Project work has resumed in Oxfam's Aceh Besar office in Indonesia, while an audit of possible financial irregularities continues.

Tom, 55, works on the outdoor bathroom of this family's new semi-permanent home in Lhokseudu, Aceh Besar.
Photo: Jim Holmes/OxfamAus

Non-essential reconstruction work and livelihoods assistance was put on hold in early March when Oxfam's ongoing monitoring processes uncovered irregularities concerning missing goods and funds.

Located in Banda Aceh city, the Aceh Besar project office co-ordinates Oxfam's work in 76 villages, assisting a total of 65,900 people. Aceh province was less than 150 kilometres from the epicentre of the 2004 tsunami.

Throughout this period, Oxfam has continued to provide essential services, such as water trucking and rubbish collection, and some shelter construction work contracted out to builders.

Oxfam's Tsunami recovery work to provide public health, shelter and livelihoods support across six other districts in Aceh and North Sumatra Provinces has continued as normal throughout the audit process, and no other Oxfam projects in Indonesia or elsewhere have been affected.

Although the audit still has to conclude, it is believed that the extent of missing funds may be in the region of tens of thousands of dollars.

Oxfam is committed to upholding the strictest and most rigorous financial controls, in line with the Rehabilitation and Reconstruction Agency efforts to ensure work is conducted in a transparent and accountable manner.

Based on the audit team's early recommendations, steps have been taken to ensure Oxfam's policies and procedures are enforced. These include extra training for logistics staff and further tightening of documentation systems.

Priority will now be given to continuing work in order to meet the commitments we have made to communities in Aceh Besar and Banda Aceh.

The final results of the investigation are expected in coming weeks, and a summary of the findings will be made public and available on our website.

For more information on our tsunami response go to www.oxfam.org.au