Evergrande's "royal" accountant may be sued
Since Evergrande was listed in 2009, it has been Evergrande 24 trillion debt endorsement, signed, guaranteed Xu Jiayin "royal" audit machine purchase PricewaterhouseCoopers or will be prosecuted.
Recently, according to the Financial Times and other reports, the liquidators of China Evergrande are ready to sue PricewaterhouseCoopers over audit issues. The liquidators believed that PwC had been negligent in its audit of Evergrande, which led to the debt crisis being covered up.
Earn a lot of money
As the first of the world's four major accounting firms, PricewaterhouseCoopers' authority and credibility are self-evident, and it has been regarded as a guest of honor by major listed companies in China for a long time, such as Evergrande and Lenovo Group. Evergrande alone pays more than 40 million in audit fees to PricewaterhouseCoopers every year, and roughly calculated, it is conservatively estimated to be 5 in 14 yearsMore than 600 million, in addition, there may be more than the basic interests of the exchange, so that Evergrande 2The debt of 4 trillion yuan exploded overnight, without any warning beforehand, just because PricewaterhouseCoopers has been issuing an unqualified audit report to EvergrandeIt is believed that Evergrande's financial statements are true and credible.
In the past, Arthur Andersen and now there are PwC
What's even more funny is that in 2002, PwC merged Arthur Andersen, one of the world's top five accounting firms that collapsed because of its involvement in the "Enron" incident (the largest financial fraud case in U.S. history: a $60 billion ** that almost bankrupted Wall Street). It can even be said that it is even more than that!
The largest of the Evergrande** in the middle
You must know that Evergrande only has a registered capital of 3.9 billion, but it poked out 2A huge hole of 4 trillion! 2.What is the concept of 4 trillion, which is equivalent to 2% of the annual GDP of the country, and the sum of the defense expenditure for 2 years, just imagine how many aircraft carriers and rockets can be built here! If it weren't for the fact that China's economy is large enough and its economic resilience is strong enough, if it were placed in a medium-sized country, it would have triggered a financial tsunami long ago.
PricewaterhouseCoopers has always been Evergrande's "fig leaf", has been using his credibility to endorse Evergrande, until after the Evergrande thunderstorm, people saw its true financial outlook, which caught everyone off guard, especially those who are thrifty and have saved a lifetime of money to buy a new house in Evergrande, This is the hard-earned money of the people.
Justice is never absent
With the imprisonment of Xu Jiayin, his second son Xu Tenghe, and Evergrande executives, Liu Liange, the former chairman of the Bank of China, Li Xiaopeng, the former chairman of Everbright Bank, Sun Deshun, the former president of China CITIC Bank, Wang Guizhi, the former chairman of the board of supervisors of Guangfa Bank, and Zhang Hongli, the former vice president of Industrial and Commercial Bank of China, and many other bank executives have also been dismissed or punished.
And behind it has been for that for Evergrande 2PwC, which is backed by 4 trillion debts, will PwC, the largest behind Evergrande, get out of the shell? We always believe that justice may be late, but it will never be absent!