Audit: Agency sees losses abroad

One-third of the overseas arms of the State Development & Investment Corp saw losses totaling 59.4 million yuan ($9.32 million) in 2010, according to the nation's top audit body.

The National Audit Office published the findings on Friday after the investigation of 37 SDIC overseas operations.

The audit results showed the State-owned company has seen sharp increases in capital and revenue yet remains plagued by the poor performance of some projects, which led to the losses.

The NAO has instructed the company to consolidate its operations that are exposed to loss and high risk.

SDIC's overseas businesses include project contracting, sugar production, automobile part production and international trade.

By the end of 2010, the company held oversea assets totaling 2.34 billion yuan and debt of 1.526 billion yuan. The overseas operations achieved 1.71 billion yuan in revenue and 85.02 million yuan in profit in 2010.

Last year, the NAO audited 15 large State-owned enterprises, including China National Petroleum Corp and FAW Group Corp.

By the end of March this year, 87 people were held responsible and punished for poor performance.

The NAO said that future audits of major State-owned enterprises will concentrate on the implementation of major government policies, safeguarding the security of State-owned assets and anti-corruption.