Charitable Fund - Raising Crisis Response And Legislation

In recent years, China’s charity in has made great development. Especially afterthe Wenchuan earthquake in2008, the Chinese people showed the spirit of mutualhelp and national cohesion named “great love after disaster” to the world. However,there are big gaps in regulation law at present, especially in charitable donation. Afterthe events of “Sky-high price tent” and “Million yuan meal”,“Guomeimei incident”caused the charitable crisis in our country again. It had very bad effect on thecharitable donations of public charitable organizations. The trust decreases of thepublic to the charities directly affect the enthusiasm of social charitable donation.According to the introduction from the ministry of civil affairs of the charity anddonation information center, the monitored data of national donation showed, thedonation through the charitable organizations greatly reduced after the “Guomeimeiincident”. The charitable organizations received62.6million yuan in total duringMarch to May in the year of2011. But in June to August, the donation moneydecreased by86.6%that the past three months and it was only8.4million yuan. Thedecrease of donation choice to the charitable organizations from the public in someextent indicated the distrust to the charitable organizations.For the Chinese non-profit charity, the international famous advisory corporationof McKinsey company made an evaluation:“Chinese society is not lack of charity butlack of confidence in non-profit organizations.” The Sohu Web once made an on-linesurvey on the topic of “main causes why Chinese charity got behind”. The resultsshowed that62.26%of the voters thought it was due to “The public welfare ofChinese charitable organizations were incredulous”. How to promote the credibility ofChinese charity in such adverse situation, in the author’s opinion, based on theexternal successful development of charitable donation laws, our country should maketimely reasonable coping strategies on the charitable crisis combined with our specificnational conditions.In this paper, established in fundamental national condition of our country at thepresent stage, based on current status of legislation for charity, the causes andinfluences of charitable donation crisis were studied. The state-of-the-art of charitabledonation, the category and characteristic of charitable donation crisis, the deficiencyof legislation in such field were summarized. Furthermore, learning from foreignadvanced experience in legislation, the coping strategies on the charitable crisis were explored and some related suggestion were given to improve the system of laws andregulations in charitable donation.