A century-old wealthy family that rose from Shanghai

Xinfeng Textile held a board meeting of directors and management since Chen Guangliang's acquisition, announcing that Chen Guangliang was officially preparing to make a big splash in the textile industry.

At the board level of 'Xinfeng Textile', Chen Guangliang invited veterans of the textile industry, including heavyweights such as Nie Yuntai and Mu Ouchu, to join; there were also heavyweights from the banking industry, including Zhang Gongquan (General Manager of Huaxia Bank, now Vice President of the Central Bank); there were also prominent figures in Shanghai, such as Du Yuesheng and Shi Liangcai; and of course, Ye Ximing from Ping An Bank.

Of course, these directors are just "idle positions," receiving a "salary" or doing Chen Guangliang a "favor." They do not participate in the management of Xinfeng Textile, but they will provide relevant advice and assistance.

The person Chen Guangliang truly values ​​is Tong Runfu, a "textile talent" whom he recently invited. Tong will serve as the deputy general manager of Xinfeng Textile, while Chen Guangliang himself will serve as the general manager.

Tong Runfu went to Japan in 1916 to study Japanese at Waseda University and interned at a textile factory in Wakayama, Japan. In 1918, he entered the National Kiryu Higher Industrial College in Japan, graduating in the spring of 1921 and returning to China that same year. The following year, he was hired by the Japanese-owned Dakang Yarn Factory in Shanghai as a trainee engineer and then an engineer, a position he held for seven years, accumulating considerable experience in textile technology and compiling and publishing the book "Standardized Textile Work Methods." In 1929, Tong Runfu accepted an invitation from a national capitalist to become the director of the Shanghai Hongzhang Yarn Factory. By absorbing the strict management experience of Japanese factories and implementing reforms, he turned a profit in the first year, achieving remarkable results.

In 1933, the Cotton Industry Control Committee under the China Economic Commission appointed Tong Runfu as technical specialist and technical director. In early 1934, Tong Runfu, on behalf of the Cotton Industry Control Committee, held several discussions with Cai Yuanpei, president of the Academia Sinica, to jointly establish a cotton textile dyeing experimental center. The organizational structure and funding were determined, the site and research objectives were selected, and the construction of the factory and the purchase of machinery and equipment began.

When Chen Guangliang invited Tong Runfu, Tong Runfu did not make any demands, such as asking for shares or investment, and Tong Runfu readily agreed.

It turns out that Tong Runfu had also heard that Chen Guangliang had defeated Japan's plot to annex Boyi Textile, and thus developed a great liking for him.

Having studied or worked in Japan does not equate to being pro-Japanese; especially after the September 918 Incident, many Chinese people harbored considerable hatred towards Japan.

Tong Runfu is not only the deputy general manager, but also the executive director. Chen Guangliang has great faith in such talent.

Of course, he himself is also learning about the management of the textile industry. Talent alone is not a panacea; as a boss, one must also understand this.

Before the meeting, Chen Guangliang led the directors on a tour of Xinfeng No. 2 Factory, where everyone chatted and laughed.

Wearing a long gown, Du Yuesheng joked, "Guangliang always invests big each time. I heard that this time his investment in Xinfeng is as high as 450 million."

He now considers himself Chen Guangliang's elder, which is not a problem, as Du Yuesheng's eldest son is about to marry Yan Renyun, and the two families are now related.

In fact, in his previous life, Du Yuesheng had another son who married a woman from the Yan family, who was probably Yan Renmei's cousin.

Chen Guangliang added, "It was 600 million, and we injected another 150 million."

Du Yuesheng felt a pang of envy. He had always wanted to upgrade from a 'gangster' to a 'businessman,' so he had been frantically serving as a director and board member of various chambers of commerce and companies over the years.

As for his business, he did make some money from gambling and drugs in the French Concession at first, but later the general manager of the French Concession changed, and under international pressure, the opium and gambling were severely cracked down on, which greatly affected Du Yuesheng's business.

Of course, Du Yuesheng had all sorts of investments, including shipping (he acquired Zhang Jian's shipping company in Nantong), banking, and so on. However, he wasn't particularly good at business, so these legitimate businesses didn't contribute much capital. Du Yuesheng's main income still came from speculation and shady businesses, but his expenses were huge, after all, he had disciples and family members to support.

