Chapter 1157 The Unlucky Person
Shang-level officials began to carry out macro-control in a targeted manner. But the direction of the new year is indeed very good for enterprises.
However, in the recent stage, the expansion of private enterprises has indeed been relatively rapid. It is no wonder that there is some exaggeration. In addition, local government officials, for various purposes, often encourage these private entrepreneurs to work hard and quickly, and often fail. Big projects that cost billions or even hundreds of millions. Finally caused the economy to overheat.
The first to be affected was the electrolytic aluminum project. According to the news obtained by Fan Wubing, Oriental Group's Baotou project and Sanmenxia project have been ordered to be suspended. Officials from the Metallurgical Division of the Industrial Department of the National Reform Commission said that many of their approval procedures were incomplete. Violated relevant national laws. Relevant national departments have stopped Oriental Hope's electrolytic aluminum project in Baotou. The Sanmenxia alumina project, which provides upstream products to Baotou, has also been suspended for review. "
As with previous macro-controls, there are always some people who will become unlucky flag-sacrifiers, just like the "Fool Guazi" who appeared in the past few decades. Nian Guangjiu, the "Eight Kings of Wenzhou", etc. are now on this list of unlucky people. Another name needs to be added, that is Dai Guofang who is working hard on the Yangtze River.
What is dramatic is that Dai Guofang entered the "eye of the storm" of this regulation storm by accident.
At the beginning of the year, several Xinhua News Agency reporters conducted research in Jiangsu. The topic of their research was the land occupation issue for the construction of golf courses and university towns in various places. During an interview in Nanjing, an expert accidentally said that there was a company in Changzhou building a steel plant on the Yangtze River.
The speaker was unintentional, but the listener was intentional. The reporters intuitively believed that building a steel plant would definitely require a large amount of land, and there might also be issues with illegal land occupation. So they called the Ministry of Land and Resources and received a reply that the ministry was not aware of the project.
So, the reporters turned to Changzhou and found the steel plant site along the river.
A few days later, an article titled "Three thousand acres of land was used before expropriation." The internal reference materials of "Environmental Protection Review Before Approval" were handed over to the central high-level officials.
Soon after, the National Reform Commission, the Ministry of Land and Resources and the State Environmental Protection Administration sent an investigation team to Changzhou.
Since last year, there has been a vigorous "heavy-duty" movement among private enterprises.
The so-called heavy-duty movement is an investment boom that focuses on heavy industry.
Forty-one-year-old Dai Guofang once stood high-spirited on the long embankment on the south bank of the Yangtze River and told reporters in Mandarin with a strong southern Jiangsu accent, "Iron will surpass Baosteel within three years and catch up with Baosteel within five years." Go to Pohang.”
When he said this, he never imagined that the situation would take a turn for the worse a year later. Baosteel and Posco are the two largest steel plants in China and South Korea respectively.
Ranked fifth and third in the world respectively. Dai Guofang, who only has a primary school education, plans to build a large steel plant on the bank of the Yangtze River with an annual output of 8.4 million tons.
Dai Guofang was actually a poor boy who grew up from the grass at the age of twelve. Because his family was really poor, he had no choice but to study to earn a living. His first job was to pick up scrap metal. He seemed to have a special talent in business. Dai Guofang registered and established Jiangsu Tieben Casting Steel Co., Ltd. with a registered capital of two million yuan. "Tieben" means that starting from iron will never leave the business.
By around 2000, Tieben's factory area had expanded to 18 hectares, with more than a thousand workers. He ranked 376th on the "New Fortune" list of China's 400 richest people that year. His estimated net worth is NT$220 million.
In recent years, with the sustained high growth of the macro economy, steel prices have generally continued to rise. At the gate of Tieben Factory, large trucks from all over the country line up in a long queue every day, waiting to pick up goods. Scenes like this happen every day.
According to Dai Guofang's estimation, the domestic steel boom can last at least five to six years, and he decided to build a new larger steel plant.
Tieben's new planned primary school received enthusiastic support from the Changzhou municipal government. In the eyes of many officials in Changzhou, Dai Guofang is a trustworthy person. He lives a very frugal life, with all his family savings invested in the factory. His father and stepmother have been growing vegetables in the countryside for a living.
At the beginning, Dai Guofang's idea was not as grand as it would later be.
