Evergrande’s Guangzhou Showdown: Who’s Carrying the Money?
On a chilly Wednesday in Guangzhou (Jan 4), a rough‑cut crowd of about 100 people gathered around China Evergrande’s offices and shouted the shouted refrain that’s turned into a sort of anthem: “Evergrande, give us our money!” The chant echoes last autumn’s protests when the company’s cash‑flow troubles first hit the headlines.
The New Payment Plan: Looks Good, But Is It Solid?
Evergrande announced on Friday that it was trimming its repayment promise for wealth‑management investors. Instead of rediscovering the exact amount, the firm will pay out 8,000 yuan (≈ S$1,702) a month for three consecutive months starting in January—regardless of when you actually invested.
Before this change, Evergrande told investors “you’ll get around 10 % when your product matures.” Of course, that was a vague statement with no ballpark figure.
Investor Angst: Will Their Cash Ever Come Back?
The new plan has investors gripping the edge of their seats. Du, a retired grandmother who poured 1 million yuan into Evergrande’s products, stood outside the office clutching her bag of receipts. “Honestly, I feel like the situation is hopeless,” she murmured. “But if we don’t stand up for our rights, the problem gets worse.”
She reminded everyone that the economy isn’t doing too hot right now, and people like her need that money for their kids and for supporting their parents.
Security Moves in: A Crowd Tightens Up
- By noon, about 60 protesters were boxed in by security guards.
- (Video clips on WeChat show a few people being detained at the scene.)
- In the afternoon, a rough group of 20 steadfast demonstrators was told to move to a nearby street, while security officials gathered details on at least three who tried to explain their ordeal to a Reuters reporter.
Evergrande: The Silent Partner
China Evergrande, once the hottest real‑estate developer, is now swimming in more than US$300 billion (≈ S$406 billion) of debt. The company has stayed tight-lipped over these protests and has not responded to inquiries about the investors’ concerns.
As the crowd chanted, the hopes and anxieties of ordinary people were laid bare in a city that’s still trying to find its footing after the past year’s financial storm.
High yields and Gucci bags
Evergrande’s Grand Offer: 12% Yields, Gucci Bags, and a Stark Reality
Evergrande’s new line of wealth‑management products has been the talk of the town—almost like a Sunday lottery but with a serious price tag. The company promised investors returns hovering around 12 %, tossed in goodies such as Dyson air purifiers and Gucci handbags, and even bragged about being backed by China’s biggest home‑builder. Sounds like a dream, right?
Who’s Getting the Hook?
- Employees and their families, all tangled up in the work‑life glue.
- Friends who just wanted a quick win.
- Owners of Evergrande properties, treating their mortgages like a side recipe.
In the last five years, run‑by‑run, the system raked in more than 100 billion yuan from over 80,000 people. That’s a fortune you’d think every detective blog would be making a feature on.
Let’s Talk the Reality—Sophie’s Voice
Meet Sophie (34, e‑commerce guru, totally anonymous—no risk of being called out by the authorities). She keeps saying, “We’re all in a marathon, but we’re not sure we’ll cross the finish line.” The younger crowd thinks they can pick up the slack later, but Sophie’s worried about the older folks who have essentially put their whole life savings into this gamble.
“We’re told not to stir up trouble, and those chat groups get shut down like a meme that’s no longer funny,” she confessed. Evergrande’s backers also say the police have repeatedly dragged them to the station—four times since they showed up at the company’s Shenzhen headquarters launching the protest. If you’d think you’re a hero at a rally, every shiver of your fingers now feels like a potential free‑time crash.
Is the Money Still Safe?
Where’s the money? We don’t know—just a murky horizon and a warning: “Keep it hush‑hush.” That’s what someone almost coherent of a very feasible investor’s life is telling us, and let’s hope….
Bottom Line—What’s the Takeaway?
Evergrande’s wealth‑management scheme was an exciting premise: lucrative returns, handcrafted luxury perks, and a “big‑player” guarantee. But the polite invites hide a storm: investors want more clarity, police want silence, and critics are yelling that if you’re going to invest, understanding risks is the only thing you’re allowed to negotiate. The short answer? The land is still unsettled.
