China to audit massive lottery funds to curb misuse

People buy lotteries at a sports lottery shop in Baoji city, Shaanxi province, on Nov 21.[Photo/CFP]

Chinese auditors are investigating how lottery funds were being managed in 18 provinces, after lottery buyers questioned the credibility of lottery results.

The authorities will look into the management and use of 860 billion yuan ($141 billion) from lottery sales.

The public have complained about the lack of transparency in lottery fund management as information of big-time lottery winners are always concealed.

But lottery managers defended that the information concealment conforms to national law.

Under China's lottery management rules, revenues from welfare and sports lotteries should go into public welfare projects.

But previous audits found the funds were also used for non-welfare related purposes, such as constructing office buildings and private hotels.