China sentences Evergrande founder Hui Ka Yan to life in prison for fraud

business crime & law corporate scandals

The Shenzhen Intermediate People’s Court has sentenced Hui Ka Yan, the founder of China Evergrande Group, to life in prison. Once one of China’s most prominent property tycoons, Hui's sentencing marks a pivotal moment in the fallout from the collapse of his real estate empire.

The court handed down the sentence on Thursday for charges including large-scale fraud and financial misconduct. This decision caps the downfall of a man who exemplified the country’s real estate boom and bust.

Beyond the prison sentence, the court ordered that all of Hui Ka Yan's personal property and assets be confiscated. Additionally, Evergrande-related companies were fined 15.82 billion yuan, or $2.4 billion.

The collapse of Evergrande, which occurred with more than $300 billion in liabilities, shook China's property sector and set off a prolonged crisis in the Chinese economy.

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