China's insolvent property giant Evergrande: Founder sentenced to life imprisonment

Xu Jiayin, the founder of China's once-largest real estate developer Evergrande, has been sentenced to life in prison. A court in Shenzhen announced the verdict on Thursday, also ordering the confiscation of all of Xu's personal assets and stripping him of political rights for life.

The sentence comes after Xu faced multiple accusations, including corruption, financial fraud, breach of trust, and embezzlement. Court documents indicated that Xu had pleaded guilty and expressed remorse during the proceedings.

Evergrande's collapse is seen as emblematic of China's broader real estate crisis. The company experienced massive growth fueled by decades of rapid urbanization and rising living standards. However, it ultimately collapsed under the weight of excessive debt, leading to its insolvency filing in 2021.

In addition to Xu's sentence, Evergrande itself has been ordered to pay a penalty amounting to billions of yuan, underscoring the significant financial repercussions of the company's downfall.