China to intervene and save D'Long

China's central bank is preparing to intervene to prevent the failure of troubled private conglomorate D'Long Group, according to state media.

D'Long is the biggest of several Chinese firms which have accumulated massive debts under easy credit conditions. The New York Times reports that the company has taken on debts of more than $3 billion, much of it highly leveraged with stock-market investments. As the People's Bank of China has attempted to control inflation and withdraw liquidity from