More bad news for China Evergrande emerges with its founder reportedly told not to attend a key party meeting – an ominous sign for the debt-laden developer’s outlook ahead.
Evergrande founder Hui Ka yan was notably missing from the Chinese People’s Political Consultative Conference (CPPCC) meeting that kicked off last week.
His absence could have a potentially symbolic meaning with a «Bloomberg» report citing unnamed sources saying that Hui was asked not to attend the gathering, to which he complied by requesting for a personal leave.
Out of Favor?
Hui attended the Communist Party’s 100th anniversary celebration in July 2021 which onlookers viewed as continued implicit government backing for Evergrande.
But since then, things have taken a turn for the worse with Evergrande officially defaulting and entering a restructuring process led by authorities from its home province of Guangdong.
In addition to public criticism by authorities, including the Chinese central bank which said Evergrande’s downfall was due to its «own poor management» and «reckless expansion», Hui was also missing from a CPPCC standing committee meeting in November due to the ongoing property crisis.
CPPCC Meeting
The meeting is a one-week gathering of CPPCC’s more than 2,000 members.
The members are made up of top politicians and businessmen who typically submit proposals on various issues during the convention.
Evergrande’s liabilities total more than $300 billion alongside commitments to finish building more than one million homes.
