El Salvador probes alleged graft related to Taiwan funds

SAN SALVADOR, El Salvador (AP) — Prosecutors in El Salvador are investigating the alleged diversion of some $10 million in funds donated by Taiwan and purportedly used to pay for political campaigning by the governing party.

Prosecutor Douglas Melendez said Thursday in a TV interview the money came from $38 million that Taipei gave to the Foreign Ministry for various projects.

Melendez alleged the funds were diverted to the presidency and “apparently used in a partisan campaign” under then President Mauricio Funes in elections won by current President Salvador Sanchez Ceren, an FMLN party ally of Funes.

The FMLN party political commission issued a statement calling the accusations “baseless” and accusing Melendez of “attacking our candidate and our party in a slanderous and irresponsible way”

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