Chinese Financial Giant Zhongzhi Warns of Severe Insolvency with $58B in Debt
• Zhongzhi Enterprise Group, one of China's largest shadow banks, warns it is "severely insolvent" with over $58B in debt and only $29B in assets • The company says liquidity has dried up, asset recovery is expected to be low, and previous "self-rescue" efforts failed • Zhongzhi is the latest financial giant facing troubles amid China's housing crisis and economic slowdown • The company hired KPMG to audit its balance sheet for a potential debt restructuring • China is rolling out measures to stabilize the property sector, but policies so far have failed to reverse the slump