Overview
- Hui Ka Yan, in a public hearing held Monday and Tuesday in Shenzhen, pleaded guilty and expressed remorse, and the court said it will issue verdicts at a later date.
- The court listed counts including illegally absorbing public deposits, fundraising fraud, illegally issuing loans, illegally using funds, fraudulently issuing securities, disclosure violations, embezzlement and corporate bribery.
- China Evergrande Group and its mainland arm also stood trial on related allegations, with the real estate unit accused of fraudulent securities issuance and judgments still pending.
- China’s securities regulator in 2024 fined Hui 47 million yuan and barred him for life from the securities market after finding inflated earnings and securities fraud at a flagship unit.
- Evergrande carried more than US$300 billion in liabilities, defaulted in 2021, was ordered liquidated by a Hong Kong court in January 2024, and later lost its Hong Kong listing, leaving homebuyers and investors facing delays and missed wealth-product payments.