Du Yuesheng then said, "If you get involved in HSBC's auction of Shenxin No. 7 Factory, you might be able to acquire it for over two million."

Everyone looked at Chen Guangliang, as if to say, "How did you manage to hold back from doing it?"

At the end of March, HSBC insisted on auctioning off Shenxin No. 7 Factory despite opposition from various quarters. HSBC believed that since Shenxin No. 7 Factory owed them money and was located in the foreign concession, it should be handled according to British law.

As a result, the Japanese bought the Shenxin No. 7 Factory, which was valued at 5 million, for only 225 million silver dollars (the 5 million value was the amount of money invested, but it had depreciated significantly).
Chen Guangliang said, "I heard that the Japanese wanted to take over Shenxin No. 7 Factory, but they were met with resistance from the employees there, who either hid equipment or violently resisted. So, Shenxin is a factory owned by the Rong family, and how could outsiders take it over smoothly? Besides, we are all compatriots, so I would never take advantage of their misfortune."

The Rong family has two branches, several sons, eight or nine sons-in-law, and other relatives, with a conservative estimate of several hundred people working in the Shenxin Group's factories.

The Shanghai municipal government was originally willing to take over Shenxin No. 7 Factory, but Rong Zongjing refused, feeling that there was no difference between taking over his factory from the Japanese.

The South Whale government also tried to annex the 'Shenxin Group' several times, but the Rong family blocked it each time.

Rong Zongjing just couldn't understand why the South Whale government failed to annex the Shenxin faction, and why the Shenxin faction was eventually handed over to the people.

However, after the victory of the War of Resistance against Japan, most of Rong Zongjing's branch of the family went abroad or to Hong Kong, while his younger brother's branch remained in China. This branch of the Rong family can be considered to have spread globally.

Du Yuesheng laughed and said, "You see things clearly. It is said that the people of Shenxin No. 7 Factory are putting up a lot of resistance. With the current public opinion, the Rong family still has a chance to take back Shenxin No. 7 Factory."

Everyone discussed and explored the site, and finally held a board meeting, which was essentially a discussion conference.

Tong Runfu, the new deputy general manager and executive director, made a strong start by outlining his work plan: "Upon taking office, I plan to focus on three key areas: hiring several renowned textile experts to oversee the operations of each factory, strengthening technical management, and expanding equipment."

Upon hearing this, everyone knew that Chen Guangliang had found a true business expert.

Tong Runfu's background meant he knew many textile experts, so with his involvement, Xinfeng Textile was quickly revitalized. The textile industry is constantly evolving, and technology is always the most crucial factor.

Chen Guangliang then said, “Very good. Although I am the general manager, Mr. Tong is actually in charge of Xinfeng Textile. I am still a novice. But I am optimistic about the future of the textile industry. After all, there will never be a shortage of market for clothing, food, housing and transportation. So I am very determined to support Xinfeng Textile.”

His words were tantamount to giving Tong Runfu his full support.

The other directors were also somewhat surprised. Tong Runfu, as a technology expert, had neither shares nor investments, yet he joined the board of directors of Xinfeng Company, served as executive director and deputy general manager, presided over the company's work, and obtained real power in the management of a large enterprise. This was rare among modern national textile enterprises.

In the textile industry, taking the Rong family's "Shenxin Group" as an example, key positions are basically held by family members and shareholders.

Next, the directors also expressed their opinions. Although they had not invested, they did Chen Guangliang a favor and offered their suggestions.

Finally, the first board meeting concluded successfully, and Chen Guangliang saw everyone off one by one.

Just then, Shi Liangcai was the last to leave, and Chen Guangliang came to his side and whispered, "Don't leave Shanghai for the next two years, someone wants you dead!"

Shi Liangcai was shocked, but quickly calmed down. He had considered the possibility that someone in Nanjing wanted to assassinate him, so he usually had bodyguards with him.

But if this warning came from Chen Guangliang, it means the matter is already very serious.

"Thank you very much"

Shi Liangcai thanked him without batting an eye and then took his leave, knowing that Chen Guangliang didn't want to get involved in the matter.

As Chen Guangliang watched Shi Liangcai's departing figure, he thought that as long as Shi Liangcai escaped the 'Xi'an Incident,' he could live a little longer.

Of course, Chen Guangliang's fundamental idea was still to have Shi Liangcai at the forefront of the media industry.

Back at the factory, Chen Guangliang had another talk with Tong Runfu.

