(Yicai) Dec. 23 -- China had rectified 94 percent of the more than CNY538 billion (USD53.7 billion) of misappropriated government funds identified in last year’s audit as of Sept. 30 this year, according to an official report.

That clean-up rate compares with 92 percent a year earlier, according to the report published by the National Audit Office yesterday. More than 2,800 individuals were held accountable in the period, it also showed.

The report highlighted a number of key cases. For instance, 1,200 individuals were penalized for misappropriating CNY4 billion (USD548 million) allocated to a government-funded student meal program in rural China. In some counties, the funds were diverted for other purposes.

To correct the misuse of the meal subsidies, 66 counties have returned CNY2 billion of funds. Some 25 counties have canceled problematic meal service contracts, reissued the tenders, and confiscated CNY896 million (USD122.8 million) of illicit gains from the initial contracted suppliers.

Moreover, local governments took action over unpaid salaries and social security contributions. Dispatch work agencies were ordered to repay CNY320 million in unpaid wages and allowances to workers or local administrations.

Government agencies in many regions saved CNY7.4 billion by s along down holiday celebrations, exhibitions, and forums, canceling unnecessary training or other events, and cutting expenses related to official business trips, hosting events, and vehicle use.

Auditor-General Hou Kai stated that the audit office will continue to closely monitor the remaining issues, enhance oversight, hold local governments accountable, address institutional loopholes, and toughen regulation.

Editor: Emmi Laine