China’s property crisis deepens with developer Country Garden at risk of default

Evergrande has filed for bankruptcy protection and firms covering 40% of Chinese home sales have defaulted

China's property crisis has deepened with two major developers facing severe financial difficulties that threaten to send shock waves through the country's economy and beyond.

Evergrande, the poster child for the woes of China's property sector, filed for chapter 15 bankruptcy protection in New York on Thursday. The provision permits the company to protect its US assets and will allow cross-border bankruptcy proceedings as it undergoes a restructuring.