“Mr. Tong, I plan to build a factory in Hong Kong, and I also plan to build a factory in Chongqing next year.”

Tong Runfu asked, puzzled, "Mr. Chen, what's your idea of ​​building factories in these two places?"

Chen Guangliang frankly stated, “You are a textile expert, while I am a strategic expert. The Japanese are frequently provoking trouble in the north, and one day they will inevitably launch a full-scale invasion of China. At that time, Shanghai will certainly not be able to hold out, but the concessions can still hold out for a while. My idea is very simple: once the war breaks out, the textile industry will be in demand for war materials. How will our products be transported to the rear? Starting from the concessions, going through Hong Kong or Haiphong is more realistic, so I simply set up a factory in Hong Kong. As for Chongqing, I suspect that since the January 28 Incident, the South Korean government has intended to establish a temporary capital in the rear.”

Tong Runfu was completely impressed. In just a few words, he had outlined the strategic situation. The key point was that he had heard that this young man was very forward-thinking.

"Okay, I will fully support Mr. Chen's two plans, but what about funding?"

Chen Guangliang said, "We can still inject funds, but the plan is not something that can be done in a day or two, so there's no rush."

“Okay, I will fully cooperate on talent and technology. I also have a list of people, including Li Shengbo, the manager of Nantong Dasheng Yarn Factory. He is also a technical expert and textile specialist. I hope Mr. Chen can appoint him as a director of the company.”

Chen Guangliang said happily, "Go ahead and invite them, it's all up to you!"

Not to mention directors, even deputy general managers and factory directors are all controlled by Tong Runfu.

In the textile industry, technical talent is more important than management talent.

This Li Shengbo seems to be a very remarkable figure. (In the spring of 1949, he went to Hong Kong and used his entire fortune to establish the Yongfeng Textile Factory. Just before the US imposed an embargo, he managed to smuggle textile machinery worth $260 million back to China, leading to the factory's bankruptcy. To repay his debts, he went to the US in the 50s to work and became a US citizen. To obtain a university degree, he entered an agricultural university in the US at the age of 62. After graduating, he stayed on to teach until 1971, when he had paid off his debts. In 1978, he returned to China to settle down, serving as an advisor to the Shanghai Textile Industry Bureau and the Textile Engineering Society, continuing to contribute to market expansion and the development of the garment industry until his death in 1985 at the age of 90.)
"Okay, I believe he will give me that face."

Next.

Chen Guangliang added, "By the way, the promotion of American cotton has begun to show results in recent years, and I predict that American cotton will have a bumper harvest next year. You organize a team and send people to investigate around the country to help us stockpile cotton next year. You can take charge of this; you don't need to do it yourself."

Tong Runfu sighed inwardly. This boss seemed extraordinary. He knew, of course, that China had been importing and vigorously promoting American cotton seeds in recent years. However, he dared not say that the American cotton harvest would be bountiful next year.

"Ok"

Chen Guangliang's idea was simple: if there was a bumper cotton harvest the following year (1936), he planned to stockpile a large amount of cotton, firstly for his own use, and secondly for speculation.

During the 1937 "cotton yarn crisis," cotton yarn prices soared, and Chen Guangliang naturally wouldn't let such an opportunity pass him by.

In late April, Chen Guangliang arrived in Hong Kong. This was his fourth time visiting Hong Kong, although the two previous stops were brief ones during his round trips to transport silver.

Hong Kong is an important base for the Chen family's future, but not their only base.

Because the Chen family's wealth had grown beyond what Hong Kong could contain after the War of Resistance against Japan, Chen Guangliang actively arranged for Jiang Meiying's branch of the family to develop their business in the United States.

"elder brother"

"cousin"

When Chen Guangliang arrived in Hong Kong, Chen Guangcong and his wife Yang Xiuying greeted him at the pier.

When Chen Guangliang saw that Yang Xiuying was already six months pregnant, he said with concern, "What are you doing here? The baby in your belly is more important!"

Yang Xiuying immediately replied quickly, "Of course you're important too. You're the head of our family, so it's only right that your unborn nephew comes to greet you!"

That's just how she is. Although she's still afraid of her older cousin, at least she won't be timid or hesitant.

Chen Guangliang laughed and said, "It seems you've already adapted to life here!"

