In Hong Kong, we build a global business empire

Chapter 680 Standard Chartered Bank Admits Defeat

"Haoran, do you think Standard Chartered Bank will eventually change its mind?" He Shanheng couldn't help but ask on the way back.

"Well, I can't be sure, but like I said before, I'm not worried at all that they'll go down a dead end. If they really are that unreasonable, then they'll really only have one way out: death."

Undeniably, the Governor's Office and even the British government would not stand idly by and watch me swallow up all the business of British-owned enterprises. The British government relies on these British-owned enterprises to exploit Hong Kong's wealth, so they naturally want to control them themselves. But since Standard Chartered Bank doesn't cherish this opportunity for cooperation, let's just let them find another one.

There are many British-owned banks in Hong Kong, including HSBC and Standard Chartered Bank, as well as National Bank of England, Royal Bank of Scotland, etc. Although their market share in Hong Kong is not as large as the aforementioned two, they still occupy a certain share.

If an opportunity to increase their market share in Hong Kong were presented to them, I think they would definitely be tempted, especially the Royal Bank of Scotland, which was almost acquired by HSBC, which is enough to make it understand how important the Hong Kong market is.

"They might not be able to take us over on their own, but what if I helped them? I wouldn't mind training a British bank as a puppet," Lin Haoran replied with a smile.

With his strength growing, Lin Haoran's confidence also grew stronger.

Standard Chartered Bank was originally weaker than Huifeng Bank. Lin Haoran was able to defeat Huifeng Bank, so why would he be afraid of Standard Chartered Bank?
Although Standard Chartered Bank has acquired HSBC and its market share has increased significantly, it will still take time to digest these newly acquired market shares.

To put it bluntly, before Standard Chartered Bank could fully absorb these market shares, its cash flow was in serious danger, and Lin Haoran was using this as leverage against them.

Therefore, it wouldn't be too difficult for Lin Haoran to take action against Standard Chartered Bank.

Standard Chartered Bank's move can be described as a snake swallowing an elephant, especially since it stepped in when Huifeng Bank was facing a cash flow crisis, essentially taking over a mess.

While the market share may appear to have increased on the surface, numerous problems such as difficulties in business integration and heavy debt burdens are like hidden reefs beneath a calm sea, threatening to cause this seemingly massive ship to run aground and sink at any moment.

So, is Lin Haoran worried that Standard Chartered Bank will do something so foolish?
Not worried at all.

Although it would take considerable effort to destroy Standard Chartered Bank, if they were to actually do it, Lin Haoran wouldn't mind completely driving Standard Chartered Bank into a corner.

Then, on the ruins of Standard Chartered Bank, he reshaped the landscape of British-owned banks in Hong Kong according to his own wishes.

He Shanheng nodded slightly after hearing this, his eyes full of admiration: "Haoran, I'm relieved to hear you say that."

Although it was a pity that the takeover of Hengsheng Bank was not successful today, He Shanheng is now having more and more confidence in Lin Haoran.

After Lin Haoran and He Shanheng left Hengsheng Building, Brown and Pu Weishi remained silent in the chairman's office of Hengsheng Bank, the atmosphere unusually oppressive.

“Mr. Brown, what should we do about this?” Pu Weishi broke the silence.

After being scapegoated and removed from his position as chairman of the HSBC Group, Sir Michael Sandberg lost his biggest backer.

However, perhaps because Standard Chartered knew the capabilities of Prudential, John Bower, and others, after taking control of HSBC, Standard Chartered did not carry out a major purge of HSBC's senior management, but merely dismissed Sir Michael Sandberg.

They also knew in their hearts that Sir Michael Sandberg was exceptionally capable, even surpassing Brown in the ability to manage a business.

Huifeng Bank's sudden and inexplicable decline was simply due to Lin Haoran's numerous and powerful businesses in Hong Kong, and Huifeng Bank's over-reliance on the Hong Kong market, which led to its current predicament.

It's not that there was a problem with Sir Michael Sandberg's abilities. The fact that he was able to defeat Jardine Matheson and make Huifeng Bank a dominant force in the business world is enough to prove that his abilities were beyond question.

However, Sir Michael Sandberg had very deep roots in Huifeng Bank.

Even though he was exceptionally capable, he had to be eliminated in order to ensure that Standard Chartered Bank could successfully acquire and integrate resources from HSBC.

Otherwise, Sir Michael Sandberg might obstruct Standard Chartered's "vampire" plan from being implemented.

As for the other personnel, Standard Chartered Bank has always valued talent, so it retained a group of senior executives with rich experience and outstanding abilities from HSBC, such as Prudential and John Paulson.

Standard Chartered Bank intends to leverage their resources to more smoothly absorb the tempting "big cake" of Huifeng Bank.

Pu Weishi was a little panicked; he was afraid that he would become a discarded pawn pushed aside by Standard Chartered Bank.

