In name only: I will break the chess game in Handong

"You can't hit someone who's smiling," Chen Luo calmly extended a hand, shook hands with the person, and then let go after only a few seconds.

"Mr. Xu, let's skip the formalities and go upstairs to find a quiet place to talk."

"Yes, yes, Governor Chen, please come with me, you and the other leaders!"

Upon entering the elevator, we were taken directly to the 29th floor, the highest floor rented by Hengda Group. This floor also houses Chairman Xu Yin's office and some recreational facilities.

For example, right now, as Chen Luo and his group stepped out of the elevator, they were greeted by a group of beautiful women, all with long legs, perfect figures, and exquisite faces.

After the elevator doors opened, the members of the song and dance troupe lined up neatly on both sides and said in unison, "Welcome Governor Chen and other leaders of the provincial government to inspect our work!"

Chen Luo glanced at Xu Yin beside him, who simply smiled and said, "Governor Chen, these are all from our company's dance troupe. We invite our business partners to watch our dance performances when they visit..."

Chen Luo certainly didn't believe this explanation, but he didn't expose it either; if it exists, it must have a reason.

"I don't care about what you're saying. I just want to find a quiet place to have a proper talk with you, Mr. Xu!"

Xu Yin saw Chen Luo's expression clearly.

He smiled and nodded, then waved to the members of the song and dance troupe and said, "You can all go down now!"

The group went straight to Xu Yin's office, which was nearly 400 square meters in size and so luxurious that it was hard for most people to imagine.

Chen Luo was accompanied by only a few people: Tang Ning, Qiu Kai, Shenzhen Party Secretary Kang Jingmin, their respective secretaries, and Jiang Cun, the director of the Provincial Audit Office!

After they sat down, Xu Yin's secretary first made a cup of hot tea for Chen Nuo and the others. Before Xu Yin could speak, Chen Luo explained the purpose of their visit.

“Mr. Xu Yin, I didn’t come to Shenzhen just to wander around aimlessly. There are no outsiders here. Tell me the truth, how long can your group’s current debt situation last?”

In short, it directly tears away the fig leaf of all the glamorous exteriors.

This caused Xu Yin, who was originally smiling, to freeze in place.

"Governor Chen, I...I don't understand what you're saying!"

Xu Yin tried to play dumb, but Chen Luo just shook his head slightly and continued to speak frankly: "If you keep trying to fool me and think you can hide it like this, then I might as well tell you that with just one phone call, I can get the police in Shenzhen to arrest you on charges of illegal fundraising fraud!"

I came to Shenzhen to resolve a problem. I hope you won't try to fool me; tell me the truth, and perhaps the problem can be mitigated.

These words immediately stunned Xu Yin.

Tang Ning and Qiu Kai exchanged a glance, clearly not having heard Chen Luo mention this beforehand either. Kang Jingmin stared wide-eyed, looking utterly incredulous.

Upon meeting Chen Luo's gaze, Xu Yin was the first to concede defeat.

"Governor Chen...you already know?"

"I understand the general situation, but I don't know the specific details. However, what I do know is that your group is currently insolvent. It's hard to say exactly how much you owe or how long you can hold on."

Of course, I also know that you have already planned to run away and have transferred billions of assets overseas.

Your wife and children have also been sent abroad, right?

Upon hearing this, Xu Yin smiled nonchalantly.

"Governor Chen, you were able to find out all of this. It seems we can't hide it anymore. Indeed, the group is now insolvent."

We owe the banks far too much money; the group can't even pay the interest now... If I don't run, am I supposed to just wait to die?

Chapter 444 presents some essentially unsolvable situations.

Xu Yin's eyes were already red...

He slumped back into the chair behind him, looking rather pathetic, and then began to sigh heavily.

Chen Luo frowned, and the scene became unusually silent for a moment.

“If you don’t resolve some issues, you’re destined to spend the rest of your life in jail, and your wife and children won’t be able to live peacefully abroad for the rest of their lives. You must know that!”

Chen Luo's words pierced Xu Yin's heart like a needle, causing him to sit up straight instantly.

"I didn't want this either! But they..."

Upon hearing this, Chen Luo narrowed his eyes instantly.

"Let's leave aside the monsters and demons behind you for now and talk about your group's debt situation."

I want to hear the most authentic data!

Xu Yin was somewhat exhausted, but he still forced himself to recount the situation of Hengda Group.

"Governor Chen, the group's total liabilities are currently around two trillion yuan, of which contract liabilities are about 6000 billion yuan."

Accounts payable for construction projects, commercial bills, and outstanding payments to suppliers amount to approximately 10000 trillion yuan.

Financial liabilities, including those from banks and trust companies, amount to approximately 6200 billion yuan.

Upon hearing this, among those standing next to Chen Luo, Tang Ning and Qiu Kai, the most anxious person was none other than Kang Jingmin, the Party Secretary of Shenzhen. This debt was an astronomical figure!

