Evergrande Auto owes 1.8 billion yuan, causing damage to Changsha Bank

Changsha Bank Co., Ltd. (Changsha Bank) recently issued an announcement disclosing a dispute over a guarantee contract in which Evergrande Automobile owed the bank 1.77 billion yuan (RMB, the same below). The arrears are close to the bank's profit for a quarter.

Evergrande Auto owes nearly 1.8 billion yuan, but Changsha Bank was cheated

This dispute has attracted attention from all walks of life. As a well-known automobile manufacturer, Evergrande Motors has defaulted on such a huge amount of money, making people worried about its financial situation. As the victim, Changsha Bank suffered heavy losses, which also reminded other financial institutions to strengthen risk management and control to avoid similar incidents from happening again.

Evergrande Auto owes Changsha Bank 1.77 billion yuan

According to the announcement, Evergrande Automobile's arrears with Changsha Bank were mainly due to disputes over the guarantee contract. The two parties had disagreements during the performance of the contract, resulting in the inability to pay the money on time. This also reflects that companies should be careful and careful before signing a contract to avoid subsequent disputes that may affect the company's reputation and financial status.

Changsha Bank suffered huge losses

The 1.77 billion yuan in arrears is almost equal to Changsha Bank's profit for a quarter, which is undoubtedly a heavy blow to the bank's financial status. Banks should strengthen risk assessments of borrowing companies to avoid similar situations and protect their own interests and assets.

All sectors of society call for strengthening risk management and control

This incident has also aroused vigilance from all walks of life, calling on financial institutions to strengthen risk management and control, increase the intensity of review of borrowing companies, avoid similar credit risk events, and maintain the stability and healthy development of the financial market.