China Vanke (000002) has been accused of using paperboard as a decoration material in homes at a high-end development in Shenzhen, which has led to quality problems including mold, reports yicai.com.

Vanke denied using paperboard, but said there were some quality issues related to the furnishing of the homes. The company said it will handle all problems resulting from quality problems at the homes. In February, Vanke was accused of using flooring from supplier A&W that had excessive levels of formaldehyde.

According to the report, a home worth three million yuan in Shenzhen with claimed decoration costs of 3,000 yuan per square meter, had large amounts of mold in a closet and shoe cabinet. The report said the house failed to meet interior environment standards.

The home is part of a development with 300 residents, which was promoted as having the highest standards of all Vanke developments, with each home having a value of 2.4 million to 4 million yuan.

Vanke CEO Yu Liang said previously that the homes have quality problems and that the company is making checks and will replace all problematic materials.