World
China hands PwC a 6-month ban and fine over audit of the collapsed developer Evergrande
HONG KONG (AP) — Chinese authorities have banned the accounting firm PwC for six months and fined it over 400 million yuan ($56.4 million) over its involvement in the audit of collapsed property developer Evergrande.
The punishment is the heaviest yet for international accounting firms operating in China. PwC will be banned from signing off on any financial results in the country for six months. Already, it has been losing clients.
China’s Ministry of Finance said in a statement Friday that it was imposing 116 million yuan ($16.35 million) in fines and confiscation of illegal gains on PwC Zhong Tian, also known as PwC China, as well as a six-month business suspension, revocation of PwC’s Guangzhou branch and an administrative warning.
A separate regulator, the China Securities Regulatory Commission, also imposed fines and confiscations totaling 325 million yuan ($45.8 million) on PwC for allegedly failing to perform due diligence in the audit of Evergrande.
China’s finance ministry said PwC issued “false audit reports” of Evergrande and that the audit procedures had “serious defects” in design and implementation, leading to many false conclusions. It also accused PwC of not maintaining “professional skepticism” and failing to point out errors and a lack of information disclosure by Evergrande during the audits.
The securities regulator said 88% of the records kept by PwC regarding the real estate projects were inconsistent with the actual implementation and were “seriously unreliable.” When on-site investigations were carried out, some projects were still “a piece of vacant land” despite being considered to have met the delivery conditions, the regulator said.
“The work performed by PwC Zhong Tian’s Hengda audit team fell well below our high expectations and was completely unacceptable,” Mohamed Kande, global chair of PwC, said in a statement on its website. Hengda is the principal subsidiary of China Evergrande Group.
“It is not representative of what we stand for as a network and there is no room for this at PwC,” he said.
The statement said PwC Zhong Tian has cooperated fully with regulators, respects their decisions and will fully comply with the administrative penalties.
PwC China has fired six partners and five staff directly involved in the Hengda audit, it said. The firm is also in the process of issuing financial penalties for current and former firm leaders who were responsible for the business, the statement said.
PwC came under Beijing’s scrutiny after the January collapse of Evergrande, the world’s most indebted developer and a symbol of China’s ongoing property crisis.
China’s securities regulator said in March that Evergrande had inflated its mainland China revenues by almost $80 billion in 2019 and 2020. In May, authorities fined the company $577 million.
PwC had audited Evergrande’s accounts for 14 years until 2023 and gave it a clean bill of health.
PwC has been the largest of the “big four” accounting firms operating in China, taking in nearly 8 billion yuan ($1.1 billion) in revenues in 2022, above competitors Deloitte, KPMG and EY, according to the Chinese Institute of Certified Public Accountants.
China has been cracking down on excessive borrowing by developers during a prolonged property market slump that has hit many other parts of the economy, including construction, building materials and home appliances.
___
Mistreanu reported from Taipei, Taiwan.
World
Anurag Kashyap, Vikramaditya Motwane Present Ravi Muppa’s ‘Incognito’ as New YouTube Shorts Channel Launches (EXCLUSIVE)
Indian auteurs Anurag Kashyap and Vikramaditya Motwane have joined forces again to spotlight writer-director Ravi Muppa’s short film “Incognito,” the debut release on shorts-only YouTube channel titled Oh Flip Shorts that is launching July 15.
The channel arrives courtesy of producer Ranjan Singh, with Kashyap serving as curator. The plan calls for a fresh short to premiere on the platform each month, with the goal of building an audience and community around independent short-form work.
“Incognito” stars Vikram Singh, Ayushi Nema and Dev Chauhan. The story follows a motel receptionist short on money who makes extra income selling hidden-camera footage of guests, then finds himself torn between self-preservation and intervening after filming a woman who appears to be a trafficking victim.
The short has already made the festival rounds, screening at more than 20 international events, among them the Oscar-qualifying Palm Springs International ShortFest.
“I’ve always loved short films as they are the first stepping stone for a director to test their storytelling style and give an actual practice to them of shooting a story,” Kashyap said. “Continuing the same, this is our effort to showcase some excellent short films, curated by me and presented by filmmakers whose work I look up to. We’re glad to begin with ‘Incognito’ by Ravi Muppa, and very hopefully that it’ll be liked by the audience.”
“‘Incognito’ is gripping and beautifully atmospheric, a true blue genre short with an out of the box ending. Congratulations to Ravi and his team and I’m so happy that we can present this to the audience,” Motwane added.
As revealed by Variety, plans for a feature-length version of “Incognito” are already underway, with Invention Studios joining Flip Films and Campfire Studios as co-producers. Kashyap, Nicholas Weinstock, Divya Souza and Singh are attached to produce.
