The Finance Bureau borrowed 200000 yuan from citizens 5 years ago but has not yet repaid it? Where did the money go? Journalist Investigates Finance Bureau | Xi'an District Finance Bureau of Liaoyuan City | Citizens
Recently, Liu Qiang, a resident of Liaoyuan City, Jilin Province, reported to CCTV that five years ago, he sold his house and borrowed 200000 yuan from the Xi'an District Finance Bureau of Liaoyuan City, which has been difficult to collect principal and interest since then.
The promissory note provided by Liu Qiang shows that in the upper part of the payment description, it is written as "loan" in RMB "Two Hundred and Twenty Thousand Yuan Only", and the financial special seal of the Xi'an District Finance Bureau of Liaoyuan City is stamped on the lower right corner.
Liu Qiang stated that when borrowing, the Finance Bureau of Xi'an District stated that the interest rate was 10%, and the repayment method was one year, with principal and interest paid after one year. If the borrower does not withdraw the principal, the district finance bureau shall pay the interest, and the principal can be continuously deposited year by year. "I originally wanted to earn more money, but I didn't even want to return the principal."
Who did Liu Qiang lend his money to? In 2021, the People's Court of Longshan District, Liaoyuan City released a message stating that on November 17, 2017, Wang lent money to enterprises in response to the call of the government's finance bureau to support the government's economic development and construction.
In the case of default and failure to repay the loan upon maturity, Wang has repeatedly sought the government for a loan, but has yet to fulfill his repayment obligations due to the government's inability to compensate.
On June 2nd, the reporter called the Finance Bureau of Xi'an District, Liaoyuan City as a borrower, and a staff member said that people come over every day, but there is no way, really no money. One of the involved companies stated that the company has been cooperating with the government for repayment, and the loan will definitely be gradually repaid, so there is no need to worry.
Who was the money lent to?
Li Yong, a resident of Liaoyuan City, also borrowed money from the Xi'an District Finance Bureau in earlier years.
He said that in 2020, due to his family's illness, he went to the district finance bureau multiple times to request repayment of the loan, but the finance bureau said that the money was borrowed by the enterprise and should be sought from the enterprise. "I have also approached companies, but they have stated that they only have dialogue with the Xi'an District Government."
The reporter noticed that the promissory note provided by Li Yong was stamped with the financial special seal of Liaoyuan Zhuoyuan New Building Materials Group Co., Ltd. and the financial special seal of Xi'an District Finance Bureau in Liaoyuan City on the front.
A copy of the promissory note with two seals stamped on it
According to Qichacha information, Zhuoyuan Company was established on May 15, 2009, with a registered capital of 45 million RMB. The industry belongs to the non-metallic mineral products industry, and the business scope includes the production and processing of hollow bricks, blocks, square bricks, curbstones, colored tiles, building glass products, import and export of goods, and technology import and export. At present, the company's operating status is in existence.
According to Qichacha information, the actual controller of Zhuoyuan Company is Cui Hongming, holding 73.333% of the shares, while Wang Jincheng holds 26.6667% of the shares.
In addition, Zhuoyuan Company is the major shareholder of Liaoyuan Jindu Construction Engineering Co., Ltd., holding 50.20% of the shares.
Except for Zhuoyuan Company, Cui Hongming and Wang Jincheng respectively hold 25.8% and 24% shares in Jindu Construction Company.
In 2022, the People's Court of Xi'an District, Liaoyuan City, Jilin Province, issued an enforcement ruling stating that the applicant for enforcement, the Finance Bureau of Xi'an District, Liaoyuan City, requested the debtor Zhuoyuan Company and Jindu Construction Company to repay their debts and interest.
The ruling also shows that during the execution process of this case, the following execution measures were taken in accordance with the law: on May 11, 2022, the execution notice and property order were served on the executed person. On May 6th and September 19th, the relevant property information of the executed person, including bank deposits, vehicles, securities, industry and commerce, and online banking, was checked twice through the network inspection and control system, and the property information of the executed person was also checked.
After investigation, it was found that the executed person has no other property available for execution, and the applicant for execution is unable to provide information on the executed person's available property and its whereabouts. Therefore, on August 16, 2022, the court included the executed person in the restricted high consumption list.
Why cannot repayment be made?
On June 15, 2023, due to the failure of Zhuoyuan Company and Jindu Construction Company to fulfill the payment obligations determined by the effective legal documents within the period specified in the execution notice, the Xi'an District People's Court of Liaoyuan City issued a consumption restriction order against Cui Hongming and Wang Jincheng.
In 2010, Zhuoyuan Company was once a city level college student employment internship base in Liaoyuan City. That year, according to a public document released by the People's Government of Liaoyuan City, in order to comprehensively promote the creation of a "national level entrepreneurial city" in our city and promote employment driven by entrepreneurship, recommended by the county and relevant departments, and evaluated by the city's human resources and social security departments, the municipal government decided to name 8 units including Liaoyuan Mining Co., Ltd. as the city level college student employment internship base.
