Founder of Evergrande sentenced to life in prison
Hui Ka Yan, once ranked as Asia’s richest man, has been handed a life sentence by the Shenzhen Intermediate People’s Court after pleading guilty to several crimes, including embezzlement, corporate bribery, and fraud. His personal property has been confiscated and his former companies were fined a cumulative ¥15.82 billion ($2.35 billion) for falsifying records and hiding debt.
The ruling marks the latest blow following Evergrande’s collapse, which rattled China’s real‑estate market and harmed investors and domestic banks. Other executives, including Hui’s sons Xu Zhijian and Xu Tenghe, received prison terms ranging from 22 months to 18 years.
Evergrande rose from humble beginnings in rural China, where Hui was raised by his grandmother. By 2006 it had become China’s largest property developer and scoured the market with aggressive, debt‑financed construction projects. The company’s stock peaked at over $50 bn, making it a key engine in China’s economy and a crucial source of revenue for local governments.
In January 2024, Hui was fined $6.5 m and banned for life from China’s capital market after the company overstated its revenue by $78 bn. In August 2025, the Hong Kong exchange delisted Evergrande following a 99% decline in valuation.
Evergrande’s implosion is seen as a trigger for a broader slowdown in China’s property market, which still weighs heavily on the country’s growth and on other major developers facing financial distress.
