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          Special campaign to rein in real estate sector

          By Zhan Lisheng (China Daily)
          Updated: 2007-06-08 09:17

          Ten government departments in South China's Guangdong Province are linking up for a special campaign to bring order to the province's real estate market.

          The campaign, set to run through August next year, will involve the government departments responsibility for construction, land resources, finance, auditing, State taxation, local taxation, development and reform, pricing, industrial and commercial administration and governmental administration supervision.

          Corresponding departments in the province's 21 cities will also take part in the campaign.

          Lu Hongqing, an official with the Guangdong provincial construction department, said the campaign's goal would be to expose the tricks used by real estate developers when developing, marketing and selling developments. The campaign will focus on whether developers have illegally used land, deliberately changed plans, released false advertisements, illegally hoarded apartments for speculation, driven up prices, sold property that had yet to pass official inspections or receive approval, dodged taxes or got out of line pulling down old residences or relocating residents.

          Related readings:
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          April housing prices keep rising

          The campaign will also look into whether government officials or other public servants working with the real estate sector have broken laws or otherwise misbehaved. A particular emphasis is to be placed on whether they have abused power, ignored misconduct by developers, refused to settle administrative procedures in time or asked for or received bribes in their daily work with property firms.

          The campaign will also involve investigations into enterprises, intermediary agencies and their staff responsible for pulling down old residential buildings and removing residents to help authorities determine whether they had deliberately tampered with the appraised values of the targeted houses, misrepresented the floor spaces or produced false mapping reports to property registry departments.

          Lu said the campaign would be divided into three phases. The first phase will involve self-examinations by real estate developers and give the public a chance to file complaints.

          Officials in the province's 21 cities will then launch their own investigations before the provincial departments examine a random sampling.

          "The province aims to set up a long-term mechanism to improve the management of the real estate market using this campaign as the basis," the official said.
          12  

          (For more biz stories, please visit Industry Updates)



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