SOEs lack basic supervision over spending

Journalists have recently found that Sinograin storage managers in Liaoning and Jilin provinces have been embezzling public funds by conspiring with illegal grain merchants to put cheaper, previously harvested grain in storage but paying the price of freshly harvested grain to merchants. [Photo/IC]

An annual audit report released by China's National Audit Office on Sunday showed irregularities in governmental expenditures remain high, despite the central government's spending on overseas visits, official vehicles and receptions dropping sharply last year. Comments:

The national audit of the use of power is key to rooting out the misappropriation of China's fiscal expenditure for good. To put administrative power in a "cage" and keep civil servants away from corruption requires solid supervision that has zero tolerance to abuses of power.

Beijing Youth Daily, June 29

The national audit has become an efficient means of unveiling institutional problems, advancing the ongoing administrative reform and improving the current system. Of course, governments at all levels should not only focus on the specific cases highlighted in an annual audit report, instead they are supposed to think about how to push for comprehensive reform.

Guangming Daily, June 29

Possessing massive social resources as well as the right to distribute them, the State-owned enterprises are very likely to cause considerable financial losses to the country and violate the public interests if they misbehave. Therefore, how the China Power Investment Corporation officials reportedly spent 17 million yuan ($2.7 million) on liquor must be made public as soon as possible.

Beijing Times, June 29

As the watchdog of national wealth, the National Audit Office should be consistent in conducting its mission and instruct its regional subdivisions to do their jobs independently. Only by doing so can the finance officials show respect to public expenditure and thus improve their management.

gmw.cn, June 29