Upon hearing this, Yang Xiuying began to complain bitterly, saying that Hong Kong was cold and damp in winter and too hot in summer, and that it was far inferior to Shanghai in every aspect.

Chen Guangliang only said one sentence: "How does it compare to Fangua Lane?"

Yang Xiuying immediately fell silent, because what she was saying meant that her family had only enjoyed a few good days, and the memory of Fan Gua Lane eight years ago was still vivid in her mind.

The family then took a ferry from the Star Ferry Pier to Hong Kong Island, where they were picked up by a car and driven towards the Mid-Levels.

Chen Guangcong currently works at Global Shipping, mainly in business operations. Since many of Global Shipping's ships call at Hong Kong, he started his career in business.

Overall, Chen Guangcong was someone Chen Guangliang could trust. He was willing to learn and work hard, and he never thought of taking advantage of his elder brother's wealth.

Of course, Chen Guangliang did not mistreat his younger brother. He gifted him a villa in Shanghai and bought him a house in Mid-Levels, Hong Kong. He even provided him with a car.

When the car arrived at Conduit Road, Chan Kwong-leung saw the "Red House Villa" of the Mok Kan-sang family, the "Swire compradors". The villa covers an area of ​​about 10 square feet (about 16 acres). Back then, Mok Kan-sang spent HK$100 million on the land alone, which can be described as very expensive.

It was precisely because Mo Gansheng was so wealthy that the Swire Group became alarmed. How could a mere comprador be so rich? Just how much wealth had he embezzled? Later, Swire Group tried to gradually reduce the commissions of compradors (from 5% to 0.5%), and even abolished the comprador system altogether.

The residence of Chen Guangcong and Yang Xiuying was also located on Conduit Road, but it was just a three-story villa with an area of ​​only one acre, equivalent to a detached villa in later times.

They have a yard where they can park their cars. Knowing that Chen Guangliang would often come to Hong Kong, and since they hadn't bought any other residential properties, the Chen Guangcong couple left the third floor vacant for him to live in.

On this point, the couple were of one mind and had no complaints.

"I'm going to the Ping An Bank Building this afternoon, so I won't be drinking at lunch!"

After a quick wash, Chen Guangliang went downstairs to find that Chen Guangcong and his wife had already prepared a sumptuous lunch and some wine.

Chen Guangcong immediately put away the wine and said, "Hmm, the Ping An Bank Building in Central is quite impressive. It's ten stories high, which is rare. I heard that after the building was completed, Ping An Bank's deposits in Hong Kong increased."

Ping An Bank (Hong Kong) calculates its finances separately, since it holds a large amount of Hong Kong dollars.

Chen Guangliang said, "Well, but it's only been open for a short time. We can only say that we've survived. Doing business requires patience and taking it one step at a time."

Chen Guangcong immediately replied, "What you say is true, brother."

Chen Guangliang also hoped that his younger brother could become a capable assistant in the shipping industry, and that supporting his independence after the victory of the War of Resistance against Japan would be no problem.

After lunch, Chen Guangliang took a car to Central. The scenery on both sides of the river made Chen Guangliang sigh that Hong Kong in this era had not developed at all.

The impression given to Shanghai merchants was that the market was not as prosperous as Shanghai, especially the Wing On and Sincere department stores, which were quite small and had nothing special to offer, so they felt there was no need to linger.

Travelers from all over China often have a shabby first impression of Hong Kong. It's not only incomparable to Shanghai, but even Guangzhou, Tianjin, and Harbin are more prosperous than Hong Kong.

This is what actually happened.

Hong Kong's true economic take-off began after 1950, when Chinese people from all over the world flocked to Hong Kong, giving it wings and enabling its economy to take off.

Arriving at Des Voeux Road, a first-class building with ten floors, covering an area of ​​2 square feet and a building area of ​​up to 10 square feet (gradually decreasing in size at the top) stands in Central, Hong Kong.

The fact that Ping An Bank built such a building in Hong Kong also surprised Shanghai businessmen, who couldn't understand why Chen Guangliang would be so foolish as to come to Hong Kong, a poor place, and invest millions of dollars to build a building.

Moreover, the bank buildings in Hong Kong are more luxurious and larger than the Ping An Bank Building in Shanghai, both in terms of scale and architecture.

Upon entering the Ping An Bank Building, Chen Guangliang quickly met with Ping An Bank's senior management, including manager Li Hongsheng and assistant manager Zhang Shounian, as well as Ye Ximing, who was also leading a delegation to Hong Kong for an inspection. After exchanging pleasantries, they proceeded to the conference room.

