Controversies
In January 1994, the Hong Kong tabloid Next Weekly reported that Project Hope could not account for HK$70 million in donations, implying the donations from the people of Hong Kong to help the Chinese children have been misdirected to the pockets of certain people. The affected party filed a libel lawsuit that did not get resolved for six years. The net outcome was that Next Weekly had to pay HK$3.5 million in damages as well as court fees.
In 2002, Project Hope was reportedly involved with embezzlement of donations. National Audit Office confirmed that in 2002 it audited financial situations of Project Hope but the report was never publicised. Then head of the project Xu Yongguang later went on as vice director of China Charity Federation.
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