Auditor reports irregularities in state-funded construction projects
Print Edition
A LOCAL auditor has found irregularities in government-funded construction projects, while a fifth of Shanghai government’s budget earmarked for cars, overseas trips and receptions was left untouched.
The Shanghai Audit Office reported that 3.09 billion yuan (US$499 million) from 67 government-invested or dominated projects were misappropriated in 2013. The net worth of the projects was 58.07 billion yuan.
About 24 projects overspent a combined 1 billion yuan on unauthorized changes on project construction or defective original pricing plan.
The auditor highlighted other problems including irregular bidding and contracting procedures, non-standard accounting, and construction projects lying idle because of bad management.
In the affordable housing projects, eligibilities of 5,104 tenants for low-rent apartments were not reviewed in time, and 4.57 billion yuan subsidies for developers to build low-rent apartments remained idle for more than a year. The government spent a total 42.13 billion yuan in building and managing affordable housing projects last year, the auditor said.
In a separate submission, the authority reported irregularities in the use of budget and other fiscal spending. The office looked at the spending on cars, overseas trips and receptions for 25 government affiliates, and found six of them had used 28 more cars, overspending 1.25 million yuan. Another 10 million yuan were overspent on receptions by 15 entities including the Shanghai library.
Separately, in a report submitted to the Shanghai People’s Congress, the Shanghai Finance Bureau said the municipal government departments spent 843 million yuan on cars, overseas trips and receptions — 207 million yuan less than the allocated budget and 116 million yuan less than the money spent in 2012. Among the three categories, spending on receptions dropped the most with 94 million yuan left unused from a total budget of 329 million yuan.
Song Yijia, head of the local finance bureau, said the government departments responded actively to the central government’s campaign against extravagance.
Overall, the city’s fiscal revenue was 197.7 billion yuan last year, up 7.9 percent year-on-year. Spending was 159.05 billion yuan last year, up 4.3 percent, the bureau said.
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