However, large-scale construction projects are the best way to boost the economy and increase political achievements, driven by the enthusiasm of official figures. In just six months, the scale of the Tieben project has increased from two million tons at the beginning to 8.4 million tons in the end. The scale of the project has increased from 2,000 acres to nearly 10,000 acres. The project budget has also It has reached a scale of tens of billions of yuan.
At this time, Tieben's fixed assets were 1.2 billion yuan and its net assets were less than 700 million yuan.
To launch a tens-billion-yuan project with such a capital scale is undoubtedly a small horse pulling a big cart.
However, Dai Guofang said to his subordinates, "With so much support from the local government, where can I find such a good opportunity?"
It was also after confirming the news of government support. Local banks boldly lent money to Tieben, and it suddenly received a bank credit of 4.4 billion yuan.
If a private enterprise wants to launch a steel project with an investment of tens of billions of yuan and an area of nearly 10,000 acres, it will be difficult to obtain approval from relevant central departments.
China's economic reform has always had a tradition of "breaking through". Changzhou people also tried "breaking through" methods on the Tieben project. The 8.4 million ton Tieben project was split into seven sub-projects and a terminal project. According to the report, Tieben established seven "Sino-foreign joint ventures" with only the name "Sino-foreign joint ventures" to approve construction land rights. The land was "broken into parts" and divided into 14 land applications for approval.
The Changzhou High-tech Zone Economic Development Bureau, where the project is located, approved all infrastructure projects within one day.
Dai Guofang later told reporters who came to interview him in the detention center, "All the procedures at that time were handled by the government, and we never asked about these matters. When the government said it was okay to move, we started work."
Of course, macro-control is a last resort, and Dai Guofang is not the only one who forces the top management to use this method. He is obviously not the only private entrepreneur entering the steel industry.
In the same year, Guo Guangchang of Shanghai Fosun was also planning to build a steel plant in Ningbo, Xijiang.
And in other areas. Liu Yongxing of the Liu family in Sichuan announced in Baotou that Oriental Hope Group will invest 10 billion yuan to build a million-ton aluminum and electricity integration project here.
This heavy-duty movement of private enterprises. It is still talked about many years later, and the wheels of the market seem to be rolling towards a hard monopoly zone.
You know, over the past twenty years or so. China's private capital forces made two attempts to break through ownership barriers in 1987 and 1996 but failed. This year's heavy-duty movement is already the third and most powerful collective charge.
In response to this incident, a magazine wrote passionately in the comments: "When people see that heavy industry and China's new industrialization are being aligned at the right time, private entrepreneurship and private capital are being injected into China's heavy industry. At the same time, people no longer doubt that private enterprises working in the field of heavy industry will become the strongest camp of China's private enterprises in the next few years. This round of new industrial movement with market forces as the main motivation will give birth to China's first batch of non-state-owned enterprises. A heavy industry giant who is an official and is not appointed or dismissed by the government. He only judges his merits and demerits based on the market. "
However, it is obvious that when I read this comment in the future, it will be like a dream speech from a previous life. All that was left was gasping.
Under the background of macro-control, Tieben's problems quickly changed from destroying land and occupying land to illegal construction.
This cover festival was uploaded by Pao Shu Shai Ru, a book friend.
Dai Guofang, who was in the whirlpool of events, began to become restless, and he didn't know it himself. How could things get worse and worse. In those days he spent all day running around construction sites, according to his budget. The steel plant's first blast furnace could soon be built. It can be put into production immediately. By then, the raw rice will be cooked, so there is no need to worry.
He told his men that such a big project. Once it's built, it's built, and it's impossible to tear it down with a fine at most.
However, the situation was far more serious than he imagined.
Since the announcement of the State Council, investment in heavy chemical industry projects in various places has not shown a cooling trend.
According to data from the National Bureau of Statistics, fixed asset investment nationwide in the first quarter still increased by more than 40% year-on-year, setting the highest growth rate since the mid-1990s. Among them, the investment in the steel industry increased by an astonishing 1%. One hundred and seven. At this time, the Tieben project, which was suspected of illegal land occupation, illegal construction, etc., surfaced and became the most suitable and typical target for punishment.
