China's 1st impounded gov't vehicle auction fetches $1m

A total of 106 official vehicles expropriated by the Chinese central government were auctioned Sunday for a combined 6.6 million yuan (1.06 million U.S. dollars) amid enthusiastic bidding. [Photo/Xinhua]

A bidder surnamed Yao netted a Passat 1.8L starting at 80,000 yuan for 137,000 yuan. "A brand new vehicle of this type cost around 200,000 yuan. However, the car at the auction was in a good condition, so I'm very satisfied with the deal."

Zonto was among three auction houses that won public biddings for auctioning impounded official vehicles.

Preview exhibitions were held two days before the auction, complete with every item's estimated price, vehicle type, date of registration, mileage and preservation status -- a transparency level rare for second-hand vehicle sales. Information concerning the auction and all its items was also made public via the house's website.

According to an unnamed principal with the auction house, Sunday's bidders included individuals as well as second-hand vehicle trading agents, and all deals were finalized on site.

Xu said the entire process of the auction was under the supervision of auditing and disciplinary inspection departments, and the full result will be released to the public in a timely manner.

Official rules on impounded official vehicles stipulate that the money raised at such auctions will go to the central treasury.

"The use of the money will be supervised by the leading group overseeing the official vehicle reform and will also be open to the media and the public. It's hard to imagine anyone could pull tricks on it," Xu said.