Scotland to repay millions in EU grant aid?

Widespread mismanagement of EU grants for developments in the Highlands and Islands of Scotland means that millions in grants may have to be repaid to Brussells.

A European Commission audit looked at 14 projects funded by the European aid programme between 1994 and 1999, and every single project failed on its initial assessment.

In its first report, it details serious deficiencies the management and monitoring of the projects. If a second report sustains the criticisms, then as much as £21 million in grants could be decommitted and repaid back to the European Regional Development Fund.

Highlands and Islands Enterprise, responsible for 4 of the projects, is currently under investigation.

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