Evergrande Liquidators Sue Two Former Associates of Founder Hui Ka Yan for $2.4 Billion

HONG KONG – Liquidators of China Evergrande Group have filed lawsuits in Hong Kong seeking a combined HK$19.15 billion (about $2.44 billion) from two former business associates of the group's founder, Hui Ka Yan, Caixin Global reported on Tuesday.

The larger claim targets Cheung Chung Kiu, chairman of Hong Kong-listed C C Land Holdings Ltd., for at least HK$18.65 billion. The liquidators allege that Hui and his offshore vehicle, Xin Xin (BVI) Ltd., transferred the money to Cheung between 2014 and 2020 as loans, expecting repayment or other benefits. Cheung, known as Zhang Songqiao in Mandarin, allegedly neither repaid the funds nor provided corresponding value.

The second suit seeks HK$500 million (about $64 million) from Kai Johan Jiang, founder of Swedish electric-vehicle maker National Electric Vehicle Sweden AB (NEVS). The liquidators allege Jiang was paid the sum in June 2020 under an agreement to provide business advice or services, but did not deliver. Evergrande bought a 51% stake in NEVS in 2019 for about $930 million, according to Caixin.

The plaintiffs are also the court-appointed receivers of Hui's assets. A Hong Kong court appointed them to identify and preserve his holdings after he failed to comply with an order to disclose assets in Hong Kong and overseas.

The suits are the latest in a wider effort to claw back money for creditors. Evergrande was ordered into liquidation in Hong Kong in January 2024 after defaulting on its debts, and collapsed with more than $300 billion in liabilities. The liquidators are also pursuing about $6 billion in dividends and pay from Hui and other former executives, and are seeking roughly 57 billion yuan ($8.5 billion) from PwC entities over their audits of the developer. A Hong Kong judge has ruled that PwC International must face that case. PwC International has said it is confident the claims have no merit.

On August 20, a Chinese court sentenced Hui to life in prison after he pleaded guilty to eight charges including fundraising fraud and bribery. The Shenzhen court also fined Evergrande entities more than $2 billion in total.

Recoveries have been slim so far. A 2025 report said liquidators had gathered only about $255 million against roughly $45 billion in creditor claims in Hong Kong, and lawyers expect the process to run for years.