- Associated Press - Monday, October 31, 2011

BEIJING (AP) - A global health fund and China have agreed to cut $95 million from grants for disease-fighting programs in the country amid donor pressure to prevent misuse of money and reduce aid given to the world’s second-largest economy.

The Global Fund to Fight AIDS, Tuberculosis and Malaria’s spokesman in Geneva Jon Liden said Monday that during recent discussions, China moved to take over most training expenses and other costs that allowed the saving of about $95 million from unpaid grants.

The cut makes up nearly a third of the $270 million in grants that had been in the pipeline for China.

The move also comes as the Fund has come under scrutiny from donors after disclosing alleged fraud in its grants in some other countries.