C.V. Chen, President of Red Cross Taiwan, held a press conference recently in response to the growing controversy over the agency's handling of the relief fund for Japan. Chen explained that it is common practice for charities to disburse the funds to beneficiaries in installments, while assuring the public that the entire amount of 1.9 billion NT dollars, including interest, will be fully spent on the victims of the devastating incident.

Last month, the Red Cross Society of the Republic of China (ROC) raised nearly 780 million NT dollars through the "Fight & Smile" telethon for disaster victims in Japan. In the following two weeks, the Red Cross Society of the ROC raised nearly NT$1.9 billion by April 7th.

However, the society is now facing criticism because only a quarter of the donation has been transferred to Japan, while some people even request the society to return their donation. In response, president of the society, C.V. Chen said that donation allocation must be done in accordance with a comprehensive plan, to decide how to use the money properly in different phases.

Chen emphasized that after the donation drive ends on May 10th, the society will discuss with its Japanese counterpart about the best way to give the money at once on reconstruction works.

The other charity group, Tzu Chi Foundation, which has also been accepting public donation for disaster relief effort in Japan, has not yet announced the total amount it has raised. Tzu Chi said that instead of transferring the money to Japan through intermediate organizations, the foundation will give the money directly to those in need.

Still, according to the government's regulations, all donation raised and the interest accrued can only be used according to the designated purpose.

The groups that accept donations must accept their supervisory authority's investigations periodically, and unveil all information regarding the fund-raising activity.

For charity groups, other than emergency assistance, a great proportion of money will be used on mid-and long-term reconstruction work.

Secretary-General of United Way in Taiwan, Chou Wen-zhen said that the money must be given in accordance with the recipient's needs and with a comprehensive plan, so that benefactors' money won't become a waste.