Ministry punishes aid body for suspected cheating, dereliction of duty

The Ministry of Civil Affairs has imposed administrative punishments on the China Charities Aid Foundation for Children after investigating its staff members' alleged fraudulent activities and dereliction of duty.

In September, Ke, claiming to be a worker of the foundation, was reported online to have cheated nearly 10 million yuan ($1.38 million) from parents with sick children. The foundation then clarified in the same month that Ke was a temporary volunteer at the foundation.

The ministry released a statement on Tuesday morning, saying that Ke was once a beneficiary of the foundation's assistance. He then joined an aid project of the foundation for children with serious diseases in Langfang, Hebei province, from November 2022.

Ke collected money from parents with sick children in the name of the foundation from June 2023 to August 2023, with the amount reaching nearly 10 million yuan. In September, Ke was subjected to compulsory measures for suspected deception. The case has been transferred to judicial organs.

According to the ministry's statement, Ke's case mirrors the foundation's mismanagement and illegal operations. The ministry ordered the foundation to stop its operation for three months and listed the foundation as a dishonest debtor.

The ministry also ordered the foundation to remove persons with dereliction of duty from office and placed the case on file for investigation. Wang, deputy secretary-general of the foundation who was in charge of the fundraising project that Ke was involved in, has been transferred to judicial authorities for suspected duty crime.

The ministry said in the statement that it will dispatch working teams over the foundation's suspension time, to protect the rights of sick children who are still receiving assistance from the foundation.

The ministry said it will guide the foundation to implement a full rectification. It will also tighten supervision on the nation's charities groups and their activities, to push forward a healthier development of the nation's philanthropy.