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RCSC responds luxury feast scandal

CNC report from Shanghai

Added On April 20, 2011

The Red Cross Society of China (RCSC) has promised to enhance transparency after a luxury feast scandal in Shanghai aroused a public outcry.

China Report has more.

A netizen posted a dining invoice for the Red Cross office in Shanghai's Luwan district on a microblogging site on last Friday.

The invoice showed that the total cost of the dinner was more than 1,500 U.S. dollars.

It sparked widespread public concern about abuse of donations.

A local people who didn't disclose the name said

SOUNDBITE (CHINESE)  SHANGHAI CITIZEN
They should not use the donated money from those kind-hearted people to satisfy their own desire. It's wrong to do so.


In response, the RCSC promised on Tuesday to enhance transparency by setting up a platform to release information and close loopholes in its financial management system.

The organization's secretary general, Wang Rupeng, said that the incident seriously violated relevant regulations and smeared the image of the RCSC.
According to the investigation by Shanghai's Red Cross division, payment for the dinner came from administrative, instead of donated funds.

But the hefty cost of the dinner for 17 people far exceeded the set standard of about 23 dollars per person.
  
Further, the local division said the excessive expenses of more than 1,100 dollars have been refunded.

Wang said the RCSC would tighten regulations on the management and use of administrative and donated funds.

He also pledged timely information publication on use of donations, funded projects, and project progress to enable more effective supervision by the public.
  
He said quoteUsing donated funds on public affairs and spending administrative funds in excess of the set standard are strictly prohibited.

The RCSC is a humanitarian social relief organization. It's also the only Red Cross society in China.
 

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