China arrests executive at Evergrande’s electric vehicle unit
A senior executive in the electric vehicle division of Evergrande, the world’s most indebted property developer, has been detained on “suspicion of illegal crimes”, the Chinese company announced.
The arrest of Liu Yongzhuo, executive director of China Evergrande New Energy Vehicle Group, is the latest in a string of events that have raised doubts about the parent company’s long-term viability.
The announcement sent Hong Kong-listed shares in the electric vehicle manufacturer tumbling by as much as 23 per cent before a recovery meant they ended the day down by 6 per cent at 39 cents. Less than two years ago they peaked above HK$60.
The property developer, once one of China’s largest, has been embroiled in a debt crisis after it struggled to sell
