Chinese police detain some Evergrande wealth management unit staffers

Police in southern China have detained some staff at China Evergrande Group’s wealth management unit, suggesting a new investigation that could add to the property giant’s woes.

“Recently, public security organs took criminal compulsory measures against Du and other suspected criminals at Evergrande Financial Wealth Management Co,” Shenzhen city police said in a social media statement on Saturday night. 

During protests by disgruntled investors at Evergrande’s Shenzhen headquarters in 2021, Du Liang was identified by staff as general manager and legal representative of Evergrande’s wealth management division.

Reuters could not confirm that Du was among those detained, and the police statement did not specify the number of people detained, the charges or the date they were taken into custody. 

China Evergrande did not immediately respond to a request for comment on Sunday outside of normal business hours. The police said the investigation into the financial management unit was ongoing and urged investors to report any further financial crimes.     

Trade in Evergrande’s stock was suspended for 17 months until August 28.