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China's Ministry of Education has wrapped up an investigation into the way universities manage public funds, announcing that no serious violations have been discovered.

 

According to Tuesday's China Business News, the result came after months of investigations into colleges and universities, launched after a public fund scandal involving the former president of one of China's major universities.

 

In 2000 and 2001, Shan Ping, 60, then president of Tianjin University, entrusted a Shenzhen-based stockbroker with 100 million yuan (US$12.5 million), siphoned from university funds. The money was invested in the stock market without the university leadership's group knowledge and without approval.

 

Shan's actions resulted in heavy losses of more than 37.5 million yuan (US$4.8 million). When the scandal was revealed, he was suspended from his post for "serious breach of duty".

 

The case prompted an investigation of other universities. However, no serious violations were found with most of the universities in their use and management of capital, investment in school-run enterprises and other investment, the newspaper quoted an unnamed official with the ministry as saying.

 

The universities and colleges covered in the investigations are all state-run and directly under the Ministry of Education. Private schools were not included in the nationwide check.

 

The newspaper said most of the universities have set up special teams to evaluate key economic decisions and investments to ensure fund safety.

 

The universities have also set up strict rules for management of state assets and tightened procedures in purchasing, use, maintenance and transfer of public property.

 

(Xinhua News Agency January 23, 2007)