Xinhua Beijing on June 1 call (Reporter Zhang Xiaosong) Audit on the 1st announcement of the audit findings, published the audit results of the 2010 annual balance of the Industrial and Commercial Bank of China and China’s CITIC Group profit and loss. According to Audit Financial Audit Division of the arid zones of the two financial firms the existence of unauthorized loans, financial management is in chaos, the management there are three common problems of the weak links.

the audit results show that the two financial firms better able to implement the national macro-control monetary and credit policy, combined with their respective actual situation to the development of the annual credit and structural adjustment programs continue to increase financial intensity of services to the real economy. Also constantly improve business decision-making mechanisms and risk control measures, asset quality to further enhance the overall strength and comprehensive competitive force steadily, anti-risk capability further enhanced in the resist international financial crisis, promote the economic development pattern, support economic stable than the fast growth, and so played an important role.

but the audit also found some problems: First, the two financial companies, some of the branches illegal loans and bills operational issues are still quite prominent, mainly over period and to the land reserve agency payment of the land reserve loans, to be incomplete or inadequate capital and real estate loans, loans, illegal violations to the government financing platform company to apply for a trade background bill discounting business; is part-owned enterprises, accounting untrue financial management confusion and other problems, mainly in the consolidated financial statements according to the specified inflated operating profit and the presence of off-the-books funds, assets, etc.; part of the business management weaknesses and potential risks, and some credit funds loans enterprise embezzlement, five classification of some of the credit quality of assets to reflect inaccurate and not timely.