CNAO report reveals implementation problems of low-rent housing policy

08:45, November 19, 2010      

Email | Print | Subscribe | Comments | Forum 

The National Audit Office of the People's Republic of China (CNAO) released a report on Wednesday of its auditing results of the 2007-2009 implementation of indemnificatory housing policy in 19 municipalities and provinces, which reveals many problems.

According to the report, from 2007 to 2009, the 19 municipalities and provinces financed 103.88 billion yuan ($15.64 billion) with the low-rent housing fund, and 5.44 billion yuan ($818.97 million) in shanty town reconstruction budget with money from the central government.

However, CNAO found that 22 major cities of the 19 municipalities and provinces collected less than 10 percent of the capital, which is required to be invested into indemnificatory housing projects by the central government, from net profit of land transfer incomes. CNAO said that totally 14.62 billion yuan ($2.20 billion) was not collected, accounting for up to 49.26 percent of the total 29.68 billion yuan ($4.47 billion) that should have been.

The report said that 6 cities and 4 counties peculated totally 152.31 million yuan ($22.93 million) in low-rent housing fund to repurchase economically affordable houses from developers or as local governments' administrative fees. Six cities swindled 61.29 billion yuan ($9.23 billion) from the low-rent housing budget with 34 inveracious projects from the central government.

Also, CNAO said that low-rent housing policy is imperfect in checking candidates for low-rent houses and housing subsidies, low-rent housing projects' decision-making and biding procedures, among others.

The report said that as of the end of August 2010, related cases and suspects went into legal procedures. And local governments are paying back the money swindled. Only 11 cities recuperated the missing part of the 10 percent net profit from land transfer incomes.

Source: Global Times


  • Do you have anything to say?


Special Coverage
  • Premier Wen Jiabao visits Hungary, Britain, Germany
  • From drought to floods
Major headlines
Editor's Pick
  • Chinese Navy soldiers hold an evening party marking the upcoming 62nd National Day aboard Chinese Navy hospital ship "Peace Ark" in the Pacific on Sept. 28, 2011. The Chinese National Day falls on Oct. 1. (Xinhua/Zha Chunming)
  • Photo taken on Sept. 30, 2011 shows the crowd at the plaza of Beijing Railway Station in Beijing, capital of China. The railway transportation witnessed a travel peak with the approach of the seven-day National Day holidays on Friday. (Xinhua)
  • A man wearing high-heel shoes takes part in the 3rd annual Walk a Mile in Her Shoes, an event when men literally walk in women's shoes to raise awareness about ending violence against women, at Yonge-Dundas Square in Toronto, Canada, Sept. 29, 2011. (Xinhua/Zou Zheng)
  • Photo taken on Sept. 29, 2011 shows a cargo ship in danger on the sea near Zhuhai City, south China's Guangdong Province. Cargo ship Fangzhou 6 of Qingzhou of southwest China's Guangxi Zhuang Autonomous Region lost control after water stormed into its cabin due to Typhoon Nesat on the sea near Zhuhai Thursday, leaving 12 crew members in danger. Rescuers rushed to the ship and saved them by using a helicopter. (Xinhua)
  • Actress Gong Li poses for L'Officiel Magazine. (Xinhua Photo)
  • Demonstrators from the Occupy Wall Street campaign hold placards as they march in the financial district of New York September 29, 2011. After hundreds of protesters were denied access to some areas outside the New York Stock Exchange on September 17, demonstrators set up a rag-tag camp three blocks away. Zuccotti Park is a campground festooned with placards and anti-Wall Street slogans. The group is adding complaints of excessive police force against protesters and police treatment of ethnic minorities and Muslims to its grievances list, which includes bank bailouts, foreclosures and high unemployment. (Xinhua/Reuters Photo)
Hot Forum Discussion