(Daily Veracity) Similar to Japan’s devastating 80% market crash in the 1990s, China’s economy is about to experience the biggest crash in history that will take decades to recover from.
(Mike Adams) Evergrande, China’s Ponzi property developer, is now officially in default as Fitch has confirmed the indebted company has missed interest payments on bonds, with over $300 billion in bonds outstanding. Property developer Kaisa is also named in the default decision, and there are nearly a dozen other Chinese property developers that are widely believed to be on the path to default.
Dr. Marco Metzler: Evergrande Missed Second Past Due Interest Payment In A Week-Is Bankrupt-Could Drag Down Real Estate Sector/HSBC & World Financial System
This past Tuesday I reported that Dr. Marco Metzler, former Fitch analyst and now of DMSA (Deutche Mrkt Screening Agentur GmbH) has announced that the past due interest payment on China Evergrande Group’s offshore international bonds that all of the western media reported as supposedly paid by Evergrande could not be confirmed. Today, he is stating that a second interest payment ($47.5 Million) allegedly made by Evergrande according to the western media last night has not been paid, once again contradicting mainstream media reports.
Hui Ka Yan, founder of China Evergrande Group, had once amassed a fortune of $42.5 billion, placing him at the top of the wealth rankings for all of Asia. But 73% of that immense fortune has now evaporated, and the tycoon will almost certainly lose even more as anxious creditors, suppliers and homebuyers besiege Evergrande’s offices.
But that’s not nearly enough for Beijing.
We explore our Chinese apartments, and how the downfall of Evergrande was written on the wall of every tofu building in China. This is only the beginning.
“He can’t leave the office. There are more than 300 of us (investors) stopping him…”
“It’s fair to say that the Evergrande situation and its repercussions on the broader property market will have a far greater direct impact on Chinese growth than any of the other regulatory crackdowns.”
Yesterday, when covering the non-stop drama surrounding China’s most insolvent property developer, Evergrande, we said that it would be remarkably ironic if Evergrande were to announce a default – which everyone knows is coming – today, on the 13th anniversary of Lehman’s bankruptcy filing on Sept 15, 2008.
In two separate protests, mobs of China Evergrande Group customers and employees demonstrated this week as the world’s largest real estate developer faces soaring probabilities of default.