Tokyo Barrister: Start the law firm bankruptcy

Chapter 658: Invisible Net (I)

Kitahara didn't want to involve Miyakawa in his affairs. Thinking back, he rashly followed Miyakawa to her father's place. Perhaps, from the beginning, this decision was wrong. It would lead to unpredictable consequences.

As they spent more time together at the law firm, their relationship gradually deepened. For no reason, she was dragged into the incident.

It's time to let her go.

Kitahara thought so.

The life-and-death gunfight in Kyoto and the scene where Yuuki was pierced by Eto's shotgun were still vivid in his mind. Finally, the bloody scene of the Shinkansen collision was full of human remains. That kind of scene was like purgatory on earth, and he would never let Miyakawa in front of him experience it.

Kitahara was about to refuse outright, but at this moment, Miyakawa met his gaze and said:
"Are you afraid of implicating me, Kitahara?"

"I can tell you that I'm already involved." Miyakawa said suddenly.

Kitahara was a little caught off guard when he heard what Miyakawa said. The girl in front of him suddenly said that she was also involved in this incident. What happened? Kitahara was a little bit overwhelmed for a moment. At the moment, even after a lot of investigations, he was still in a fog, and all the information about the enemy was too scarce.

Miyakawa looked at him for about ten seconds before he spoke: "It's my father. Something is going to happen to my father's law firm. Kitahara, the first incident you encountered was the 500 million yen copper warehouse receipt pledge incident."

The 500 million yen warehouse receipt pledge incident was the origin of a series of changes in Kitahara.

A large amount of copper stored at the Wakasu Pier in Tokyo Port disappeared.

The corresponding pledged warehouse receipts were stolen by Jiang Teng.

After a hard investigation, Kitahara initially determined that this was probably a case of circular pledge of copper. The copper should still be in a warehouse somewhere in Tokyo Bay. It was just that this batch of copper was repeatedly pledged to the bank to defraud loans. Someone must have forged a fake warehouse receipt for the same batch of copper, which far exceeded the actual amount of copper. The role played by Eto was to endorse these fake warehouse receipts as a lawyer, helping the person behind the scenes to defraud bank loans.

"My father's law firm's factoring business is in trouble now. It's related to copper warehouse receipts." Miyakawa said calmly.

This news was no less than a landmine suddenly exploding on the ground.

When the Tokyo Securities Regulatory Bureau first raided Eto Law Firm, they specifically sought the endorsement of the Tokyo Bar Association. Ikegami, the vice president of the Tokyo Bar Association, and Imanishi, the director of the Bar Association and Miyakawa's father, were also present. Afterwards, Imanishi took the two back to his law firm and gave them a good lesson.

It was at that time that Kitahara specifically asked Imanishi whether the copper warehouse receipt pledge business was growing rapidly in order to confirm his view that the copper warehouse receipt pledge incident was a circular pledge. At that time, Imanishi's answer was no. However, Kitahara soon noticed that Imanishi's factoring business was expanding rapidly, and it was the copper import and export trade activities that supported the expansion of Imanishi's factoring business.

"What's going on?" Kitahara asked.

Kitahara had not expected that the incident that had originally only occurred to him would gradually begin to affect the people around him.

"My father started to expand the factoring business about two and a half years ago," said Miyakawa. "You also learned about it when you came to my father's law firm last time. For some accounts receivable of copper imports and exports, traders use these accounts receivable to transfer to banks for money, which is factoring. The credit of these accounts receivable is essentially based on copper warehouse receipts."

"Now there's a problem," Miyakawa said.

"What's the problem?" Kitahara asked immediately. "The first batch of problems was the transfer of accounts receivable between copper trading companies," said Miyakawa.

"Let me explain it briefly. After some copper traders in Japan import copper, they resell it to domestic copper producers. This generates accounts receivable from the copper producers. Initially, in order to get the money back as soon as possible, these copper import and export companies would seek the help of lawyers to mortgage or transfer these accounts receivable to banks, so that they could realize the accounts receivable before the due date. This is the so-called factoring business."

"My father's newly developed factoring business is related to this aspect. Later, some copper trading import and export companies had poor credit, and banks were unwilling to accept their accounts receivable. Therefore, these copper trading companies with relatively low credit transferred these accounts receivable to copper trading companies with high credit, and then these copper trading companies with high credit transferred them to banks for cash."

"So, these copper trading companies with high credit are like second-hand dealers. They purchase accounts receivable with relatively low credit from other copper trading companies, and then package and sell them to banks or use them as collateral," said Kitahara.

Gongchuan nodded, "Yes. Later, copper companies that specialize in purchasing these accounts receivable appeared. As long as they can lower the price of 100 yuan of accounts receivable to 60 yuan, or even 50 yuan, then after the acquisition, these accounts receivable can be transferred at 65 yuan. In this way, these copper companies that act as middlemen will earn the interest rate difference for free."

"After that, this model became more and more popular," said Miyakawa. "The core development of factoring business is no longer about transferring accounts receivable to banks on behalf of copper companies and completing the legal process for them. The development direction of the trend is to draft business for copper trading companies to acquire accounts receivable from other trading companies."

In Miyagawa's narration, Kitahara seemed to see an economic madness.

Copper trading companies with good credit buy accounts receivable from companies with poor credit at low prices.

Anyway, these companies with poor credit are also in urgent need of money.

Then, these copper companies with good credit use their own credit as endorsement to transfer the accounts receivable received at low prices to the bank.

Just by transferring the property once, you can make a profit for free.

6◇9◇Book◇Bar

It's like money raining from the sky.

Beiyuan knew very well that all the bosses of these import and export businesses were ruthless and risky.

After all, bosses who dare to do business with strange companies in strange countries are extremely courageous.

Nowadays, money is being showered upon us for free, and given the tough personalities of these foreign trade bosses, they will definitely go crazy to grab it.

In Miyakawa's narration, Kitahara seemed to have witnessed the madness of Tokyo Bay Copper. The big copper trading companies desperately went around collecting the accounts receivable of other copper companies.

The phone kept ringing in the office.

Even the usually arrogant bank clerks came to provide service.

All these scenes seemed to be vividly reproduced before Kitahara's eyes——

A spectacular economic bubble in the Tokyo Bay copper trade!

(End of this chapter)