Jindu Construction Company was once awarded the title of "Best Integrity Enterprise in Northeast China". In 2012, a magazine published the article "From Migrant Workers to model worker in the City - About Wang Jincheng, General Manager of Jindu Construction Engineering Co., Ltd. in Liaoyuan City, Jilin Province", which said that in recent years, the household satisfaction rate of large and small projects undertaken by Wang Jincheng has reached more than 98%. The annual tax payment is over 30 million yuan. The company has been awarded the titles of "Best Integrity Enterprise in Northeast China" and "AAA Level Unit for Contract Abiding and Credit Valuing", and has been recognized as a major taxpayer by the Liaoyuan Municipal Party Committee and Government for several years.
The article also states that in 2009, Wang Jincheng had a registered capital of 25 million yuan and established Jindu Construction Company, which has a national second level qualification. By 2012, the company had an annual output value of over 600 million yuan and became one of the new backbone enterprises in the construction industry of Liaoyuan City.
The reporter found through the China Judgment Document Network that the first execution ruling on the dispute over the right to recover, issued by the Xi'an District Finance Bureau of Liaoyuan City and the Zhuoyuan New Building Materials Group Co., Ltd. of Liaoyuan City on July 5, 2023, shows that after the court has exhausted its investigation measures, it has not yet been found that the person being executed has any property available for execution. Therefore, it can be determined that the person being executed does not have the ability to fulfill the obligations determined by the effective legal documents.
The execution ruling issued by the People's Court of Xi'an District, Liaoyuan City, Jilin Province on June 15th
On June 30th, Wang Jincheng told reporters that the initial borrowing was led by the government, and the enterprises were engaged in Xi'an District government engineering projects, which was equivalent to government fundraising, and the enterprises worked for the government. "In recent years, due to factors such as poor corporate performance and weak local government finances, the payment has not been made on time."
"Four or five years ago, borrowers often called me and I would explain to them, but no one has called in the past two years." Wang Jincheng said, "Now that the company's assets have been mortgaged out, the government has taken over to handle this matter. The company has been cooperating with the government to repay the loan, and there is no need to worry.".
How to handle borrowing?
In January 2021, the People's Government of Xi'an District, Liaoyuan City, released a report on the implementation of the 2019 and 2020 financial budgets in Xi'an District. The report stated that the Xi'an District government has always regarded the prevention and control of local debt risks as its primary task. In response to the hidden dangers of petitioning caused by borrowing private funds, the government quickly established a government debt disposal leadership group, comprehensively adopted measures such as reducing debt scale, reducing financing interest, and increasing recovery efforts in accordance with the law, formulated repayment plans, actively and properly disposed of government guaranteed borrowing funds, effectively safeguarding the interests of the people and social stability while gradually resolving government debt risks.
According to a notice provided by Li Yong from the Xi'an District Finance Bureau of Liaoyuan City, on April 1, 2019, the Xi'an District Finance Bureau stated that it would adopt two repayment methods: one is to repay in installments according to the maturity quota ratio; Another option is to repay the debt in a lump sum based on the method of using assets to offset the debt. According to the financing principal and interest, adopt a method of refunding more and supplementing less, and use Jinling International Property to offset the financing loan..
Repayment Notice Publicized by Xi'an District Finance Bureau of Liaoyuan City in 2019
The notice issued by the Xi'an District Finance Bureau of Liaoyuan City in 2020, which he provided, stated that since the repayment of financing loans, the district finance bureau has actively raised funds by disposing of assets, recovering debts in accordance with the law, and negotiating with higher-level finance, and has repaid some of the loans. Due to the lack of timely funding, the repayment was not made according to the original plan. In order to properly handle the repayment work, after research and decision by the district committee and government, the original repayment method and repayment ratio remain unchanged.
Notice on Adjustment of Repayment Time in 2020
Lawyer Cui Shumiao from Beijing Jingjie Law Firm stated that the government can adopt a collection plan. Generally speaking, government debt collection includes: announcement of debt collection, which means that after the collection stage is over, borrowers or actual users who cannot actively repay the loan are notified through media such as television and by posting notices in the borrower's unit to repay the loan principal and interest within a specified period of time; Administrative supervision and collection: For departments, units, and village collectives that still fail to repay the loan principal and interest after the announcement of collection, the collection leadership group shall supervise them to repay the loan principal and interest or implement the repayment plan according to the actual situation.
On June 14th, the reporter contacted the staff responsible for handling the loan incident at the Xi'an District Finance Bureau in Liaoyuan City. The person in charge stated that the Finance Bureau will not respond to the media and can contact the Xi'an District Propaganda Department. On the same day, the relevant person in charge of the propaganda department of the Liaoyuan Municipal Party Committee told reporters that he would get back to the Xi'an District Propaganda Department after learning about the situation. As of the time of publication, the reporter has not received any response regarding this matter.
