Tokyo Barrister: Start the law firm bankruptcy

Chapter 875 Nightmare

Time passed day by day. A week had passed since the hearing. Nippon Steel, Future Space, banks, the cabinet, and all stakeholders were almost certain that the Tokyo High Court would not make a decision on whether Nippon Steel met the bankruptcy conditions in the short term.

The more experienced people are, the more likely they are to make this judgment.

The best strategy the court can adopt is to delay the case for a while, then take a cold approach and wait for changes in Nippon Steel's business conditions. There is no reason for the Tokyo High Court not to do so. Nippon Steel and the various forces operating in secret around this steel company seem to think that the court will remain silent.

However, on Friday of this week——

Suddenly, courts around the world received bankruptcy applications against Nippon Steel's overseas operating entities. In an instant, many overseas courts issued notices. These bankruptcy applications were transmitted to the headquarters through Nippon Steel's overseas operating entities.

No one would have thought that such a thing would happen. Those working in Nippon Steel's overseas branches certainly knew that the headquarters was having trouble operating. However, Nippon Steel's overseas branches held a large amount of US dollars after all. These US dollars were created by the glorious export in the past.

Although these US dollars are not enough to repay the interest, they are enough to ensure that the managers and employees of Nippon Steel's overseas institutions have a generous income when Nippon Steel collapses, whether they continue to work or receive high severance pay.

At the same time, some people in Nippon Steel's overseas offices who understand the law are not even worried about the bankruptcy review that the headquarters is facing. After all, even if they file for bankruptcy, it will be difficult for the Japanese courts to reach out to Nippon Steel's overseas assets.

In particular, they also made certain "conceals" about the asset status of overseas branches.

The accounting cover-up techniques used were not very sophisticated and were even a bit crude.

However, it was enough for Toyo accountants who were unable to conduct on-site verification.

These overseas branches concealed part of Nippon Steel's assets and used them as their own piggy banks.

Anyway, businesses are in a difficult situation.

No matter how hard their overseas production bases try, it will be in vain.

No matter how much foreign exchange income they generate, it cannot fill the hole of Nippon Steel.

The hole can't be filled.

But it can allow individuals to have a comfortable and decent life.

It would be better to just divide up these overseas income quietly.

This is the real thinking of the vast majority of Nippon Steel's overseas branches.

Therefore, after hearing that the headquarters was in trouble and might go bankrupt, the overseas branches were indifferent. Or they could finally breathe a sigh of relief, not feel guilty, and make a fortune at a time when the building was about to collapse.

However, this beautiful idea was soon shattered.

Yes, it is from Beiyuan.

Kitahara filed for bankruptcy against more than 30 of Nippon Steel's overseas production bases. Overseas court documents immediately filled the mailboxes of these overseas branches like snowflakes.

Oriental people's English is not good.

Even in overseas branches, there are only a few people who are proficient in English.

Most of them spoke broken English, with a few common industry terms, and prepared pre-formatted documents to deal with overseas production. At first, when the overseas branch received these court letters, some employees even carelessly treated them as advertising letters from unknown companies. It was not until someone found the local court's emblem on them that these overseas employees became nervous.

After opening it, the English-speaking colleague carefully studied it and found that it was actually a bankruptcy application. Moreover, the object of the bankruptcy application was an overseas production base! Instantly, the managers of these overseas branches panicked. Their poor skills in falsifying accounts could not be hidden from the local overseas law enforcement officers.

Bankruptcy filing notice issued by the local court -

This means that the overseas assets of overseas branches are likely to be directly frozen.

At the same time, the administrator appointed by the local court will conduct an audit of these overseas branches.

In this case, who knows how many scandals will be exposed.

That's how terrible it is.

When many managers of Nippon Steel's overseas branches understood what the bankruptcy notice issued by the local court meant, their faces turned pale and their hands even began to tremble. Many managers of overseas branches no longer knew what to do.

Usually, he is used to being a local lord.

Now, faced with sudden changes overseas, we are at a loss.

However, no matter how little we know, this information must always be transmitted back to the headquarters.

First, an overseas operating entity in Chile, South America, was the first to send a bankruptcy notice to Nippon Steel from the local court. Then came the second, third, fourth... More and more overseas branches, all of which urgently sent legal documents issued by the local courts.

How did headquarters react?

At this time, the headquarters of Nippon Steel was still busy introducing Future Space as a strategic investor and new financing plans. Although the Tokyo High Court is currently reviewing the bankruptcy application, Nippon Steel still decided to continue to force the project. If it can be done in the end, it will be equivalent to a disguised "reorganization plan", and the court should be happy to see it.

When Nippon Steel's headquarters received the first overseas bankruptcy application, they did not take it seriously.

After all, Nippon Steel is under review for bankruptcy applications in its home country.

So, what should we pay attention to if overseas creditors also make similar applications?

The staff at the Nippon Steel headquarters did not have sufficient legal knowledge to realize that the bankruptcy declaration by an overseas court would have an effect on the property in Japan. At first, the Nippon Steel headquarters even wanted to make a big deal out of a small matter. However, when they received bankruptcy applications from more than 30 overseas courts instead of just one, the headquarters staff panicked.

They then passed the matter on to the legal team.

Originally, the headquarters staff had not thought about the need to report directly to the chairman.

The three lawyers from the legal team, Tamashiro, Tanimoto, and Abe, were shocked when they saw so many bankruptcy filing notices from overseas courts. As experienced bankruptcy lawyers, they certainly knew what this meant. They immediately drafted a report to the top management of Nippon Steel in the shortest possible time - of course, not just Nippon Steel, but also Future Space, banks, and the cabinet.

These bankruptcy applications in overseas courts are a nightmare!

(End of this chapter)