In that case, he will inevitably face imprisonment.

Kopuweishi doesn't want to go to jail.

Brown glanced at Pu Weishi and smiled reassuringly, "Mr. Pu Weishi, we have witnessed Lin Haoran's ambition and ability. He even managed to bring down your Huifeng Bank. Now, Standard Chartered Bank has taken over this hot potato, Huifeng Bank, and our situation is really difficult."

This is not a matter that I, as a regional manager, can decide. I will report this matter to Standard Chartered Bank headquarters in its entirety. As for the final decision, it will depend on the Standard Chartered Bank board of directors. Of course, you don't need to worry too much; I will try my best to persuade headquarters to ensure that nothing happens to you.

Brown knew that this might be a good opportunity to recruit Pewter for his own use. As the executive director of Huifeng Bank, Pewter was also the designated successor personally groomed by Sir Michael Sandberg, and had a deep network of connections and extensive influence within Huifeng Bank.

If Standard Chartered Bank could truly win his loyalty, it would undoubtedly play a huge role in helping them digest the "tough nut" that is Huifeng Bank.

After hearing Brown's words, Pu Weishi raised his head slightly, a complex emotion flashing in his eyes, a mixture of gratitude and confusion and worry about the future.

According to Lin Haoran, if Standard Chartered Bank intends to fight against him to the end, then he will be in danger and will definitely be pushed out by Standard Chartered Bank as a scapegoat.

Just a few months ago, he was an executive director of Huifeng Bank and the future chairman of the board. At that time, he was full of vigor and ambition.

But now, not only has Huifeng Bank been acquired by Standard Chartered Bank, but it has also fallen into an unprecedented predicament, even facing the risk of imprisonment, as if it has fallen from the clouds to the bottom of the valley in an instant.

“Mr. Brown, I understand your difficulties and know that you are doing your best to help me. Once this matter is resolved, I will definitely repay your kindness,” Pu Weishi said solemnly.

Brown had been waiting for these words. He stood up, patted Pu Weishi on the shoulder, and said, "I'll go report this to Standard Chartered headquarters right now. I'll let you know as soon as there are any updates!"

“Mr. Brown, this is troublesome!” Pu Weishi bowed deeply to Brown.

Brown quickly reported the matter to his superiors in detail, without missing a single detail.

At this time, due to the time difference, it was morning in the UK.

When Lord Derek Barber, Chairman of the Board of Directors of Standard Chartered Bank, learned of this situation, his expression immediately turned serious. Knowing the gravity of the matter, he did not dare to delay for a moment and immediately convened an emergency meeting.

The threat Lin Haoran had issued was already a done deal and a definite fact, leaving them no room for complacency or underestimation.

If Standard Chartered Bank is not careful or negligent, it could very well repeat the mistakes of Huafeng Bank and fall into an irrecoverable situation.

During the meeting, Brown, as the person in charge of the Hong Kong region, participated in this important meeting via telephone link.

After all, the Hong Kong market is now of great significance to Standard Chartered Bank, having become its largest market.

Especially after successfully acquiring the market share held by HSBC, Hong Kong's financial market share accounted for as much as half of Standard Chartered Bank's overall market landscape.

It is worth mentioning that the major decision to acquire Huafeng Bank was first proposed by Brown.

This is why Brown's position among Standard Chartered's senior executives is becoming increasingly important.

Moreover, if you were to ask who within Standard Chartered Bank understands Lin Haoran the most thoroughly, it would undoubtedly be Brown, making his opinion particularly crucial in this meeting!
In a luxurious conference room at Standard Chartered Bank headquarters, the senior executives sitting at the conference table had grim expressions.

To them, Hong Kong was nothing more than a colony.

But now they are threatened by the colonies, which is a slap in the face for the top executives of Standard Chartered Bank.

The atmosphere in the conference room was as oppressive as the low pressure before a storm. The senior executives had gloomy faces, their eyes filled with anger, resentment, and hidden worries.

Those who can become senior executives at Standard Chartered Bank are certainly not fools.

Although they were angry about Lin Haoran's threats, they were helpless because they knew that the threats were exactly what Standard Chartered Bank was worried about.

At the head of the table, Lord Derek Barber, Chairman of the Board of Directors of Standard Chartered Bank, looked at everyone present and said in a deep voice: "Gentlemen, the threat posed by Lin Haoran is no joke. The example of Huifeng Bank is right before our eyes. We must treat this matter with utmost care."

Regarding the HK$50 billion debt to Huifeng Bank, it seems we need to re-examine the situation. Should we choose to be enemies with Lin Haoran, or compromise for now and seek future developments? Everyone has their own opinions.

