business

Pressure piles on China Evergrande with report chairman under police surveillance

8 Comments

The requested article has expired, and is no longer available. Any related articles, and user comments are shown below.

© Thomson Reuters 2023.

©2024 GPlusMedia Inc.

8 Comments
Login to comment

The first domino has fallen.

3 ( +3 / -0 )

chairman under police surveillance

Why, what do they think he is going to do? Escape to USA?

-2 ( +0 / -2 )

This do not look good, the CCP is again reacting too late about a problem that was seen coming and with its usual "delicate" touch.

4 ( +4 / -0 )

CORRUPTION corruption corruption cooking the books!!!

The chairman of China Evergrande Group has been placed under police surveillance, Bloomberg News reported on Wednesday, ratcheting up pressure on the embattled developer whose outlook has already darkened significantly this week.

Citing people with knowledge of the matter, the report said Hui Ka Yan was taken away by police earlier this month and is being monitored at a designated location.

-1 ( +0 / -1 )

Why, what do they think he is going to do? Escape to USA?

Quite possibly. A lot of wealthy Chinese bought homes in places with large expat Chinese and ABC communities in the US such as Walnut, San Gabriel and San Jose. They buy the home cash, then return to China. They have one or more bank accounts in the US they send money too. When the time is right they move their families. The Chinese are very anxious to have a piece of property that is really theirs that they can pass on to their kids, and they want their kids to go to American schools. Considering his wealth I would be amazed if he didn't have a home in North America and another somewhere in Europe. We know such a person, a high school basketball team friend, who made their money in the Chinese film industry who travels and has homes abroad.

0 ( +0 / -0 )

CORRUPTION corruption corruption cooking the books!!!

The CCP will undoubtedly make it out as a case of corruption but it far from being that simple. These companies responded to the demands of the CCP in the 2009-2011 time frame to borrow big and build. That was their version of economic stimulus during the Great Recession / Depression of that era. Local governments promoted this because they made money off the long term leases they sold the developers, money used to help finance big public works projects the local governments also borrowed heavily to finance. Unfortunately for all, the Chinese working population started to decline a few years after and more recently the total population entered decline. There will probably never be enough buyers for all the existing housing. Bad planning by all but you can point a big finger at the CCP and local governments for promoting it.

0 ( +0 / -0 )

Arresting people for 'corruption' or whatever isn't going to do much. Maybe a cover for quasi-nationalisation, but not much more.

The sector was allowed to bury itself in astronomical amounts of debt. Maybe they learned nothing from the sub-prime mortgages fiasco. Maybe they just didn't have the skills to regulate a market economy, govt. staff having grown up as Communists.

They will have to nationalise and stabilise the sector. Property is too big to fail in China. Remaining shareholders know it - the only reason they retain shares.

It happens. The UK had to do this with Lloyds Bank. Flipping people back to poverty and Maoist purity is not an option, so just get stuck in and get it over with. The political and economic equivalent of a visit to the dentist.

0 ( +0 / -0 )

There are reportedly hundreds of high up CCP members taking payouts from Evergrande, then there were the local council officials, they were feeding lots of greedy mouths to run this illicit company. But I really feel for the countless thousands who bought their crap buildings, who now have no homes and all their money has been stolen from them. But of course, the good old CCP to the rescue.........er, no, they turned their corrupt backs on all these people. As for the comments here about this crook absconding to the USA, he has millions and millions stashed away there, as do most CCP members.

0 ( +0 / -0 )

Login to leave a comment

Facebook users

Use your Facebook account to login or register with JapanToday. By doing so, you will also receive an email inviting you to receive our news alerts.

Facebook Connect

Login with your JapanToday account

User registration

Articles, Offers & Useful Resources

A mix of what's trending on our other sites