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In 1999, the Australian Federal Education Minister announced the establishment of the Australian Universities Quality Agency, or AUQA. AUQA has to audit universities as well as non-university institutions. There has been some criticism that AUQA "only looks at processes not outcomes" or that it "looks only at the processes intended to achieve quality and not at the quality itself". In 2006, AUQA commissioned an independent review of its activities.

The Ministry of Education (MOE) has ordered the auditing of university heads from 2007. Analysts say the move is aimed at curbing corruption in universities after several embezzlement cases were uncovered in state universities recently. In 2006, former president of Tianjin University was removed from his position of deputy to the National People's Congress for his role in the school's loss of 12.8 million U.S. dollars.

The Ministry of education will probe private schools over irregularities in the fight against corruption. The education minister and the Board of audit and inspection will soon jointly select private schools suspected of mismanaging their schools. They will only investigate those which are suspected of mismanagement and corruption, rather than doing random investigation.