Li Hongsheng reported: "Since January of this year, money shops and banks in Hong Kong have experienced a series of bank runs. Our Ping An Bank in Hong Kong, due to its prudent approach, has escaped unscathed and has achieved certain development. Ping An Bank in Hong Kong has deposits of HK$210 million and loans of HK$76. At the same time, we have established a systematic remittance business with the mainland. Even without considering the rental income from the Ping An Bank Building, we have conservatively reached a level of profitability."

Last year, Ping An Bank in Hong Kong also incurred losses, mainly due to upfront expenses.

With the opening of the Ping An Bank Building, the bank's reputation will be enhanced, deposits will naturally increase, and business will naturally expand, especially foreign exchange business.

Chen Guangliang nodded and said, "I'm here mainly to discuss Ping An Bank's investment in Hong Kong assets. What projects are you all currently working on?"

He prefers to buy land in Causeway Bay, North Point, and Kowloon, especially industrial land.

Why do you say this way?
Because in the previous life, after 1937, a number of factories from the mainland also flocked to Hong Kong. Entrepreneurs left Shanghai with capital and technology, and Hong Kong's industry ushered in a great opportunity for take-off.

Shanghai enterprises, while also primarily focused on light industry for consumer goods, had advanced technology to a higher level. Take monosodium glutamate (MSG), for example. Guangzhou Tiansheng Weiyuan Factory's "Weiyuan" powder was coarse, prone to moisture absorption, and short-lived, making it unsuitable for export. Shanghai Tianchu Company, however, established a factory on Ma Tau Kok Road in Kowloon, producing a flavor that surpassed Japanese products. Its exports quickly captured the Southeast Asian market and subsequently penetrated the United States, reaching an annual output of 180 tons. Similarly, in printing, Guangzhou favored multi-color lithography, with its largest business being the printing of color trademarks. Meanwhile, Zhonghua Book Company and Daye Company established factories in Hong Kong, taking the printing industry directly to the pinnacle of printing money.

In 1940, there were as many as 800 registered factories in Hong Kong. Hong Kong fell to the Japanese at the end of 1941, and its industry suffered a devastating blow. However, the technology, capital, and skilled workers hidden in the private sector became the driving force for the postwar industrial recovery.

Ping An Bank's investment in land allowed them to construct factory buildings in advance, facilitating the relocation of Shanghai's industries to Hong Kong, which in turn supported the war effort. Naturally, these properties or land plots were only for rent, not for sale.

Next, everyone took turns speaking, clearly having prepared thoroughly.

For example, Zhang Shounian reported: "There is a plot of land in Causeway Bay that is urgently for sale. The price is not high. It was originally a warehouse. The area is about 6 square feet (10 mu). The price is expected to be around HK$20 (15 Hong Kong dollars, about 1.5 yuan per mu)."

Upon hearing this, Chen Guangliang did some calculations. Between 1935 and 1945, the price increase of land in Hong Kong shouldn't have been significant. Although there was a surge in prices in 1937, they naturally plummeted after the fall of Hong Kong. (In his previous life, immediately after the war, land in North Point cost about HK$7 per square foot, but it quickly skyrocketed several times or even ten times.)
Speculating on land is obviously impossible. The properties and land in Hong Kong now are basically part of the Chen family's and their companies' "foundation".

"We can talk."

Subsequently, everyone contributed their projects, as they had all been observing the situation recently.

Chen Guangliang then selected projects worthy of investment and prepared to make contact with them. Ping An Bank plans to invest 100 million Hong Kong dollars in Hong Kong, which is less than 140 million Hong Kong dollars.

In addition, Hong Kong also experienced bank runs and an economic crisis, which naturally allowed people to buy more properties.

What surprised Chen Guangliang most was that while "tiered sales with installment payments" had been popular in Shanghai for many years, such cases were rare in Hong Kong. This can be attributed to several factors: people's reluctance to share their properties and engage in one-off transactions, Hong Kong's economic backwardness, and the high property taxes of the time. Of course, some individuals do sell in tiered units, but installment sales are even rarer.

Now that such an economic crisis is happening, there are naturally even fewer of them.

Fortunately, Chan Kwong-leung will not develop or sell any more properties in Hong Kong until the restrictions on residential building height are lifted; with his wealth, he could even keep 70% of his residences for rent.

