Latest News:  
Beijing   Sunny    13 / 1   City Forecast

Home>>China Society

Probe into charity's real estate spending

By Liu Xiangrui and He Dan (China Daily)

08:22, November 14, 2011

A 24-meter stone statue of Soong Ching Ling (1893-1981) under construction in Zhengzhou, capital of Central China’s Henan province, on Nov 6. Funded by Henan Soong Ching Ling Foundation, the construction of the statue is reportedly costing 400 million yuan ($63 million). LIU SHUTING / FOR CHINA DAILY

ZHENGZHOU - A scandal-ridden charity organization has declined to respond to accusations about its excessive commercial activities.

The Henan Soong Ching Ling Foundation, a regional public foundation, came under fire after a Chinese media organization revealed that it gave illegal loans and allocated huge amounts of money to invest in real estate and other profitable sectors, while only a small share of its revenue went to charitable causes.

China's regulations require that no less than 70 percent of a public foundation's annual revenue should be used for philanthropic purposes.

Yet figures on the China Foundation Center website show that the foundation ranked first among more than 2,000 Chinese charity foundations in 2010, with total assets of nearly 3 billion yuan ($476 million), spent only 140 million yuan on charity projects that year.

A report by Xinhua News Agency revealed the foundation raised a great deal of money selling health insurance in the vast rural areas of Central China's Henan province, some of which was then lent to property developer.

An anonymous insurance agent in Luohe city, one of the 17 branches for the subordinate body in charge of the insurance - the Development and Management Center for Henan's Charitable Health Insurance - was quoted by Xinhua as saying that he collected about 1.8 million yuan in premiums every year.

The agent, who has run the business since 2007, added that the project named "charitable health insurance" was run in such a way that it would appeal to villagers. He explained that most farmers chose to buy the insurance as they were promised they would receive an annual 400 yuan in interest once they paid 10,000 yuan in premiums.

Earlier last week, the foundation also failed to explain the source of funding for a giant statue of Soong Ching Ling, wife of the 20th-century revolutionary Sun Yat-sen, and an adjacent complex.

The 24-meter-high statue is part of an 800-square-meter complex under construction in Zhengzhou, the capital of Central China's Henan province, which includes a large meeting hall and four six-story buildings that house cinemas, studios and meeting halls.

【1】 【2】


 
 
     
 
 
 
     
 
 
 
  We Recommend  
 
 
 
     
 
 

Email|Print|Comments(Editor:张茜)

Leave your comment0 comments

  1. Name

  

Selections for you


  1. Italian PM Berlusconi formally resigns

  2. 28 killed in coal mine gas leak in SW China

  3. Int'l Auto Show kicks off in SW China

  4. China sees alarming rise in divorce

Most Popular

Opinions

  1. China in APEC: a mutually beneficial endeavor
  2. World hopes APEC can kick-start economy
  3. Vision will drive changes to ruling system
  4. Hopes for future of country must be realistic
  5. 'RMB undervaluation' claims defy economic logic
  6. US unlikely to contain China's rise
  7. India's border troop surge aimed at rising China?
  8. Anxious US looks toward Asia
  9. Property curbs to remain despite price drop
  10. China's dilemma over Iran goes deeper

What's happening in China

Mother and son share a desk at school

  1. Six dead, 25 injured in SW China road accident
  2. Cold front brings strong wind to north China
  3. Jackie Chan holds charity concert in Hubei
  4. Online shopping soars on Singles Day in China
  5. Taiwan bars smokers from top school jobs

PD Online Data

  1. The dragon dance
  2. Temple fairs in Beijing
  3. Lunar New Year´s Eve (I)
  4. Lunar New Year´s Eve (II)
  5. Little New Year (I)