No sooner had Lord Derek Barber finished speaking than a lean, sharp-eyed senior executive spoke up first: "Lord, I believe we must not bow down to Lin Haoran. Standard Chartered Bank has been a dominant force in the financial world for many years. When has it ever been threatened like this?"
"We finally acquired Huifeng Bank, greatly increasing our strength. If we back down now because of Lin Haoran, how will we maintain our foothold in the financial market? Other competitors will surely attack us en masse, seeing us as weak and easily bullied."

During this period, the senior executives were quite pleased with themselves after acquiring Huifeng Bank. Because of this, many of them now have great ambitions and have been blinded by success. Another experienced director with gray hair frowned slightly, tapped the table lightly, and said in a calm and serious tone: "Mr. Henry, I understand your determination not to back down, but we really can't act on impulse."

The example of Huifeng Bank is right before our eyes. Lin Haoran was able to bring down Huifeng Bank in Hong Kong, which is enough to prove how powerful and capable he is. Now we have taken over Huifeng Bank, a mess riddled with problems. Although our market share has increased significantly, the internal integration work is far from complete, and the cash flow is under great pressure.

Lin Haoran has clearly laid out the potential dangers in front of us. Based on the strength he has shown, we are no match for him at present.

Moreover, Lloyds Bank has always been eyeing us covetously. Just as Lin Haoran said, if he really joins forces with Lloyds Bank, then Standard Chartered Bank will undoubtedly be plunged into an irresistible and catastrophic crisis.

We finally managed to acquire Huifeng Bank, and now is the time to recuperate and consolidate our foundation. Before Standard Chartered Bank has fully absorbed Huifeng Bank's market share, we simply do not have enough strength to confront them head-on.

If we really anger Lin Haoran this time, it will be a huge loss. Moreover, everyone here knows that there are indeed irregularities in the HK$50 billion loan.

If this gets out, we won't have a legal standing. Besides, would His Excellency Murray MacLehose, the Governor of Hong Kong, really support us?

“We simply don’t have an extra HK$5 billion right now! We’ve already temporarily allocated HK$25 billion to Huifeng Bank to help out, but given the current situation, that HK$25 billion is clearly not enough.”

Moreover, Huifeng Bank's funds cannot be recovered in the short term, it's like a bottomless pit. At the same time, we also invested a lot of funds in South African banks and Australia at the beginning of this year, and the recovery of funds in other markets is not satisfactory.

In this situation, where else can we get funds? To be honest, our acquisition of Huifeng Bank was completed by sheer grit and determination; we simply didn't have the necessary strength.

If the funding chain breaks, our entire banking system will collapse, and everyone will be finished. But if we can save HK$50 billion now, it will greatly reduce our burden.

"Even if we have to repay this money in three years, by then we will have already weathered the crisis, completely absorbed Huifeng Bank, and greatly increased our strength," one director stated bluntly.

This is why they racked their brains to try and trick Lin Haoran before; the HK$50 billion was simply too crucial and too important for Standard Chartered Bank.

By spending HK$50 billion less, Standard Chartered Bank will gain a much-needed respite.

This HK$50 billion was like a timely rain; although it could not completely solve all the problems, it was enough to temporarily ease the tight cash flow within the bank.

The moment the director uttered these words, the room fell silent.

On one hand, they were torn between whether or not to compromise with Lin Haoran, and on the other hand, they had to carefully calculate for the sake of Standard Chartered Bank's own interests.

This situation is truly troublesome!
"Mr. Brown, as a senior executive in Hong Kong, you know Lin Haoran very well. In your opinion, what should we do?"

Lord Derek Barber posed the question to Brown, who was attending the meeting remotely via telephone.

Brown was already mentally prepared. When he heard the Lord's question, he cleared his throat and spoke calmly and clearly over the long-distance telephone: "Lord, fellow directors, I do know Lin Haoran very well. His style of doing things is decisive and ruthless, and he is extremely strategic."

His success in bringing down Huifeng Bank in Hong Kong was by no means accidental luck. Judging from past signs, he had a deep understanding of the rules and loopholes in the business world and was good at using the contradictions between various forces to achieve his own goals.

Judging from past events, it's easy to see that underestimating Lin Haoran has always had dire consequences. First it was Jardine Matheson, then Huifeng Bank. Now, if we really choose to be his enemy, I think everyone can guess what our fate will be.

The situation we are currently facing is indeed very difficult. If we choose to confront Lin Haoran head-on, given his current strength and influence, coupled with the possibility of him joining forces with Lloyds Bank to attack us, Standard Chartered Bank is very likely to suffer a severe blow.

After all, our internal integration is not yet complete, and our cash flow is so tight that we really cannot withstand a large-scale financial storm. If we choose to compromise, although it may be a loss of face, it can buy us valuable buffer time in the long run.

Therefore, my suggestion is that it is best to compromise with Lin Haoran and have Huifeng Bank return the HK$50 billion to Hengsheng Bank. Otherwise, we will face a storm of attacks from Lin Haoran. It's not that I look down on Standard Chartered Bank, but we are in a situation where we have almost no power to fight back.

