What would the judge do?, Becoming an executor due to debt of 240 million, a company that is striving to restore production and profitability
A large debt of 240 million yuan is undoubtedly difficult for a company that is striving to overcome the impact of the epidemic and restore production and profitability. Recently, the Executive Bureau of Shanghai Intermediate People's Court received a thank-you letter from the person who was executed in a case worth over 240 million yuan. In this case, the Shanghai Intermediate People's Court upheld the concept of civilized and good faith execution, and after understanding the situation of the case, urged both parties to reach a settlement, buying time and space for the recovery of the debtor's enterprise.
On February 8th this year, the Shanghai Intermediate People's Court accepted an execution case. The applicant for enforcement requests the disposal of the assets of the debtor to repay the debt, with an execution target of over 240 million yuan. After filing the case, the Executive Bureau of the First Intermediate People's Court of Shanghai conducted multiple inquiries and found that each executed person had no other property available for execution except for the equity they held. The Executive Bureau immediately took freezing measures on the equity held by each executed person and began to promote relevant disposal work.
This execution should have continued without any suspense until the equity held by the debtor was disposed of and used to repay the debt. But after the equity was frozen, the debtor repeatedly expressed a strong willingness to settle with the executing judge and explained the reasons for their temporary difficulty in fulfilling their debts.
Originally, the person being executed in this case was a professional obstetrics and gynecology hospital management company with a chain scale, which controlled multiple well-known obstetrics and gynecology hospitals in multiple regions across the country and is a leading enterprise in the domestic maternal and child health industry. Due to the impact of the epidemic, the company's cash flow has become tight in recent years, and its equity has been frozen, which has also affected its external financing, so it currently lacks the ability to fulfill its obligations. But the executor stated that with the normalization of epidemic prevention and control, the various obstetrics and gynecology hospitals under its management are gradually returning to normal operation, with a good development momentum and increasing profitability. Therefore, it is urgent to hope that the Executive Bureau of the Shanghai First Intermediate People's Court can facilitate a reconciliation between it and the applicant for enforcement, help them alleviate difficulties, and achieve a win-win situation for all parties.
After understanding the above situation, Wu Bin, the head of the Civil and Commercial Enforcement Team of the Shanghai First Intermediate People's Court Executive Bureau, contacted the applicant for enforcement. The applicant for enforcement expressed concerns about whether the debt after equity disposal can be repaid and hoped that the court could develop a better enforcement plan.
Wu Bin and his team members have discussed the case multiple times and thoroughly investigated and considered various factors. On the one hand, if the existing equity assets of the executed person are forcibly disposed of, not only will the disposal cost be high and the cycle be long, but it will also cause adverse social impacts such as obstructing the operation of the hospital controlled by the executed person, wasting medical resources, and unemployment of company employees. Moreover, due to the narrow audience of hospital equity, there is a risk of being "sold at a low price", and ultimately unable to repay all debts.
On the other hand, the person being executed has rich experience and ability in operating hospitals, and there is a great possibility of turning the hospital from losses to profits. Wu Bin and his team members also learned that the person being executed, as a medical service institution, has the courage to assume social responsibility. During the epidemic, 16700 people were selected to participate in anti epidemic work, and was awarded titles such as "Advanced Collective in Anti Epidemic" at the provincial level.
After further understanding the relevant situation, Wu Bin immediately confirmed the willingness of both parties to reconcile through phone communication and recorded their demands in detail. During the mediation process, there were many disputes between the two parties regarding the amount of debt, repayment methods, and specific hospitals that were used as collateral. Wu Bin answered the doubts and concerns of both parties one by one. After several rounds of phone communication, both parties gradually determined the general framework of the settlement agreement, but there were still some details that could not be resolved. Wu Bin then arranged for both parties to go to court for face-to-face mediation.
On the day of mediation, the applicant for enforcement suddenly proposed a new demand to increase the equity of other hospitals as collateral. The two sides were at a stalemate, and when the debtor was agitated, they even argued and almost broke down. Wu Bin and his team members organized both parties to different mediation rooms to clarify their interests and actively promote reconciliation between the two sides. In the end, both sides shook hands on the spot and signed a preliminary reconciliation framework.
After finalizing the details, both parties officially stamped and confirmed the settlement agreement for installment repayment secured by equity pledge. At the same time, the applicant for enforcement applies to the Shanghai Intermediate People's Court Executive Bureau to lawfully lift the freeze on the equity held by each executed person. Afterwards, neither party raised any further objections.
Recently, the executed person sent a special letter expressing satisfaction with the mediation results and gratitude to the Shanghai First Intermediate People's Court for their efforts in facilitating the settlement. The applicant for execution also called to say that they have received two execution payments according to the execution settlement agreement and expressed gratitude for the execution work of Shanghai No.1 Intermediate People's Court.
