The French Auditor General's office has criticised the spending of former French Polynesian administrations.
Looking at the period 1991 to 2005, it found a lack of transparency and noted an usually large public service with a huge payroll for presidential staff.
It also expresses concern at moves that led to the setting up of the local government's own secret police and intelligence.
During that time the territory was mainly run by Gaston Flosse who is an associate of the French president, Jacques Chirac.
France has maintained annual transfers of about two billion US dollars a year to the territory whose economy was boosted as part of the French nuclear weapons testing programme.
The audit report recommends that, in future, budgetary follow-up procedures and checks and balances be put in place to avoid waste.