한어Русский языкEnglishFrançaisIndonesianSanskrit日本語DeutschPortuguêsΕλληνικάespañolItalianoSuomalainenLatina

during pwc's audit work in 2019 and 2020, a series of problems appeared in evergrande real estate's financial statements. during the audit process, the content of the working papers was seriously distorted, the on-site visit procedures were invalid, the sample selection range was out of control, and the document inspection procedures failed. these problems eventually led to the regulatory authorities imposing severe penalties on pwc.

"multiple crimes" is a heavy accusation against pwc. they not only exaggerated sales revenue, inflated operating costs, inflated corporate profits, concealed the true situation of cash flow, but also violated professional ethics. these problems directly led to major errors in evergrande real estate's financial statements, and ultimately triggered this financial storm.

the ministry of finance has revoked the certificates of four certified public accountants and imposed administrative penalties on seven certified public accountants involved in the preparation of financial statements, blaming pricewaterhousecoopers as the culprit for irregularities in the audit process. at the same time, hong kong's pricewaterhousecoopers also faces investigations and penalties. they once provided audit services to evergrande real estate and are now being blamed.

pwc responded that it had taken corrective measures and punished relevant team members, but its reputation suffered a huge blow. the liquidation of evergrande real estate has also become the focus of this storm, and xu jiayin, xia haijun and other management members are facing legal challenges.

behind this, it reflects the difficulties faced by china's real estate industry. from the sinking of evergrande to the severe punishment of regulatory authorities, it shows the necessity of market supervision and the society's pursuit of financial security and fairness and justice.