撰写On September 18, China Evergrande Group issued a clarification announcement on the Hong Kong Stock Exchange:
China Evergrande has taken note of media reports that the management of Evergrande Financial Wealth Management Shenzhen Co., Ltd. ("Evergrande Wealth") has been subject to criminal coercive measures. China Evergrande clarified that Evergrande Wealth is an indirect wholly-owned subsidiary of the company, and the relevant personnel of Evergrande Wealth have been subject to criminal coercive measures according to law, which will not affect the operation of the company.
China Evergrande has also taken note of media reports on the transfer of the insurance business and the corresponding assets and liabilities of Evergrande Life Insurance Co., Ltd. ("Evergrande Life"). Evergrande Life Insurance is a 50% shareholder of the company. Evergrande Life Insurance business and the corresponding assets and liabilities transfer have no material impact on the company’s current business operations.
Previously reported
Recently, the "Shenzhen Nanshan Public Security" reported that many people in Hengda Wealth have been taken criminal compulsory measures. In addition, the official website of the State Financial Supervision Administration said that Hengda Life was taken over as a whole.
On September 16, the WeChat official account "Shenzhen Nanshan Public Security" issued a case report.
Recently, the public security organs have lawfully punished Hengda Financial Wealth Management (Shenzhen) Co., Ltd. (hereinafter referred to as Hengda Wealth) Du and othersSuspected criminals take criminal coercive measuresIf investors need to report a case, they can register the case in the following ways: Method 1, report the case online. Follow the "Shenzhen Economic Investigation" WeChat official account, click the "Police and Community Interaction" menu bar, and select "Investor Information Registration" to register and report the case online.
Method 2: Report the case by phone. Dial the special line 0755-33326110.
Method 3: Report the case by text message. Edit "name + valid ID number + contact number + investment platform + investment amount + pending payment amount" and send it to the SMS platform with the number 1069055920200110.
Method 4: Mail the report. Investors can mail the report materials to the Economic Crime Investigation Brigade of Nanshan Branch of Shenzhen Public Security Bureau and indicate "Evergrande Wealth Report Materials" (delivery address: Economic Investigation Brigade, Investigation Building, Nanshan Public Security Bureau, No. 28 Quanyuan Road, Nanshan District, Shenzhen, zip code: 518000).
The above four reporting methods are equivalent to reporting the case in person to the public security organ. If necessary, you can go to the nearest public security organ to report the case, and the public security organ of the place of residence will transfer the reporting materials to our bureau.
At present, the case is under further investigation.
Nanshan Branch of Shenzhen Public Security Bureau
September 16, 2023
Previously, on September 18, 2021, Evergrande Wealth announced that according to the "Evergrande Wealth Investment Product Redemption Plan" formulated by Evergrande Group on September 13, the payment of physical assets has been initiated.
On May 31, 2023, Evergrande Wealth announced that since September 2021, the company has made every effort to promote asset disposal and raise funds for redemption, completing a total of 20 redemption periods, and making this month’s redemption today. Due to the unsatisfactory situation of the company’s capital withdrawal, the funds available for redemption this month are insufficient and cannot be redeemed according to the original standard. The company will continue to promote asset disposal and strive to raise funds for redemption.
On August 31, 2023, Hengda Wealth announced that because the company’s asset disposal progress was not as expected and no asset disposal funds were obtained, the company could not carry out this month’s redemption. Subsequent redemption arrangements will be announced separately.
On the 15th, according to the official website of the State Financial Supervision Administration,A few days ago, the State Financial Supervisory Administration of Shenzhen Supervision Bureau approved the approval of the Seaport Life Insurance joint stock company as a whole to transfer Hengda Life Insurance Co., Ltd. insurance business and corresponding assets and liabilities.
What happened to Evergrande Life Insurance?
Hengda Life’s official website shows that the company was established on May 11, 2006, and is mainly engaged in life insurance business such as life insurance, annuity, health and accidental injury. It has opened 88 branches across the country, and has provided more than 7.48 million customers with an insured amount of over 6.50 trillion yuan.
Recently, the head of the Shenzhen Supervision Bureau of the State Financial Supervisory Administration told the China Banking and Insurance News that Hengda Life is seriously insolvent. According to the Insurance Law of the People’s Republic of China and relevant regulatory systems, the regulatory authorities have implemented close supervision and carried out risk disposal. The company is currently operating stably.
China Insurance Protection Fund Co., Ltd., Guangdong Province, Shenzhen and Chongqing local state-owned enterprises and Taiping Life Insurance Co., Ltd. jointly established the Seaport Life Insurance joint stock company has opened, and in accordance with the law, Hengda Life Assets and liabilities, undertake institutional outlets and personnel, fully perform insurance contract obligations, and effectively protect the legitimate rights and interests of insurance consumers and all relevant parties.
What is the origin of Harbor Life, which took over Hengda Life Insurance?
According to the official website of the State Financial Supervision and Administration, on April 24, 2023, the former China Banking and Insurance Regulatory Commission approved the establishment of a joint stock company for Seaport Life Insurance. On June 1, 2023, the State Financial Supervision and Administration approved the opening of a joint stock company for Seaport Life Insurance.
According to the Securities Times,From the perspective of shareholder composition, capital contribution and shareholding ratio, the investors of Harbour Life have a state-owned background:
(1) Shenzhen Penglian Investment Co., Ltd., with a capital contribution of 7.65 billion yuan and a shareholding ratio of 51%;
(2) China Insurance Protection Fund Co., Ltd., with a capital contribution of 3.75 billion yuan and a shareholding ratio of 25%;
(3) Guangdong Yuecai Investment Holdings Co., Ltd., with an investment of 1.20 billion yuan and a shareholding ratio of 8%;
(4) Chongqing Yuxin Investment Co., Ltd., with a capital contribution of 1.20 billion yuan and a shareholding ratio of 8%;
(5) Taiping Life Insurance Co., Ltd., with a capital contribution of 1.20 billion yuan and a shareholding ratio of 8%.
According to a report by Sino-Singapore Jingwei, public information shows that:
Shenzhen Penglian is a wholly state-owned enterprise, the major shareholder is Shenzhen Investment and Control Co., Ltd., and the business projects are mainly engaged in investment activities with equity funds;
The insurance protection fund is a wholly state-owned company and is responsible for the collection, management and use of the insurance protection fund according to law.
Guangdong Yuecai is a large financial holding enterprise directly under the Guangdong Provincial Government.
Chongqing Yuxin is a wholly state-owned enterprise and its major shareholder is Chongqing Real Estate Group.
Taiping Life is a subsidiary of China Taiping Group. China Taiping is the only China-managed financial enterprise with management headquarters overseas.
Among them, the insurance protection fund is known as the "last line of defense" of the insurance industry. The insurance protection fund has participated in the risk disposal of Anbang Insurance, Tianan Life Insurance and Huaxia Life Insurance. The insurance protection fund disclosed in March this year that as of the end of February 2023, the balance of the insurance protection fund was 2038.33 billion yuan.
In response to this public transfer, Hengda Life responded that Haigang Life will transfer Hengda Life’s insurance business and corresponding assets and liabilities as a whole. Haigang Life will fulfill the insurance contract obligations signed in the name of Hengda Life and effectively protect the legitimate rights and interests of insurance consumers.