China’s Audit Office Exposes $34 Million Scams Selling Government Data

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The National Audit Office of China

The National Audit Office of China has revealed that seven entities from four government departments made 248-million-yuan ($34 million) profit by illegally charging for external access to public data without proper authorization.

From June 2018 to 2023, two entities under the Ministry of Transportation illegally collected 145 million yuan on data from four public information systems, the audit office found.

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Seven entities from four Chinese government departments made a 248-million-yuan ($34 million) profit by illegally charging for public data access without proper authorization.
The National Data Bureau established to facilitate data flow and balance supervision reflects China's efforts to enhance digital economy and economic growth.
Experts highlight the need for stringent protection of government data and caution against monopolizing data resources, advocating a balanced approach exemplified by Hangzhou's data operations.

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Who’s Who

Ali Health: In October 2023, Hangzhou authorized Ali Health, Alibaba’s health unit, to operate public health data for two years. This move is part of a more balanced model for handling public data in sectors like finance, healthcare, and transportation, contrasting with other riskier models.

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What Happened When

From June 2018 to 2023：: Two entities under the Ministry of Transportation illegally collected 145 million yuan on data from four public information systems.

From June 2018 to 2023：: Two entities under the Ministry of Education illegally charged 58.66 million yuan on its data, the Ministry of Industry and Information Technology charged 24.47 million yuan, and the Administration of Market Supervision charged 20.25 million yuan.

December 2022：: The State Council issued 20 measures to build basic systems for handling data, aiming to strengthen the digital economy and boost high-quality economic development.

October 2023：: Hangzhou gave Ali Health, Alibaba’s health unit, a two-year operating right to public health data.

November 2023：: Hengyang City in Hunan province listed a license to operate government data and smart city data for 1.8 billion yuan but withdrew the deal only five days later amid controversy.

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