Auditors uncover project funding problems

Chinese auditors have found irregularities in 34 foreign- or partly foreign-funded 2011 projects involving 5.02 billion yuan ($819 million), including 46.65 million yuan in foreign capital.

The figure included a misappropriation of 29.27 million yuan ($4.78 million) in 2011 in four projects that used foreign loans or assistance, the National Audit Office said on Wednesday.

The fraud was found in an audit conducted last year on 94 government projects. The projects were audited in accordance with Chinese law and agreements with international organizations.