(AFP Photo)BEIJING: The embattled Chinese real estate giant Evergrande has ousted its CEO and chief financial officer after an internal investigation into why banks seized over US$2 billion from its property services arm. The executives were forced to step down on Friday following an internal investigation into why banks unexpectedly seized 13.4 billion yuan ($2 billion) in deposits from Evergrande Property Services. Once a leading light in China’s real estate sector, Evergrande has in recent months scrambled to offload assets, with chairman Hui Ka Yan paying off some of its debts using his own personal wealth. Evergrande’s woes have had knock-on effects throughout China’s property sector, with some smaller firms also defaulting on loans and others struggling to find enough cash. Long heavily dependent on loans to finance their massive developments, China’s real estate firms have found themselves in trouble as a push by Beijing to rein in indebtedness has cut cash flows.

Source: Bangkok Post July 23, 2022 10:24 UTC