This is not alarmist; it is the truth. Mr. Shen Bi is in England, and he has dealt with Mr. Lin Haoran more often and knows him better personally. If you don't believe me, you can ask Mr. Shen Bi!

Only by being in Hong Kong can one truly appreciate Lin Haoran's powerful aura and strength.

Brown's words were indeed from the bottom of his heart.

If he could make the decisions about Standard Chartered Bank on his own, he really wouldn't want to antagonize Lin Haoran.

It's best not to provoke Lin Haoran until Standard Chartered Bank successfully overcomes its current difficulties.

Unfortunately, he didn't have the power to make decisions at the table.

Therefore, he could only do his best to see if he could change the minds of the higher-ups.

One director, his brow furrowed and face full of worry, chimed in: "But the HK$50 billion from HSBC still needs to come from Standard Chartered Bank, right? How are we going to get it? It's not that we can't come up with it, but if we withdraw HK$50 billion, then the entire operation of Standard Chartered Bank could be in trouble!"

Currently, all internal bank operations are proceeding intensively according to the plans made before the Lunar New Year. Without this 50 billion yuan, it would be like a machine missing a key component, causing many operations to stagnate or slow down.

Take, for example, several large corporate loan projects that we are currently working on. The funding arrangements were originally in place, but if 50 billion yuan were suddenly withdrawn, these projects would likely be shelved due to insufficient funds.

Those companies are eagerly waiting for our loans to expand production and business. If we default, we will not only lose these high-quality customers, but also seriously damage our bank's reputation in the market.

Furthermore, some of our overseas investment projects are at a critical stage and require continuous capital injection to ensure returns. If the investment plan is disrupted because of this HK$50 billion, the initial investment may be wasted, and the losses could be incalculable.

Moreover, let's not forget our numerous depositors. If a bank's cash flow falters, even temporarily, it could trigger panic among depositors, leading to a run on the bank. Our banking system would truly collapse. This is not an exaggeration; didn't Huifeng Bank also experience a bank run this time?

We've come full circle back to this issue.

At this moment, the high spirits that the executives had displayed when they acquired Huifeng Bank seemed to have vanished instantly.

It's difficult; choosing is so difficult.

It was as if no matter what they did, they would die.

Lord Derek Barber was having a headache.

He didn't want to end up like Shen Bi, the tycoon of Huifeng Bank.

But when faced with such a choice, he didn't know what to do.

At this moment, Brown's voice, transmitted via the long-distance telephone, once again resounded throughout the conference room through the loudspeaker: "Lord, fellow directors, we may not be without a solution for 50 billion Hong Kong dollars or even 100 billion Hong Kong dollars."

For example, the financial groups behind us might be able to come up with the money. If we negotiate a loan with them and offer sufficient interest, they would probably be willing. As the real owners of Huifeng Bank, I think they would also not want to see any problems with Standard Chartered Bank.
Even if we cannot raise enough funds from the shareholder consortium, we can borrow from other banks. Given Standard Chartered Bank's reputation and asset situation, we may be able to get approved.

Therefore, there is more than one way to obtain funds. As long as we overcome the current difficulties, the future will surely be bright. Offending Lin Haoran is, in my opinion, the most unwise thing to do!

Brown's words had barely left the room when there was another moment of silence before the discussion erupted into another heated debate.

Villa on Shi Xun Road, Hong Kong.

As night fell, Lin Haoran stepped out of the living room on the third floor onto the terrace.

He hadn't been back to live here for several days because he had been staying with Keiko Yamada in the hillside villa area.

Now that Keiko Yamada has returned to Japan, he naturally returned to live here as well.

He is patiently waiting for the final outcome from Standard Chartered Bank.

Although he is not afraid of Standard Chartered Bank choosing any path, and doesn't even care about the currently weakened Standard Chartered Bank, it will still take a lot of effort to deal with it.

Having just finished a fierce business battle with Huifeng Bank, all he wants now is to take a good rest.

"I hope Standard Chartered Bank doesn't do anything stupid, or they won't blame me for being ruthless!" Lin Haoran sat on a beach chair on the terrace, the gentle sea breeze of Victoria Harbour caressing his face, the chirping of insects and cicadas coming from the trees, and he muttered to himself.

Just then, a crisp cell phone ringtone broke the surrounding silence and entered Lin Haoran's ears.

A thought struck him, and he immediately hurried back to the living room, quickly picked up his mobile phone, and pressed the answer button.

After the call was connected, Brown's voice came from the other end: "Mr. Lin, after careful consideration, Standard Chartered Bank has made a final decision. The HK$50 billion will be advanced by Standard Chartered Bank and transferred to Hengsheng Bank tomorrow!"

(End of this chapter)