Chinese Government Launched an Investigation into Evergrande Accounts

The Chinese government has launched an investigation into Evergrande accounts. Evergrande's debt crisis continues.

Chinese Ministry of Housing officials have examined the accounts of the debt crisis real estate giant Evergrande Group to use the funds in the bank accounts to complete housing projects instead of paying them to creditors. According to the information provided by sources close to the subject, with the instruction given last month, Ministry officials took steps to audit the funds in the escrow accounts held for Evergrande's real estate projects. As part of the audit, it will be ensured that Evergrande uses its resources in the accounts in question to complete the projects.

Evergrande and the ministry did not comment on the matter.

It was stated that the resources in the accounts will primarily be used to ensure the delivery of the project, while various payments such as the payments of the suppliers will require government approval. Local offices in some cities are reported to have already implemented measures. These moves show that the Beijing government's priority in the Evergrande crisis is homeowners. It is known that the Chinese real estate giant has a debt of 300 billion dollars. The company did not make a statement on yesterday's dollar-denominated bond payment. According to the three bond investors, the company did not make any payments.