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Charity's statue raises eyebrows

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A regional branch of the mainland's third-biggest charity group is again under scrutiny, this time over a controversial giant statue of Sun Yat-sen's wife being built in Henan province.

The 24-metre statue of Soong Ching-ling in Zhengzhou is nearly complete - and it cost the provincial arm of the China Soong Ching Ling Foundation, which says it focuses mainly on projects to help children, some 400million yuan (HK$488 million).

Questions are being asked as to why the charity commissioned the statue in the first place - and where the money came from.

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Xinhua reported yesterday that the charity's Henan branch had diverted medical insurance contributions for rural health care into property market investments or loans to generate income on the interest.

The reputation of mainland charity organisations was already in tatters after a string of scandals - including those involving the Red Cross Society of China - that have prompted calls for transparency over how quasi-official agencies manage their cash.

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In September, after claims the Henan charity is profiting by lending out millions of yuan in donations, the National Audit Office sent a task force to investigate.

This time the charity is under scrutiny over reports that it fully funded the Soong statue.

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