Hong Kong Regulators Partially Clear PwC in Evergrande Audit Case

12 Jul 2024 CW Team

Hong Kong regulators announced that they had partially cleared PwC of allegations related to deficiencies in its auditing of the Chinese real estate giant Evergrande. This decision followed an investigation prompted by a whistle-blower report.

Evergrande, heavily indebted, became emblematic of China's long-standing real estate market crisis. In March, its onshore unit was accused of overstating revenue by $ 78 billion. Once the largest real estate firm in China, Evergrande faced liquidation by a Hong Kong court in January after years of struggling to repay creditors following a default in 2021. In May, Beijing regulators fined Evergrande's flagship onshore unit $ 576 million for fraudulent practices.

PwC had been Evergrande's auditor for over a decade but resigned last year due to disagreements over the audit of the firm's 2021 accounts. In April, Hong Kong's Accounting and Financial Reporting Council (AFRC) announced that it had initiated a probe into PwC following an anonymous letter. The letter, titled "Who led PwC into the firepit that was Evergrande?", raised concerns about the quality of the audit. PwC condemned the letter, stating it contained "inaccurate statements and false allegations."

The AFRC reported that three allegations concerning PwC's quality management systems were not supported by a "rigorous review of the internal investigation carried out by PricewaterhouseCoopers." These allegations were related to ineffective audit quality control and compliance, improprieties in maintaining the client relationship with Evergrande, and inappropriate appointments of key personnel.

Building Material

11 Dec 2025

Suraj Estate Wins Euromoney Award for India’s Best Residential Developer

"Suraj Estate Developers Limited has received the Euromoney Real Estate Award 2025 for ‘India’s Best Residential Developer’, positioning the company among globally benchmarked leaders in the sector. The recognition reflects its four-decade legacy in delivering high-quality residential and redevelopment-led projects across South Central Mumbai. The Euromoney Real Estate Awards, presented by the London-based Euromoney magazine, are widely regarded as one of the most credible global assessments of performance in real estate, banking and finance. Winners are selected through surveys of inte..

Lloyds Metals, Tata Steel Sign MoU to Explore Strategic Collaboration

"Lloyds Metals and Energy Limited has signed a non-binding Memorandum of Understanding with Tata Steel Limited to evaluate potential areas of strategic cooperation across mining, logistics, pelletisation and steelmaking. The MoU was signed by B Prabhakaran, Managing Director of Lloyds Metals, and Mr T V Narendran, CEO and Managing Director of Tata Steel. The partnership framework aims to leverage the natural operational synergies between both companies and assess opportunities in greenfield steel projects, iron ore mining, slurry pipeline infrastructure, pellet manufacturing in iron ore–ric..

IndiaAI, Gujarat Govt Host Regional Conclave Ahead of 2026 AI Summit

The IndiaAI Mission under the Ministry of Electronics and Information Technology, along with the Government of Gujarat and IIT Gandhinagar, convened a Regional Pre-Summit Event at Mahatma Mandir, Gandhinagar. The initiative is part of the build-up to the India–AI Impact Summit 2026, scheduled for 15–20 February 2026 at Bharat Mandapam, New Delhi. The conclave brought together senior policymakers, technology leaders, researchers and industry practitioners to examine how AI can accelerate economic, digital and social transformation across sectors. The programme focused on the overarching th..