Questions asked over crowdfunding

Mother suspected

The controversy is the latest of many in recent years that have seen similar services criticized for their inadequate roles in verifying fundraisers' claims, and in detecting misuse of donations.

One of most discussed cases involves a mother in Henan province who raised money last year on Shuidichou and other platforms for her 3-year-old daughter who has eye cancer. However, the mother was suspected of using the funds to treat her son, who has a cleft palate. The daughter died later in the year.

Another case centered on a woman in the Guangxi Zhuang autonomous region who crowdfunded more than 250,000 yuan on Shuidichou for her sick daughter, but was later found to own a restaurant, an apartment and a car. The money was eventually returned to donors.

To add fuel to the fire, staff members from similar platforms were found to have offered guidance to users on their "narratives".

Illegal services that help patients fake medical records and receipts are also widespread.

The recent findings come as the authorities have been working for years to restore the image of the charity sector, which has been tarnished by a number of scandals involving an established foundation and the government-backed welfare lotteries.

These endeavors saw the enactment of the Charity Law in 2016－a legal milestone for a country where public donations reached 75.4 billion yuan last year, more than twice as much as a decade ago, according to the China Association of Social Workers.

The law boosted the sector's credibility by centering the qualifications required for fundraising on a small number of charities with perfect credit records, making it compulsory for them to disclose how they plan to spend the money.

It also limits online fundraising activities to websites designated by the Ministry of Civil Affairs－which oversees the sector－in a bid to contain risks.