Hong Kong regulator to probe PwC over China Evergrande audits

HONG KONG -- The financial watchdog in Hong Kong has decided to launch an investigation into PricewaterhouseCoopers' role in auditing the books of distressed property giant China Evergrande Group following a whistleblower report.

The move by the Accounting and Financial Reporting Council (AFRC) comes in response to an open letter by unidentified purported PwC partners that circulated on social media earlier this month. The letter claimed that PwC "turned a blind eye" to Evergrande's misconduct for more than a decade.