Shenzhen Intermediate People's Court sentenced former Evergrande tycoon Hui Ka Yan to life imprisonment and ordered the confiscation of all personal assets, while levying fines of 8.82 billion yuan on Evergrande and 7 billion yuan on its main subsidiary Hengda. The penalties underscore the legal reckoning of China’s $300 billion property‑sector crisis and raise doubts about any recovery for domestic and foreign creditors.
Hui pleaded guilty in April to eight counts, including fraud, illegal public deposits, bribery and falsifying records. The court also revoked his political rights for life and sentenced five senior executives to prison terms ranging from six to 18 years. His two sons received jail terms of 22 months to 18 years, and the companies face a combined fine of 15.82 billion yuan (≈$2.3‑$2.35 billion).
The ruling arrives as Evergrande’s liquidation drags on, with liquidators having sold only about $255 million of assets against creditor claims of roughly $45 billion. Offshore asset freezes aim to claw back $6 billion paid to Hui and former executives, but the fines and confiscations are unlikely to provide meaningful restitution to investors who lost savings in wealth‑management products.
Sources differ on the dollar equivalent of the 15.82 billion yuan fine: one report cites $2.3 billion, while another lists $2.35 billion, reflecting a modest conversion variance.