Shadow home appliances to the countryside false financial subsidy fraud exposed

Chen Guozhen start from the age of 19 at the Tai Town, Putian City, Fujian Province, operating home appliances business, 10 years later, his "home appliances Xinjiekou
Sell
Department of "monthly income has been able to reach 10 million, of which 90% of revenues come from bringing home appliances products. Home appliances to the countryside policy is designed to resist by stimulating rural consumption as part of the global recession, rural families to purchase such product get 13% of the financial subsidies that farmers 1,000 yuan to buy a product price, the actual cost only 870 yuan. This massive "countryside action" in December 2007 took the lead in Shandong, Sichuan and Henan provinces pilot February 2009 spread throughout the country after the product category, and gradually cover all home appliance products
Car
, Motorcycles, computers, the list of winning companies are also gradually expanding.

Tai Town in this 15-minute walk from the town can come to an end, similar to Chen Guozhen this appliance has nine stores, or across the street, or adjacent to each other. Less than 2 meters wide and hanging around the streets, "enjoy the government subsidy of 13%" of the banner. In February 2009 appliances to rural areas before the policy benefit here, Guo-Zhen not think a good day would come so fast, but for now, he also did not expect the good times may have ended so fast. "Getting harder and harder. Some dealers will sell smaller brands used in the non-subsidized products, home appliances to the countryside, this way, pull the old machine sales, they cheat the state subsidies." Guo-Zhen said.

Tai Town has five sales of home appliance dealers in the acceptance of "Global Entrepreneur," an interview that the phenomenon of subsidy fraud does occur. From home appliances to rural areas since the implementation of a time facing the virtual product adulterated and subject of barriers to energy efficiency, now, fraud has become a new issue of subsidies.

Dealer cheating behavior is subsidized industry called "Pianbao", as its name declares, as this acts as the insurance premium fraud industry notorious acts. Cross-subsidy fraud in early May 2009, that time, "home appliances to the countryside operating rules" implemented in 16 pilot provinces and cities to subsidize the payment procedure simplified review, "rules" of funds required to subsidize consumers of subsidies in the application of 15 working days of payment in place, and removing the audit of township finances, the county finance bureau payment links to sales outlets on behalf of the trial, the payment of township finances. This "Pianbao" who can take advantage of the machine provides.

"I've heard some of the things distributors subsidized fraud." Deputy secretary general Xu Dongsheng China Household Electrical Appliances Association, told the "Global Entrepreneur," "this loophole, the relevant departments are arrested."

New tricks

In the "Rules" issued before the cumbersome process to receive subsidies is indeed a product of some consumers lost their enthusiasm for home appliances to the countryside. To this end, Tai Town, Putian City, Xiuyu District belongs to the Joint Economic and Trade Commission has some of the local financial sector and enterprises in the Dai Town street on-site sales, on-site promotional subsidies. Xiuyu District Vice Mayor Lin Zhen-fa accept the "Global Entrepreneur" during an interview, said: "How to get the subsidy to consumers as soon as possible is most important."

"Rules" and introduced no doubt solve the "subsidy complicated" problem, but the sales network to replace rural financial sector to become "on behalf of the trial," agencies have created the conditions for subsidy fraud. Siemens Home Appliances Fujian Putian area manager Fangshao Yu told the "Global Entrepreneurs", in Putian, small brands more profitable than selling big brands is an indisputable fact, so little brand sales outlets are often their own money to farmers to 13% in private subsidies, while the "province" of subsidies over a number of places reserved for expensive, older models of non-winning products home appliances to the countryside. "Dealers will fill out the appliances to the countryside in the invoice the product model, but sold to consumers are non-household appliances to the countryside products, sales outlets in the 'on behalf of the trial' status so that such operation is very easy." Fangshao Yu said.

Dealers cheat subsidies to "upgrade" mode, the sales outlets and consumers, "conspiracy." The operation technique was used in February 2009 the consumer since the purchase of a station from the relaxed to 2 sets the new policy, sales outlets and buyers agree, although the actual purchase of 1, but the dealer invoice complete 2 sets and sales outlets only pay 3% more than for this business tax, but can have more access to state subsidy of 13%, divided by the parties.

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