China: Most Sichuan Quake Donations Siphoned by Chinese Authorities

Last year’s Sichuan earthquake saw an outpouring of generosity from the Chinese people. But a recent study by a Tsinghua University research team suggests that most of the public’s donations actually ended up in the hands of the local government—to be spent just like regular tax income.

Hong Kong-based Da Gong Bao reports the following from Professor Deng Guoshen’s research team: As of November last year, monetary donations totaled 65.3 billion Yuan. But most of it—58 percent—went directly to local governments. The rest went to local and national NGOs. But even so, about half of THAT amount was spent on government-run projects.

That’s because—according to Professor Deng—a lot of Chinese NGOs simply lack the ability to execute projects like rebuilding roads.

The research also shows that in certain areas, funds donated directly to NGOs had to be transferred to government accounts. And where this was not the case, local authorities still frequently made the rules for how NGOs could spend their money.

(NTDTV)