BEIJING (Reuters) – Several local governments in China have set up special custodian accounts for property projects of its most indebted developer, Evergrande, to protect funds earmarked for housing projects from being diverted, media outlet Caixin said.

Evergrande, which has $305 billion in debt, missed the payment deadline for a dollar bond. Global investors are now wondering if large losses will be incurred after the grace period expires.

According to Chinese outlets, at least eight provinces have special accounts set up by Evergrande in the late summer, according to an insider close enough the manager.

This includes Anhui and Guizhou as well Henan and Jiangsu.

Caixin explained that custodians are intended to guarantee homebuyers’ payment go towards Evergrande housing projects and not to other creditors.

In some southern cities, such as Zhuhai and Shenzhen, the offices of the housing regulator, the Ministry of Housing and Urban‑Rural Development, were also involved in overseeing and reviewing fund use by Evergrande’s projects, it said.

Evergrande, the housing ministry and others did not immediately reply to our requests for comment.

The cash-strapped, cash-exempt developer that epitomizes the “borrow-to-build” business model has been unable to repay some suppliers or investors in recent months and has halted construction work on many Chinese projects.

Caixin stated that Evergrande had also given a deadline of Sept. 24, for the regional offices to submit reports on funding issues facing unfinished projects. However, it wasn’t immediately clear whether this was met.

According to a semiannual report by Evergrande, 1,236 projects were still up for purchase at June’s end. It also included the ones that are currently in construction.

The Wall Street Journal reported last week that Chinese authorities asked local governments for help in preparing Evergrande’s collapse. They urged them to stop unrest and minimize ripple effects on other economies.