China Scrutinizes PwC Role in $78 Billion Evergrande Fraud Case
- PwC was among most commonly used auditors for China developers
- Authorities continue probes of Evergrande founder Hui: people
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Chinese authorities are examining the role of PricewaterhouseCoopers LLP in China Evergrande Group’s accounting practices after the developer was accused of a $78 billion fraud, ramping up pressure on the global accounting giant that audited a slew of developers before the sector’s meltdown.
The country’s securities regulator this week accused Evergrande’s main onshore subsidiary Hengda Real Estate Group of recognizing sales in advance and massively overstating its revenue in the two years through 2020, prior to Evergrande’s default.