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Enoch Yiu

The liquidators of collapsed developer China Evergrande Group have won a legal victory against PricewaterhouseCoopers (PwC) International, indicating that the firm and two other units of the accounting giant would need to jointly face the largest corporate lawsuit claims in Hong Kong, according to a court judgment on Wednesday.
Deputy High Court Judge Patrick Fung Pak-tung rejected the application by PwC International to be dismissed from the lawsuits involving claims by the liquidators of China Evergrande Group.
In his ruling, the judge said PwC International “did owe a duty of care” to China Evergrande Group, as the liquidators’ lawyers had pointed out that PwC International had the power to control and govern its member firms. As such, it should not strike out the international firms from the lawsuit without a trial, the judge said.
“There are factual matters in dispute which should be explored by cross-examination at trial,” he said.
The ruling means that PwC International, alongside PwC Hong Kong and PwC China, would need to jointly face the lawsuits filed by the liquidators of China Evergrande Group.
The liquidators are seeking approximately 57.9 billion yuan (US$8.6 billion) in total from PwC Hong Kong and PwC Zhong Tian, of which approximately 38.1 billion yuan is also claimed against PwC International, the judgment paper said.
Evergrande’s liquidators, Tiffany Wong and Eddie Middleton of Alvarez & Marsal, filed the lawsuits against the trio in early 2025, but PwC International later tried to strike itself out of the claim.




In a hearing in May in the High Court, the liquidators’ lawyers said PwC International failed to check on the work of its members in Hong Kong and China over Evergrande’s audit, but PwC International’s lawyers argued that it only coordinated the accounting firm’s global network from London and did not itself provide audit or advisory services.
The liquidators on Wednesday welcomed the court decision.
“The decision does not determine the ultimate merits of the claims, which will be decided by the court in due course,” the statement said. “The liquidators will continue their duties to investigate the affairs of China Evergrande Group and pursue recoveries for the benefit of creditors.”
Hong Kong’s High Court ordered Evergrande to be wound up in January 2024, appointing Wong and Middleton as joint liquidators after the company failed to present a viable restructuring plan for its more than US$300 billion in debt.
Last week, the Shenzhen Intermediate People’s Court handed down a life sentence to Evergrande’s founder, Hui Ka-yan, the billionaire founder also known as Xu Jiayin, following a high-profile trial for financial fraud and mismanagement.
On Friday, a court in southern China’s Guangdong province formally accepted a bankruptcy-liquidation petition against China Evergrande Group’s main onshore unit.
Hong Kong regulators have already taken enforcement action against PwC over its audits of Evergrande, but multiple lawsuits remain active. Besides the claims against the PwC units, the liquidators are also seeking a judicial review against the Securities and Futures Commission’s settlement with PwC Hong Kong to pay HK$1 billion (US$128 million) in compensation to minority shareholders of Evergrande, out of concerns that it could affect the creditors’ chance to get compensation.


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Liquidators seek claims of about 38 billion yuan from PwC International for Evergrande audit failures


Liquidators seek claims of about 38 billion yuan from PwC International for Evergrande audit failures.


PwC International must face trial of Evergrande scandals claims: Hong Kong High Court

.css-1c6uqr6{color:inherit;font-weight:inherit;font-size:inherit;font-family:inherit;line-height:inherit;overflow-wrap:break-word;}Liquidators seek claims of about 38 billion yuan from PwC International for Evergrande audit failures

Liquidators seek claims of about 38 billion yuan from PwC International for Evergrande audit failures