Lens projected on intermediaries amid Evergrande debacle

PwC, one of the Big Four global accounting firms, is facing a crisis of confidence as it has already lost dozens of Chinese clients recently over its alleged role in auditing bankrupt real estate developer Evergrande Group.

The China Securities Regulatory Commission, which slapped a fine of 4.175 billion yuan ($575.7 million) on Evergrande Real Estate Group, the flagship subsidiary of Evergrande Group, for alleged financial fraud, has said that it will also hasten investigations into related intermediary agencies following the scandal.

PwC is facing a severe trust crisis and has lost over 30 Chinese clients due to the regulatory action on Evergrande, said Wang Peng, a researcher at the Beijing Academy of Social Sciences.