ML-Implode News - China's "Ghost Collateral" Arrives In Canada, "Heralding A Crisis"

... the stunner: "Postmedia confirmed that Canadian banks are allowed by the federal regulator, the Office of the Superintendent of Financial Institutions, to accept collateral from China to secure real estate mortgages in B.C."
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The Vancouver Sun adds that as a result of tighter federal lending rules, borrowers trying to buy million-dollar-plus properties in Vancouver's market "are increasingly taking out dangerous loans from shadow bankers in a fast-growing and poorly regulated financial market."
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"These properties in Vancouver are so expensive that you need people either laundering money or loan fraud or people borrowing such large amounts of money that should never be allowed, in order to keep it going," MacBeth said. "If everyone is reporting their incomes honestly in Vancouver, there is no way that housing prices can stay where they are.

Relevant:

China's "Ghost Collateral" Arrives In Canada, "Heralding A Crisis"