BEIJING,
June 16 (Xinhua) -- Around 6.7 billion yuan (1.1 billion U.S. dollars) was
misappropriated in building and operating China's key trans-regional power
transmission project, the country's top auditing office revealed on Monday.
The results
were based on audits conducted between April and July 2013 on the investment,
construction and financial management of 21 projects that are part of the
west-to-east power transmission program, the National Audit Office (NAO) said
in a report.
The office
found companies winning construction contracts without required bidding or
other irregularities in the tendering and bidding process that involved 3.44
billion yuan, accounting for 16 percent of total funds audited.
Similar
foul play in bidding was found in equipment, material procurement and
activities involving bidding agencies, accounting for about 819 million yuan of
illegal gains.
The NAO
also noted that some grid companies made too many rough estimates for project
investment, resulting in unnecessary expenses that added up to 1.04 billion
yuan of over-stated investment.
Some also
created fraudulent contracts or receipts, and swindled 1.38 billion yuan in
project construction funds from their superior power companies.
The NAO
said it has passed relevant leads to legal departments and regulators. Audit
results were also presented to the State Grid Corporation and China Southern
Power Grid, two state-owned firms in charge of the power transmission project.
The
west-to-east electricity transmission program was initiated in 1993 and
designed to transmit power from China's western hinterland to power-hungry
eastern areas. By June 2013, 43 of 48 approved projects were completed and put
into use, with 179 billion yuan being invested.
Editor: Yang Yi
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