BEIJING, December 16 -- Chinese government has ordered a closer scrutiny of a 10-billion-yuan project of building and renovating boarding schools in western rural areas, in a bid to root out defalcation.

The government office in charge of promoting compulsory education and eliminating illiteracy in west China recently issued a circular, strictly prohibiting misuse of the special project funds.

It asked local authorities to strengthen supervision and subject the expenses of the special funds to annual audit.

It also ordered to publicize information about the project progress and the fund expenditures to the public .

The circular didn't mention whether any misappropriation cases have emerged.

China initiated a four-year project in its vast west rural areas in 2004, planning to invest 10 billion yuan (1.3 billion U.S. dollars) in building and renovating elementary and middle boarding schools there.

By August, 9 billion yuan (1.13 billion US dollars) had been in place, benefiting over 7,650 boarding schools, and helping over 4 million students from impoverished families gain access to education.

Over 80 percent of elementary schools and more than 64 percent of secondary schools in China are located in rural areas.