting the Taliban. The administration claims USAID funded the printing of “personalized” birth control devices in developing countries.

These accusations are part of a broader effort by the Trump administration to overhaul USAID. The agency, created in 1961 to manage foreign aid and humanitarian projects, is facing a significant reduction in staff, with less than 300 of its original 13,000 workers reportedly remaining as of . Secretary of State Marco Rubio was appointed as the acting administrator of USAID on , and the agency’s website was temporarily taken down.

According to reports, USAID leaders reportedly refused to cooperate with the President and failed to answer questions regarding funding, leading to the decision to place remaining elements of the agency under State Department authority. Secretary Rubio stated that this lack of cooperation made a “mature and serious review” of foreign aid impossible.

The administration’s actions have faced legal challenges. Unions representing USAID workers have filed a lawsuit, arguing that Congress, not the executive branch, has the authority to dissolve the agency. The lawsuit claims that the abrupt halting of USAID’s work has created a “global humanitarian crisis” and resulted in the loss of thousands of American jobs.

The Department of Government Efficiency, led by Elon Musk, initiated the focus on USAID in late January , with Musk publicly labeling USAID a “criminal organization” on his social media platform. The administration asserts that under President Trump, “the waste, fraud, and abuse ENDS NOW.”

Recent actions by the Department of Government Efficiency also include slashing nearly $1 million in funding for alpaca farming in Peru, among other questionable grants, as part of its ongoing effort to identify and eliminate wasteful spending. The total U.S. Savings resulting from these cuts has reached $105 billion, according to DOGE.

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