Evergrande got a free pass of sorts from Chinese authorities
It was coddled for long beyond the limits of regulatory prudence
Many comparisons have been made lately between the collapse of Lehman Brothers and the apocalypse at China Evergrande Group, the world’s most indebted real estate developer. But they are nowhere close. Lehman was a top-tier investment bank that went from good to bad during the 2007 subprime mortgage crisis. On the other hand, Evergrande, a well-known presence in Hong Kong’s capital markets for years, has always been bad.