Police in a southern Chinese language metropolis stated they’ve detained some workers at China Evergrande Group’s wealth administration unit within the newest bother for the closely indebted developer.
A press release by the Shenzhen police on Saturday stated authorities “took felony coercive measures towards suspects together with Du and others within the monetary wealth administration (Shenzhen) firm underneath Evergrande Group.”
It was unclear who Du was. Evergrande didn’t instantly reply questions in search of remark.
Media experiences about traders’ protests on the Evergrande headquarters in Shenzhen in 2021 had listed an individual referred to as Du Liang as head of the corporate’s wealth administration unit.
Evergrande is the world’s most closely indebted actual property developer, on the heart of a property market disaster that’s dragging on China’s financial progress.
The group is present process a restructuring plan, together with offloading belongings, to keep away from defaulting on $340 billion in debt.
On Friday, China’s nationwide monetary regulator introduced it had accepted the takeover of the group’s life insurance coverage arm by a brand new state-owned entity.
A sequence of debt defaults in China’s sprawling property sector since 2021 have left behind half-finished condominium buildings and disgruntled homebuyers. Observers worry the true property disaster might additional gradual the world’s second-largest economic system and spill over globally.