HONG KONG (Reuters). A Chinese court has frozen assets worth 640.4 Million Yuan ($101 Million) that belong to a subsidiary China Evergrande Group. According to a Shanghai Construction Group filed,

Shanghai Construction, owned by the state, sued Evergrande in Chengdu’s southwest city in December over unpaid construction fees. They cited Guangzhou Intermediate People’s Court’s ruling that assets should be frozen including bank deposits as well as real estate.

Shanghai Construction Group reported last week that Guangzhou’s local court has placed 361.5 millions yuan in the assets of an Evergrande unit from Jiangsu to stop owing payments.

Evergrande has been sued by many suppliers and contractors for not paying or failing to pay its dues. It is the largest property developer in the world with liabilities exceeding $300 billion.

An increasing number of decoration and construction companies is also writing off assets, or issuing profit alerts because Evergrande and other property development firms’ debts are affecting their suppliers.

All lawsuits filed against Evergrande have been handled centrally by Guangzhou Intermediate People’s Court, in order to better manage and oversee the restructuring of Evergrande’s debt by the authorities. This has happened since August.

Evergrande did not comment on the case against Shanghai Construction Group.

Hui Ka Yan, the company chairman, stated earlier in the month that the company aimed to completely restore Chinese construction work in February, as compared to 93.2% in the year ending. The firm also set a target of producing 600,000. apartments by 2022.

The firm must clear its debts by fully rebuilding construction and selling activities, and not through the sale of assets.

($1 = 6.3399 renminbi)