China Evergra...+9.24%
Evergrande chair faces probe for alleged offshore asset transfers
Evergrande Group Executive Director and Board of Directors Chairman Hui Ka Yan is reportedly facing investigation by the Chinese authorities for alleged offshore asset transfers during a period when the company was grappling with the challenge of completing its unfinished projects, sources told The Wall Street Journal on Monday.
Last week, one of China's largest real estate firm disclosed that its chairman was under suspicion for alleged criminal activities. However, the company did not provide any further information regarding the case. In a related move, Evergrande decided to indefinitely suspend trading of its shares on the Hong Kong Stock Exchange.
In August, the company initiated bankruptcy protection proceeding in New York, a move aimed at safeguarding its assets within the United States while it negotiates an agreement with its creditors. Two years ago, Evergrande defaulted on its debt.