Once the bombshell explodes... people can't even imagine how much public outcry it will cause; public opinion is secondary.

More importantly, this will have an unprecedented impact on the real estate industry and economic development!

This has become a sign of the decline of the real estate industry!

"Wow! You're really brave."

Two trillion. There are no outsiders here. Could you explain it more clearly?

How much of that two trillion yuan deficit ended up in other people's pockets?

This blunt question completely baffled Xu Yin.

She stared at Chen Luo with wide eyes, clearly feeling that Chen Luo's question was somewhat presumptuous.

"Don't look at me like that. I'll ask you questions, and you'll answer. Being straightforward will only do you good and no harm."

I don't believe that you, Xu Yin, who rose from humble beginnings to where you are today, would be a fool.

They will watch helplessly as the business empire they built with their own hands heads toward the abyss.

Whether those people are holding a gun to your head or exploiting your weaknesses, the point is, you've been honest with me about the situation, so the pressure naturally falls on me.

Do you get me?"

Xu Yin nodded blankly, then said quietly, "Take bank loans for example. These banks and trust institutions are not unaware of the financial situation of our Hengda Group."

According to normal procedures, our group would have been unable to borrow a single penny long ago, but the bank was very willing to lend to us because of the commission it would take.

Of the 100 million loan, only about 95 million actually reached our company; the remaining 5% was allocated internally by the bank.

This isn't new information; I'm sure Governor Chen, you also know some of the inside details.

Chen Luo nodded, "I know most of that, but five percentage points is still quite high..."

"Ha, they all treat me like a fat pig to be slaughtered, knowing that if they don't lend money, the group will go bankrupt and collapse..."

"What about trusts? Are they used for money laundering?"

Chen Luo asked even more directly...

"Governor Chen, since you already know..."

"I want to know more detailed things, such as who usually does the washing."

"This is too much. Anyway, we can get a 20% cashback for helping them launder money from our group. But these bastards probably didn't expect me to be unable to hold on so quickly."

These are the main points.

The rest, some project payments, supplier payments, these project owners and suppliers are basically people with connections.

Some are the sons of some official, some are the brothers of some leader—a motley crew. Anyway, our group accepts everyone; I owe these people the most!

At this point, Xu Yin sighed again.

"The people we feel most sorry for are the ordinary people."

"The funds raised from issuing corporate bonds, plus the pre-sale proceeds and other expenses—these hundreds of billions of yuan—are something I, Xu Yin, have failed them for!"

Having said all that, the reasons for Hengda Group's financial collapse are basically clear.

So-called investment mistakes include losing 100 to 200 billion yuan in car manufacturing and claiming to have invested 80 billion yuan in tourist attractions.

These are mostly just empty slogans; the actual amount of money invested is probably less than one-tenth.

Is Xu Yin stupid, and are the other high-ranking officials at Hengda University also stupid?

Who would do something that's obviously likely to result in a loss?

The goal is to launder money, to siphon off tainted funds through this method, leaving the company with the bad reputation while the individuals reap the benefits, ultimately resulting in a complete mess.

Hearing this, Chen Luo didn't press the matter further, but seeing Xu Yin's aggrieved look made him angry.

"Alright, alright, now you're scared? Where were you before? It's undeniable that what you said is a major reason why you've gotten to where you are now, but you're not innocent either!"

You've done things like indulging in luxury and pleasure, haven't you?

Did you devise this strategy of frantically acquiring land?

You secretly arranged for your wife and children to flee abroad, didn't you? What are you complaining about? You're not innocent either.

The truly innocent victims are the ordinary people who bought your houses. They paid the money but didn't receive the houses, and the projects were abandoned.

And what about the workers on those construction projects? If you don't pay them for their work, how can those greedy guys expect to?

It's just shifting the blame onto you. Ultimately, it's the ordinary people who suffer!

These words silenced Xu Yingan, leaving him no room for argument.

“Governor Chen, I agree with everything you’ve said!”

But the situation is already like this; the building is on the verge of collapse, and I really have no other choice.

Hearing this, Chen Luo shook his head. There was definitely no chance to save Hengda now, unless some sucker was willing to invest trillions of yuan into the scheme.

However, this is only a drop in the ocean. Hengda's real problem is that the peak of the real estate industry has passed, and in the future, housing prices will only gradually stabilize or even continue to decline.

This trend is unstoppable, given the declining population and decreasing housing demand.

The only remedy is to bail out the ordinary people at the bottom of society, take over the mess of unfinished buildings, and provide them with a safety net.

However, this approach also presents problems. The government absolutely cannot simply bail them out; otherwise, other real estate developers will see this and think, "Hey? Hengda has the government backing them up even when they do this, won't they become even more unscrupulous?"

Therefore, the problem remains largely unsolved.

There are very few private enterprises that can cover Hengda's current difficulties... It's not that there are none at all, but they are extremely rare!