If you remember the Olympics in China, you might remember the opening and closing ceremonies at the Evergrande Stadium. At the time of the Olympics, Evergrande was the biggest property developer in China and its founder at the time the founder was one of the richest people in the world. Times have changed.

In an article by Clare Jim of Reuters, the founder of China Evergrande Group, the world’s most indebted property developer, pleaded guilty to 8 charges, including misuse of funds, fundraising fraud and illegally taking public deposits.

The indictment of the billionaire founder of the once China’s number one property developer would mark an end to his rags to riches story. Evergrande has defaulted on most of its $300 billionaire in liabilities.

The liquidators of Evergrande declined to comment on the case. Evergrande’s Hong Kong court-mandated liquidation has moved at a glacier pace over the past 2 years, according to liquidators, with $255 million of assets sold as of August compared to creditors’ claim of $45 billion.

Evergrande specialized in building low-cost homes, aggressively running on debt and ensuring having ventures which are passions of Chinese President Xi Jinping. In building homes, Evergrande and others helped make the property and the rise of prices a significant part of the economy, as China went through an infrastructure building boom. The fall of house prices led the company threatened the social stability of the country as many ordinary investors saw their holdings wiped out. The mortgages were greater than value of the home or they were underwater. It was easier to walk away.

Linking to dividend paying stocks, when Evergrande was in its headway and growing it was the darling of the press, but it was built on debt and rising prices. Once the music stopped or the waves receded, only debt was left. It is a story about too much debt, which is why for your investments you are concerned what their debt levels are?

There are more questions than answers, till the next time – to raising questions.