Chinese military brings tough audit system to curb corruption

Stung by corruption scandals, China has introduced a result-based management system to ensure efficiency of its huge military spending, which this year amounted to a whopping USD 132 billion.
An official circular approved by the Central Military Commission, headed by President Xi Jinping said military expenditure management and control will be improved to maximise the output of the spending.
Under the new rules of scrutiny, individuals or units will be held accountable for inefficiency, the circular said.
In the year-long campaign against corruption after Xi came to power last year, a number of top military generals were charged with amassing wealth.

In June, the ruling Communist Party of China (CPC) expelled Xu Caihou, a retired general and former vice-chairman of the powerful Central Military Commission.
Xu faced a court martial on charges of corruption, becoming the most-senior People's Liberation Army officer to fall in the anti-graft drive.

The detention of Xu also paved way for the arrest of another PLA General Gu Junshan who stood trial in a military court on charges of embezzlement, bribery, misuse of state funds and abuse of power.
Gu is believed to have amassed a vast personal fortune worth hundreds of millions of yuan after receiving kickbacks for selling military land to property developers and engaging in other illicit activities.

The new circular said the management system will be piloted this year at PLA headquarters and regional military commands in five areas such as fiscal management and military hospitals.
The scheme will be implemented everywhere by 2020.
Zhao Keshi, head of the PLA general logistics department, said the assessment of output and results will be introduced throughout the allocation, use and supervision procedures.
The system will ensure military funds being effectively transferred into combat capability, state-run Xinhua News Agency quoted Keshi as saying.
The circular said modern warfare is based on huge consumption of money and materials, and cost-output management should always be an important consideration for the military.

It urged accurate formulation of military budgets, strengthened monitoring of the budget execution and strict accountability for those who failed to achieve the goals set.