Compared to Ping An Bank's acquisition of Hong Kong property assets (land and existing rental properties), Cheung Kong Property mainly develops mid-range residential properties in Yau Tsim Mong and high-end villas in Mid-Levels.

Land in the Yau Tsim Mong area generally costs around HK$3 to HK$4 per square foot, while in the Mid-Levels it is more than twice as expensive, costing over HK$10 per square foot. Since it is in Hong Kong dollars, it has to be converted to silver dollars and then discounted by 25%, which is equivalent to about HK$15,000 per acre in the Yau Tsim Mong area and as high as HK$50,000 to HK$60,000 per acre in the Mid-Levels.

In fact, prices would have risen by another 30% before the first half of 1934.

Cheung Kong Properties' planned investment in Hong Kong this time is HK$2 million, mainly including land. Construction can be partially financed through loans, resulting in a substantial property asset. For example, investing in a 5-story tenement building in Yau Tsim Mong is expected to cost HK$200, with a selling price of at least HK$1.2.

Of course, these figures are just a general overview, and the actual situation may vary depending on factors such as location (whether it's on a street or not) and the owner's mood (whether they urgently need the money).

On the streets of Mong Kok, Yan Kuan explained, “Boss, the Hong Kong government currently implements a lease system, so there are very few land plots actually being released. Therefore, the good land plots available now are mostly privately sold or released by foreign firms. In areas like Yau Tsim Mong, each property or plot of land is not very large, so we can only develop on a small scale. As for the New Territories, and even the edges of Kowloon and Hong Kong Island, they are basically farmland, so there is not much value in developing them.”

That's true. Without transportation and utilities, who will rent the houses that are developed?
Leaving the land undeveloped until after 1950 would be a huge waste, as it would be very bad if no profit could be generated during those fifteen years.

"Yes, I know that. It's fine. Small-scale development is fine."

Yan Kuan then led Chen Guangliang to an old house in Mong Kok, which was in dire need of reconstruction.

"These three buildings belong to an elderly man from Jinshan (an overseas Chinese who has returned to China). He now wants to develop his business in Shanghai, so he intends to sell them. The land area is 5000 square feet, and he is asking for HK$2.5. Considering that it is located at the junction of two streets (facing the street on two sides), the ground floor can also be used as a shop."

Chen Guangliang was taken aback. He was rushing to Hong Kong, while this overseas Chinese was rushing to Shanghai. Was this the difference in life's circumstances?

"Yes, if the price is right, I'll buy it, but I'll also try to negotiate a bit, considering the current market conditions."

"it is good"

5000 square feet might not be enough for high-rise residential development in the mid-to-late 1950s; therefore, it is necessary to gradually 'merge buildings' and buy up adjacent properties in advance, which will save a lot of trouble and money in the future.

Chen Guangliang will issue a document to Cheung Kong Real Estate regarding this matter, which will only be known to the management.

This piece of land in Mong Kok could conservatively have appreciated seven or eight times in value between 1947 and 1948, not even counting the commissions collected during that period. After 1937, Hong Kong experienced a wave of real estate booms, and rents also rose, so it's possible to recoup the investment in just five years through rent.

When Chen Guangliang came to Hong Kong, he naturally visited some locals, including entrepreneurs who had developed businesses in Shanghai. However, he also had many friends in Hong Kong, so he decided to take the opportunity of Ping An Bank's second anniversary of development in Hong Kong to hold a dinner party and get together with local businessmen.

Among those attending the dinner were numerous Hong Kong celebrities, including Ho Tung, Kan Tung-pu, the Kwok family of Wing On, the Ma family of Sincere, and "Theater King" Lo Kan.

If the locals knew this, they would admire how well Chan Kwong-leung was doing in Hong Kong.

Chen Guangliang, the man in question, represents the pinnacle of Chinese businessmen. His visit to Hong Kong is akin to Du Yuesheng's arrival. Even if he doesn't invite everyone, if people knew he was coming to Hong Kong for an extended period, they would still come to pay him a visit.

On the other hand, when Hong Kong businessmen learned that Chen Guangliang was coming to Hong Kong to develop his business, they were generally calm. At that time, the Chinese people across the country were relatively united and the differences between factions were not obvious. It was not until after 1947, when a large number of mainlanders poured into Hong Kong, that the competition between factions became more intense. Mainly, Cantonese people envied the wealth of Shanghai people, which led to a "gold war" that caused some Shanghai speculators to lose everything.

