Auditor missed Evergrande signals

When Evergrande’s auditor, PricewaterhouseCoopers in Hong Kong, signed off on the company’s 2020 financial statements, it didn’t include a so-called going concern warning. These red flags from an auditor show that it has doubts about the company’s ability to stay afloat for at least 12 months.

WSJ

China Evergrande Auditor Gave Clean Bill of Health Despite Debt

Last year the property developer offered deep discounts to keep sales growing and the Chinese government effectively said it had borrowed too much, yet its auditor gave it a clean bill of health.