I'm in the county town, and you say I'm a big shot?

Chapter 605 Wouldn't that make it like Tang Sanzang's flesh? Everyone would want to take a bite!
The 5.2 million yuan road construction loan from the city investment company was initially agreed to be financed using a large area of ​​public land in the southern part of the new urban area as collateral.

Land mortgage financing is a financing method that uses land use rights as collateral to obtain funds, and it is an important part of local government "land finance".

This practice was very common during that era. Especially in more developed areas of the east, such as Jinghai, the scale of land mortgage loans exceeded the scale of land sales.

Fang Qingye was surprised to suddenly hear that land could not be used as collateral.

"The city held a special meeting two days ago, requiring strict implementation of Document No. 463 jointly issued by the four ministries, which prohibits the use of allocated land as collateral," Li Jinyang explained.

oh.
The document No. 463 mentioned by Li Jinyang is the "Notice on Curbing Illegal and Irregular Financing Activities of Local Governments" jointly issued by the Ministry of Finance and other four ministries at the end of last year (2013).

The document explicitly stipulates that "local governments at all levels must strictly regulate the management of land reserve institutions and land financing activities in accordance with relevant regulations, and shall not authorize financing platform companies to undertake land reserve functions or conduct land reserve financing, nor shall they use land reserve loans for urban construction or other projects unrelated to land reserve business."

Although the document has been issued for more than half a year, its implementation varies from place to place. The counties in Jinghai area have not strictly implemented it, and the Ginkgo Avenue still uses allocated land as collateral for loans.

It seems the higher-ups are serious!
"If land cannot be used as collateral, Mr. Duan, what are you planning to use as collateral or guarantee?" Fang Qingye asked.

"Use the credit guarantee of the urban investment company."

What the hell!

Guarantee it with your company's reputation?!

Do you think I don't know that your local government financing vehicle company's debt has multiplied in recent years?!

Seeing that Fang Qingye remained silent, Duan Bo continued, "President Fang, what are you worried about? The city investment company is backed by the county government. Are you worried that the county government will default on its debts?!"

That's a difficult question to answer.

They might not renege on their debt, but what if they just keep delaying payment?
Now you're begging me, but later I'll be chasing after you begging!
Fang Qingye was very suspicious that the two of them had probably run into a brick wall when they tried to get credit guarantee loans from other banks.

Bank presidents these days are all incredibly shrewd.

Of course, this couldn't be said directly. Fang Qingye explained, "It's not that I'm worried about the county government defaulting on its debts, but Jinghai Bank has an explicit internal regulation: it does not accept any institution's credit guarantee; there must be physical collateral or securities as collateral."

"It seems you still don't trust the county government, or Secretary Lu and County Chief Wang," Duan Bo said with a sneer.

Hearing Duan Bo say this, Fang Qingye didn't hold back either. He looked at Duan Bo and his tone became cold: "Mr. Duan, let me first correct a misconception of yours. Even if it is a credit guarantee, it is a certain level of government that guarantees with its own credit, not a certain leader who guarantees with his own credit!"

At this point, Fang Qingye paused, a playful smile appearing on his face: "President Duan, according to you, Secretary Lu and County Head Wang are going to stay in Nanxin and not leave?!"

"you?!"

This doesn't sound like much, but upon closer inspection, it's a big problem.

The loan repayment period is 8 years, which means the current Party Secretary and County Head will have to stay in Nanxin for 8 years? Are you implying that they can't be allowed to advance?!

Upon hearing this, Duan Bo realized that this kid was digging a hole for himself.

I wonder what the leaders will think if this gets back to them?
"Nonsense, I didn't mean that!" Duan Bo quickly clarified.

Seeing that the two were at odds, Li Jinyang immediately tried to smooth things over.

"Stop arguing, you've gone off on a tangent. Let's think of another solution."

Duan Bo, still seemingly angry, continued to speak harshly: "President Fang, don't forget, the City Investment Company is also a shareholder of Jinghai Bank! Jinghai Bank isn't ruled by you alone!" "Is that so?" Fang Qingye sneered, "What? You want to hold a shareholders' meeting to remove me? Too bad you only have 20% of the shares, you don't have that ability!"

"Besides, since you know that the Urban Investment Company is a shareholder of Jinghai Bank, why are you still doing this? Do you also want to follow the same path as Baoshang Bank and let Jinghai Bank go down the same old road as Nanxin Rural Bank?!"

It's worth noting that Nanxin Rural Bank was emptied out by its major shareholder, Baoshang Bank, back then! It was only in the end that it had to be restructured, and Fang Qingye's Tuofang Technology took over this mess.

Duan Bo was also aware of this history, so when he heard Fang Qingye accuse him of this again, he stood up angrily and shouted, "Fine, you're something else. I can't argue with you. I'm going to report this to County Chief Wang!"

"Whatever." Fang Qingye said indifferently.

Duan Bo stormed off. Li Jinyang sighed, said goodbye to Fang Qingye, and then left.

He secretly regretted coming to Fang Qingye's place with Duan Bo today; wasn't this just asking for humiliation?
No wonder some people say that Fang Qingye is very powerful now, and he doesn't give face to anyone except the Party Secretary and the County Head.

Sure enough, even though he was sitting there as the deputy county head, he was still embarrassed.

After finishing get off work in the afternoon, Fang Qingye took Wangcai for a walk in the nursery as usual after dinner. She heard Wangcai bark twice towards the nursery gate, then wag its tail and run over. Fang Qingye saw that it was her second uncle, Fang Jianhua, who was carrying a briefcase and hurriedly entering the nursery.

"Xiao Ye, going for a walk?"

"Yes, Second Uncle."

Fang Qingye greeted her with a smile.

“This afternoon, County Chief Wang asked me to go to his place,” Fang Jianhua said.

"County Chief Wang?"

Fang Qingye suddenly thought of something: "Could it be that County Chief Li and Duan Bo went to County Chief Wang to complain about me?"

"I didn't file a complaint; I just reflected on the problems that the city investment company is currently facing," Fang Jianhua said.

"cut"

Fang Jianhua phrased it tactfully, but Fang Qingye understood perfectly well.

"Second Uncle, don't even mention their attempts to cover for us. They come to me to borrow money, and the attitude they have is like, 'Does borrowing money these days really make you a king?' I haven't even lent them money yet, and they still treat me like this. What will happen if I do lend them money?!"

“I know, County Chief Wang also criticized them,” Fang Jianhua quickly added, “but the problem hasn’t been solved yet.”

"My stance is very clear: loans are possible, but collateral is mandatory! Jinghai Bank is a small bank with close ties to the local government. If we don't adhere to this bottom line, wouldn't it become a tempting target for everyone?!"

"Look at the county rural commercial bank now, it's riddled with bad debts, and a lot of them are related to the government!"

"Yes, but the city investment company is also heavily indebted now. They used to be able to acquire land, but now they're not allowed to, so they really can't offer any collateral," Fang Jianhua sighed.

Fang Qingye thought for a moment and said, "I have a solution. We can use the shares of the city investment company in Jinghai Bank as collateral."

"The city investment company is mortgaging its shares in Jinghai Bank to Jinghai Bank? Is that even possible?!" Fang Jianhua was very surprised.

"It's not mortgaged to Jinghai Bank, it's mortgaged to Tuofang Technology. We're borrowing money from Tuofang Technology," Fang Qingye said slowly.

(End of this chapter)