China Evergrande

A Hong Kong court has allowed liquidators to extend claims for damages from the Evergrande scandal to the international PwC network, calling into question the previous national liability shield. PwC denies direct involvement and is considering legal options, while investigations would require documents and testimony about the role of PwC International. At the same time, a reorganization of the global leadership structure — including the temporary vacancy of a position on the Network Leadership Team and the exclusion of PwC Germany from the leadership circle — has put internal power issues in the spotlight and increased pressure on the industry as a whole. » More on faz.net

A Guangzhou court accepted a bankruptcy liquidation case against Evergrande's mainland property development unit after a Shenzhen court sentenced founder Hui Kan Yan to life in prison for financial crimes. Dozens of others tied to the group, including Hui's sons, received prison terms up to 18 years and the court ordered confiscation of Hui's personal assets. Hong Kong liquidators are seeking to recover assets and pursue claims including against PwC, but experts say creditors will likely recover only a small single-digit percentage of the developer's roughly $300 billion liabilities. The liquidation process is expected to be lengthy due to separate Hong Kong and mainland legal frameworks and the scale of Evergrande's assets. » More on finance.yahoo.com

Hui Ka Yan, founder of the once-largest Chinese property group Evergrande, was sentenced to life imprisonment in Shenzhen. He had been out of public view for two and a half years and appeared in court looking markedly aged. The verdict does nothing to change the ongoing property crisis in China. » More on sueddeutsche.de