Dec 09, 2010 06:22 PM

Regulator Warns of Risk Linked to Real Estate Trusts

By staff reporter Feng Zhe

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(Beijing) – The China Banking Regulatory Commission, the banking regulator, recently issued a circular to trust companies warning of risks related to property development projects.

Trust companies will now be required to review projects for legal compliance and investment risk. The regulator said that regulatory requirements for capital ratios and borrower qualifications must be scrutinized.

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