Muppa, whose earlier development credits include “Stree” (2018), “Bala” (2019) and “The Family Man” (2019), said: “The film has been an incredibly special journey, and I’m deeply grateful to the producers, collaborators, and champions who believed in it and helped carry it forward. I’m especially excited that this is just the beginning, as we now look ahead to expanding ‘Incognito’ into a feature,” Muppa said.
Singh, who produced the short through his Flip Films banner, added: “We are thankful to Anurag for the curation, and Vikram and other directors to lend their support to the same. Every month we’ll be premiering one new short on the channel and hope that we’ll be able to make a community very soon.”
World
Four Americans caught in horrific Mexico highway pileup that killed at least 10
NEWYou can now listen to Fox News articles!
Four Americans were reportedly caught in a fiery multi-vehicle crash in Mexico that left at least 10 people dead and about 10 others injured.
The massive pileup happened Sunday after a tractor-trailer crashed into multiple vehicles on a highway in the western state of Jalisco, according to the Secretariat of Security and Citizen Protection of Nayarit.
While the agency reported 10 deaths, Mexico’s Army, Air Force and National Guard said nine people were killed.
Jalisco Civil Protection told Reuters that four Americans suffered minor injuries and were transported to a local hospital.
EIGHT BELIEVED DEAD AFTER B-52 CRASHES SHORTLY AFTER TAKEOFF FROM EDWARDS AIR FORCE BASE
A vehicle was left charred and mangled following a massive multi-vehicle pileup in Jalisco, Mexico, on Sunday. (Secretariat of Security and Citizen Protection of Nayarit)
“Four patients in minor condition, all U.S. citizens, were transferred to the Arboledas Hospital in Guadalajara by a private ambulance from the highway,” Jalisco Civil Protection said.
Reuters reported that two of those killed were minors.
Another two of the injured were identified as National Guard members who suffered serious injuries and were taken to a hospital in Guadalajara, according to Reuters.
Videos circulating on social media appeared to show several vehicles engulfed in flames along the highway connecting Guadalajara and Tepic, sending multiple plumes of black smoke into the air.
MISSOURI SKYDIVING PLANE CRASH THAT KILLED ALL 12 ABOARD IS A ‘DEVASTATING LOSS,’ COMPANY SAYS
A firefighter works to douse the smoking engine of a destroyed vehicle after a devastating highway collision in Jalisco, Mexico, on Sunday. (Secretariat of Security and Citizen Protection of Nayarit)
According to Mexican officials, the crash happened when a tractor-trailer apparently suffered a brake failure and slammed into a line of vehicles that had stopped because of an earlier accident.
“According to initial reports, a trailer reportedly suffered a failure in its braking system and ended up crashing into several vehicles that were stopped due to a prior incident,” Mexico’s Army, Air Force and National Guard said in a post on X.
POPULAR FLORIDA SOCIAL MEDIA INFLUENCER KILLED IN DRIVE-BY SHOOTING WHILE INSIDE LUXURY SUV
The initial accident reportedly involved a rear-end collision between two tractor-trailers. As emergency crews responded, a third tractor-trailer crashed into the scene, according to the Secretariat of Security and Citizen Protection of Nayarit.
“As a result of this second impact, three private vehicles and two tractor-trailer trucks were completely destroyed by the fire,” the authorities said. “Additionally, two other private vehicles and an official Dodge Charger unit belonging to the National Guard sustained material damage. “
Mexican authorities inspect the incinerated frame of a tractor-trailer on a highway connecting Guadalajara and Tepic in Jalisco, Mexico, on Sunday. (Secretariat of Security and Citizen Protection of Nayarit)
CLICK HERE TO DOWNLOAD THE FOX NEWS APP
Firefighters later extinguished the blaze, officials said.
Local outlet El Financiero reported that the driver of the tractor-trailer was detained by the National Guard.
Reuters contributed to this report.
World
At least 27 dead as fire engulfs popular Bangkok pub near Chatuchak market
At least 27 people were killed and 63 injured, many critically, after a fire ripped through a popular pub in Bangkok. Authorities are investigating whether the pub, located near the iconic Chatuchak Weekend Market, had adequate escape routes.
Published On 13 Jul 2026
-
New York1 hour agoHow a Family of 5 Lives on $46,000 a Year in Wakefield
-
Los Angeles, Ca1 hour agoSouthern California braces for 110-degree heat, thunderstorms this week
-
Detroit, MI2 hours agoDetroit Sandwich Party returns to Eastern Market on Sept. 6
-
San Francisco, CA2 hours agoA Leak of San Francisco Police Drone Footage Exposes the New Reality of Urban Surveillance
-
Dallas, TX2 hours agoViral East Dallas coffee shop fears major sales drop amid six-week road closure
-
Miami, FL2 hours ago3 hurt in fire on Lincoln Road that started underground
-
Boston, MA2 hours agoRideshare driver charged in Logan airport passenger assault to appear in court
-
Denver, CO2 hours agoDenver area events for July 13