14.5 C
London
Monday, June 17, 2024
HomeBusinessEvergrande wealth unit employees detained by China authorities

Evergrande wealth unit employees detained by China authorities

  1. Police Detain Members of Evergrande’s Wealth Management Unit in Shenzhen
  2. Evergrande’s Insurance Division to Be Acquired by State-Owned Insurer
  3. China’s Real Estate Crisis Continues to Impact Major Developers

Police in Shenzhen, southern China, have detained members of the wealth management unit of the embattled developer Evergrande.

In a social media post, police urged the public to disclose any suspected instances of fraud.

On Friday, it was announced that the firm’s insurance division would be acquired by a newly constructed state-owned insurer.

Since 2021, Evergrande has been at the center of a crisis that has enveloped China’s real estate industry.

Shenzhen Nanshan District Police Bureau stated on Saturday, “Recently, public security organs took criminal compulsory measures against Du and other suspected criminals at Evergrande Financial Wealth Management Co.”

No additional information was provided regarding the number of individuals detained, their identities – except Du – or the potential offenses they may face.

Additionally, police stated that the case is still under investigation and that investors may file complaints with the authorities.

Evergrande Financial Wealth Management Co. is an Evergrande subsidiary that was founded in 2015 and is headquartered in Shenzhen.

Du Liang is the general manager of Evergrande Financial Wealth Management, per his LinkedIn profile.

According to a proposal announced by China’s National Administration of Financial Regulation (NAFR) on Friday, the assets and liabilities of Evergrande Life Assurance will be assumed by the state-owned Haigang Life Insurance Co., Ltd.

After recovering from a 25% loss earlier in the day, shares of Evergrande were trading unchanged on Monday afternoon.

Beijing has made it increasingly difficult for real estate developers to obtain credit since 2020.

As one of China’s largest corporations, Evergrande amassed more than $300 billion (£242 billion) in debts during its rapid expansion.

After defaulting on its debts and incurring enormous losses, the company is attempting to restructure its business.

Other major Chinese real estate developers, such as Country Garden and Sino-Ocean, have struggled to satisfy their debt obligations.

China’s real estate sector is vital to the world’s second-largest economy.

Some experts are concerned that the sector’s crisis could destabilize the economy and spread to the global financial markets.

Beijing has also been conducting an anti-corruption campaign in China’s financial sector for over two years.

Executives have been punished severely, including with the death penalty.

Read More

RELATED ARTICLES

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Most Popular

Labour and Tories will ‘both leave NHS worse off than under austerity’

After a white mist began to appear, residents near a chemical facility were advised to keep their windows and doors closed. South Wales Police issued the warning following the incident at Dow's facility in Barry, Vale of Glamorgan. Firefighters responded with multiple crews and gave the same advice as police.

Following a chemical incident, people were ordered to close their windows

After a white mist began to appear, residents near a chemical facility were advised to keep their windows and doors closed. South Wales Police issued the warning following the incident at Dow's facility in Barry, Vale of Glamorgan. Firefighters responded with multiple crews and gave the same advice as police.

Eight Israeli troops die in Gaza as Palestinian dead toll ‘passes 37,000’

The troops were slain early Saturday morning while driving in a convoy after participating in a midnight battle against Hamas. The Israeli military confirmed that eight Israeli troops were killed inside Gaza. On Saturday morning, an explosion occurred in the southern city of Rafah, killing the military members.

Hydrogen driving: We test the fuel cell Ineos Grenadier

Electric vehicles are the future, and everyone agrees on that. That is the mantra offered to motorists who are encouraged to convert to EVs. However, not everyone agrees that the future of motoring will be entirely dominated by plug-in electric vehicles; some believe hydrogen fuel cells may play an essential role. Ineos, owned by buccaneering boss Sir Jim Ratcliffe, is already developing a robust 4x4 EV called the Fusilier, but it is also considering hydrogen power.

Recent Comments