China’s Country Garden withdraws PwC as auditor By Reuters

(Reuters) – Country Garden Holdings said on Thursday that PricewaterhouseCoopers (PwC) had resigned as auditor following the property developer’s recommendation, becoming the latest Chinese company to cut ties with the troubled audit firm.

PwC has had problems with its role in auditing China Evergrande (HK:) Group, as the developer was accused in March of a $78 billion fraud that led to a customer exodus, cost cuts and layoffs.

Country Garden has appointed Hong Kong-based Zhonghui Anda CPA as its new auditor at least until the conclusion of its next annual general meeting, it said.

“PwC is unable to meet the company’s timing requirements for the publication of audited consolidated financial statements for the year ended 31 December 2023, given recent relevant matters,” Country Garden said in an exchange filing.

More than 50 Chinese firms, including PwC’s biggest client Bank of China, and many others that are state-owned enterprises or financial institutions, have either dropped PwC as auditors or canceled plans to hire the firm in recent years. Monday.

“The board is of the view that it is in the best interests of the company and its shareholders, creditors … and other interested parties to proceed with the appointment of another auditor and to complete the audit work as soon as possible,” Country Garden said.