Is it illegal for state-owned enterprises to provide employees with interest-free mortgages?

It is not illegal for state-owned enterprises to provide employees with interest-free mortgages, as long as both parties agree and repay them on time. However, the company lends interest-free loans to employees to buy houses, and the relationship between the company and employees is a loan contract. If the employee is unwilling to pay back the money, it is an employee's breach of contract, and the company can bring a lawsuit to the court according to law.