HK financial regulator investigates PwC for expressing unmodified audit opinion to China Evergrande
Published: Oct 25, 2021 11:58 AM
A view of PwC office in Beijing in January. Photo: VCG

A view of PwC office in Beijing in January. Photo: VCG

Hong Kong Special Administrative Region's Financial Reporting Council (FRC) confirmed on Monday that it had initiated investigations on China Evergrande Group and Pricewaterhouse Coopers (PwC), according to an announcement published on the official website of the council.

The announcement said FRC has initiated an enquiry of the financial statements of China Evergrande for both the year ended December 31, 2020 (2020 Annual Accounts) and the six months ended June 30, 2021 (2021 Interim Accounts), and an investigation of the audit carried out by PwC on the 2020 Annual Accounts (2020 Audit).

The announcement also said PwC "expressed an unmodified audit opinion in its auditor's report of China Evergrande's 2020 Annual Accounts but made no reference to going concern material uncertainties." 

PwC has more than 295,000 employees around the world and provides accounting service in 156 countries and regions, and it is one of the "Big Four" accounting firms. 

Global Times