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this post was submitted on 20 Mar 2024
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I can imagine that if suïcides are directly linked it is possible. I'm just more impressed that the government is actually going to hold a billionaire accountable. This was a massive ponzi scheme that the whole world already saw a decade ago.. but it was so nice for the economic growth numbers.
Evergrande was a legit company that built things but used those buildings to raise loans AND presell, so they were double dipping and still behind on builds. Because of the way Chinese real estate is pre-sold before the build, it's very hard to know who is a legit real estate developer and who is running a ponzi scheme.
I don't think that's super unusual, at least not here in the states. My parents bought their house before it was built, for example.