Hui Ka Yan, founder of China Evergrande Group, has pleaded guilty to multiple charges including fundraising fraud, misuse of funds, and illegally taking public deposits. The trial took place in Shenzhen, China, with the court stating Hui expressed remorse.
The former steelworker built Evergrande into a real estate giant, once valued at over $50 billion, but the company ultimately became the world’s most indebted property developer and defaulted on its liabilities in 2021.
Alongside charges of illegal absorption of public deposits and corporate bribery, Hui and Evergrande also face accusations of fraudulently issuing securities and illegally extending loans. The collapse of Evergrande sparked a property crisis in China.
Hui Ka Yan’s downfall marks a significant moment following a period where he mingled with power brokers at celebrations for the Chinese Communist Party in 2021, showing no outward signs of the mounting pressure on his company.