The banquet that evening was held at the 'Grand Hotel' by Chen Guangliang, and more than a hundred guests attended.

During this time, Lu Gen walked up to Chen Guangliang and said in a low voice, "Mr. Chen, I wonder if you have time tomorrow? I would like to talk to you about something."

Chen Guangliang thought for a moment and said, "Then let's do it tomorrow at noon."

"it is good"

Lu Gen has been making waves in the film industry in recent years. His film company, which he co-owns with Jewish partners, owns a large number of cinemas in China. At the same time, he controls the distribution of Western films. Because of this, his cinemas are always the first to screen Western films, and other cinemas that screen them in the second or third round have to be mindful of his wishes in order to obtain the screening rights.

In 1933, Lu Gen founded "Zhenye Company" in Hong Kong, which acted as an agent for film equipment from all over the world. All cinemas in China had to purchase various film equipment and replacement parts from "Zhenye".

But Lugan wasn't content with just his business in cinemas, film distribution, and film projection equipment; he wanted to build a vertically integrated film empire, from production to audience presentation.

This year, he founded Phoenix Films in Hong Kong, a company with ambitious production plans, attempting to make a significant impact on the Hong Kong film industry. Lu Gen invested a total of 2 million yuan at the time, a substantial sum, and gained national recognition.

Phoenix Film Company was established on the former site of the Lianhua Film Studio in Mingyuan Hill, North Point, Hong Kong. At the same time, Lu Gen actively recruited film talents, attracting a large influx of film professionals from Shanghai to Hong Kong. Phoenix Film Company also ran a large-scale actor training class, enrolling 200 students of all ages at once. Lu Gen aimed to cultivate a diverse range of actors for the company, so the students received substantial compensation: a monthly stipend of ten yuan upon enrollment (equivalent to six yuan for living expenses at the time), increasing to thirty yuan after three months.

Now it seems that Lugan may have encountered some trouble?
Chen Guangliang already had some guesses in his mind, but personal relationships are personal relationships and business is business, and he still had to maintain a proper balance.

That evening, Chen Guangliang also talked with people in the financial sector, including several founders of East Asia Bank and Guangdong Bank, about future development.

Jian Dongpu of East Asia Bank then asked, "Mr. Chen, given the current tight credit and economic stagnation in Shanghai, what do you think the Nanjing government should do to improve this situation, or should it just let it go?"

Chen Guangliang certainly has the right to be consulted, as he also serves as a senior economic advisor to the South Whale government.

After thinking about the question for a moment, he said, "Perhaps in the end we will have to abandon the silver standard and replace silver dollars with paper money in order to improve this situation."

The crowd was surprised, and someone asked, "When paper money is issued, there must be some kind of guarantee; otherwise, how can its status be ensured?"

Chen Guangliang said, "This naturally requires the support of major Western countries and the implementation of normal and stable transactions between currencies, so issuing paper money is also very difficult."

In fact, various banks also issue banknotes, and some private banks have obtained approval from the Ministry of Finance to issue a considerable number of banknotes.

This has many advantages, such as providing banks with more credit, but it also sows the seeds for the invasion of bureaucratic capital.

The opportunity will come if the South Whale government simply arranges for a few bureaucratic banks to send banknotes to various banks to withdraw large sums of money.

Jian Dongpu concluded by saying, "Hong Kong's financial system is affected by the Shanghai Stock Exchange, and this year has been difficult for Hong Kong as well."

Everyone nodded.

Of course, things aren't going well. There hasn't been a bank run at Bank of East Asia yet, but it's expected to happen this year. This one incident alone will lead Jian Dongpu to adopt a conservative approach at Bank of East Asia, which is also why it later failed to surpass Hang Seng Bank (Hang Seng had already surpassed Bank of East Asia before being acquired by HSBC).

When Ping An Bank expands into Hong Kong in the future, it will adopt a conservative approach. Whether it can become the first Chinese-owned bank in Hong Kong is not important; what is more important is that Chen Guangliang wants to establish his company and bank in a 'trust' or 'consortium' model.

At the gathering that evening, everyone discussed many national and business matters. Especially in business, everyone showed great respect for Chen Guangliang's status and position. (End of Chapter)