BEIJING: China Saturday issued a regulation on the implementation of the Audit Law, which required close audit to government-funded projects, to make sure financial funds were properly used.

The regulation, issued by the State Council, or China's Cabinet, asked auditing offices to conduct follow-up audit to organizations or projects, which were funded or partly funded by government.

The regulation was revised and passed at an executive meeting of the State Council on February 2 and will become effective on May 1 this year.

To ensure accurate and impartial auditing, the regulation provides that organizations are entitled to apply for government adjudication, administrative review or lodge a lawsuit if they disagree with the audit results.

The current Audit Law was amended and passed in February 2006 by the Standing Committee of the Tenth National People's Congress.