After nearly 5,000 cars owned by China's central government agencies were expropriated on Jan. 16, the first of two auctions was held in the Chinese capital on Sunday.
The Zonto Auction Company oversaw Sunday's event, which was attended by a large crowd of people who participated in the sale of over 100 cars that eventually reaped a total sum of 6.61 million yuan ($1.06 million).
Although buyers were attracted by the online prices, as they were 20 percent lower than second-hand cars of the same condition, a member of the public spoke to the media during Sunday's auction about his disappointment. A person with the last name of Wang told a reporter that he "came to get a car with an expected price of 70,000 yuan, but it was sold at almost twice the opening bidding price at 90,000."
Meanwhile, an Audi model with an opening bid of 150,000 yuan was purchased by a buyer who was bidding on his ninth vehicle for the day.
The National Government Offices Administration (NGOA) announced after 3,184 official vehicles were reclaimed earlier in the month that the first 300 cars will be sold before the Spring Festival.
The expropriation of the official cars forms part of reform measures that began in July 2014 that aim to slash corresponding government spending. As per the new regulations, government vehicles can only be used for special services instead of regular government affairs.
Xu Yongsheng, deputy head of the NGOA's state assets management division, said that the money from the auctions will go to the central treasury, while the entire process will carefully monitored by an auditing agency, a discipline inspection agency and the public.
The second auction was held on Monday and generated nearly 7.9 million yuan ($1.2 million).