Xu Jiayin Sentenced to Life in Prison at First Trial; Evergrande Group Fined RMB 8.82 Billion
Nashnova编辑部
On August 20, 2026, a Shenzhen court sentenced Evergrande founder Xu Jiayin (许家印) to life in prison and fined Evergrande Group RMB 8.82 billion — marking the judicial endgame for China's largest-ever property collapse.
What was the sentence?
The court convicted Xu Jiayin on multiple charges and imposed life imprisonment, permanent deprivation of political rights, and confiscation of all personal assets.
This means → every asset under Xu's name will be seized by the state. A life sentence in China carries no realistic path to release.
Evergrande Group was fined RMB 8.82 billion; Evergrande Real Estate was fined RMB 7 billion — a combined penalty exceeding RMB 15.8 billion.
What exactly did Evergrande do?
The court found that between 2016 and 2021, Evergrande Group, Evergrande Real Estate, and Xu Jiayin inflated assets and concealed liabilities through sustained, large-scale financial fraud.
Specific charges: illegal public deposit-taking, fundraising fraud, fraudulent securities issuance, and failure to disclose material information.
In plain terms = Evergrande fabricated healthy-looking books, then used those fake accounts to raise money and issue bonds. The financial statements investors relied on bore little resemblance to reality.
Xu also bribed his way into control of financial institutions, illegally siphoned credit and insurance funds for group use, and embezzled company assets disguised as dividends.
What happened to the other 56 defendants?
The same day, Shenzhen Intermediate Court and Nanshan District Court sentenced 56 individuals — including Zhen Litao, Ke Peng, Xu Tenghe, Xu Zhijian, Du Liang, and Liang Dong.
Sentences ranged from eighteen years down to one year and ten months, with fines or asset confiscation. Illegal gains remain subject to recovery.
This reflects a judicial view that Evergrande's crimes were organized and systemic, not one man's doing — accountability runs from senior executives down through mid-level management.
Will investors get their money back?
The court stated explicitly: victim restitution takes priority over fines and asset confiscation.
In plain terms = the state collects its penalties only after defrauded investors and fundraising participants are compensated — legally, ordinary victims stand first in line.
The actual recovery rate, however, depends on how much is eventually seized — how many realizable assets Evergrande still holds, and how much can be clawed back, will determine what share victims ultimately recover.
Content is for reference only, not financial advice.