Evergrande plans to sue financial institutes

On Monday indebted real estate developer China Evergrande took a stand against further restrictions on its credit lines and other precautionary measures by several banks. The company now plans to sue Guangfa Bank for freezing company accounts worth €20 million. The bank was responding to clear signals of payment difficulties at Evergrande. China’s largest real estate developer is currently considered to be over-indebted (as China.Table reported). The company’s stock price dropped 16 percent on Monday. The company apparently exceeded the government’s debt limit for property developers. fin