Philanthropy

Chinese Government Suspicious of Charity

One of the richest men in China announced last week that he would begin a charitable foundation with a $1.2 billion donation, but the Chinese Communist party reacted with concern. The party newspaper, the People's Daily, suggested that the charity might be used for tax evasion. “Anyone can issue a news statement saying they are going to donate money but whom have they donated to? There is no answer because their donation has not happened yet," a Chinese official said to the Financial Times. The newspaper said that the reaction is indicative of a country that is still coming to grips with those who have been enriched by China's rapidly growing economy.