Evergrande: PwC faces record fine and suspension in China

PwC faces record fine and suspension in China over Evergrande accounting

China is poised to impose a record fine on PricewaterhouseCoopers LLP (PwC) and suspend some of the global auditors over their role in the accounting of embattled property giant China Evergrande Group.

The claim relates to a March 2018 PwC auditors report on Evergrande covering the year to December 2017.

PwC was Evergrande's auditor for almost 14 years until it resigned in early 2023.

China's securities regulator, the China Securities Regulatory Commission (CSRC), is investigating PwC's role in Evergrande's accounting.

The CSRC is also investigating Evergrande's former chairman, Hui Ka Yan, and other executives.

Evergrande is one of China's largest property developers. The company has been struggling with a debt crisis for over a year.

In March 2022, Evergrande defaulted on its debt obligations.

The company is currently undergoing a restructuring process.