China business is not having a good year. The Wuhan Virus outbreak may have started in 2019, but it stayed into the (western) new year. Then at the end of June, there was a major gold bar fraud when a Wuhan (again) refiner/jeweler, Klingold, got caught with 83 tonnes of fake gold as assets on business loans of $4+ billions. Oops!
The second biggest auditing firm in China got suspended this year also, along with many of its clients stock market listings and bond sales.
Turns out that fraud was the norm for their certifications of financial soundness.
The fact that they are finally taking some action, and publicly acknowledging the issue, is unusual in China.
It may be getting too big to hide, or to sustain any more.
Likely the broad middle class will have to absorb a big hit to their net worth (Real estate and stock values, as well as the currency itself), when it settles out.