Faced with a massive investigation, Dai Guofang, who had never dealt with a big scene, was in chaos. He and his advisers naively believed. Iron-based problems may be solved with money. then. He submitted a self-examination report to his superiors. It was internally stated that the company conducted a self-financial inspection when being investigated by relevant national departments for illegal investment and illegal land use, and discovered illegal problems in the operation process. Since the establishment of the company in the year 2000, the company has started from Changzhou Material Recycling Company and Wujin Material Recycling Co., Ltd. The company purchased scrap steel worth more than one billion yuan. Among them, there were nearly 200 million yuan in false invoices. The amount of tax deduction is nearly 20 million yuan, and the legal representative Dai Guofang should bear relevant responsibilities for his negligence in management.
This is a self-examination report for the purpose of losing money and eliminating disasters. It was Dai Guofang's last effort to save Tieben. He promptly remits the tax deduction to the local IRS.
To his surprise, it was this self-examination report that became the most powerful evidence for the prosecution.
Changzhou City, which was under tremendous pressure, formed a leading group for the clean-up of the Tieben project and issued an emergency stop-work order.
Soon, the leaders of the State Council arrived in Suzhou, and the Changzhou Municipal Party Committee Secretary and Mayor were summoned to report on the Iron Ben project and the problems it caused. Then, a special inspection team composed of nine ministries and commissions rushed to Changzhou to conduct a comprehensive inspection of the iron project.
This is the second time since the "Liushi Incident" in Wenzhou in 1991 that central ministries and commissions have carried out an unprecedented joint action against a local project.
Then, Dai Guofang, his wife, father-in-law and others were taken away by the police on suspicion of tax evasion, and the amount may be huge.
Then, nine ministries and commissions reported the investigation and handling at the executive meeting of the State Council and characterized it. They believed that this was a typical major case in which local governments and relevant departments seriously neglected their duties and violated regulations, and enterprises were suspected of illegal crimes.
The next day, Xinhua News Agency broadcast the announcement to the whole country. Listed the five major problems identified by the joint investigation team: the local government and relevant departments seriously violated relevant national laws and regulations and exceeded their authority by splitting and approving projects with an investment of up to 10.6 billion yuan on 22 occasions; illegally approving land expropriation for six 1,541 acres, illegal organizations carried out violent demolition; Tieben Company defrauded bank credit and loans by providing false financial statements, and misappropriated more than 2 billion yuan in bank working capital loans for fixed asset investment; relevant financial institutions seriously violated National regulations on loan review and cash management for fixed asset loans; Tieben Company engaged in massive tax evasion.
The administrative handling of the Tieben incident was also unprecedented, with eight government leaders and bank officials being severely punished. in. The secretary of the Changzhou Municipal Party Committee was given a serious warning within the party; the deputy director of the Changzhou Municipal People's Congress was dismissed and given probation as a party member; the secretary of the Yangzhong Municipal Party Committee was dismissed; the deputy director of the Jiangsu Provincial Department of Land and Resources, the deputy director of the Provincial Reform Commission, and the Changzhou Branch of Bank of China Zhang was dismissed or ordered to resign, and Dai Guofang's property was seized.
After Fan Heng finished dealing with these things. When I returned home, I mentioned this matter to Fan Wubing.
"Actually, this matter has something to do with the instigation of local officials." After hearing this, Fan Wubing said. He immediately grasped the most critical thing, "Local government officials will do anything for the sake of political performance and reputation. This is also expected."
Another point is that naturally the domestic real estate market is developing rapidly, so the demand gap for steel is very large. Taking advantage of this good opportunity, everyone wants to take the first step and seize the market, so this time private enterprises are heavy-duty. The movement is actually just about everyone trying to squeeze out the market of traditional state-owned enterprises.
"But in this matter, the company does have problems." Fan Heng also needs to point out other problems here, "Illegal projects are illegal projects. No matter how local government officials incite, entrepreneurs themselves have no awareness of operating in a law-abiding manner. That’s what caused the ultimate consequences.”
"But then again, if local officials encourage entrepreneurs to embark on big projects and actively provide land and loans, not to mention who can resist this temptation, even if they have the guts not to make money, they don't have the guts to refuse the officials. Their good intentions affect other people's political performance, right?" Fan Wubing revealed the influence of officials on local private enterprises.
In fact, this is indeed the case. If you want to make a big show in the local area, you can't do it without the support of government officials. After all, there are not many companies in the country like Fan Investment Group, which don't need to worry about development funds at all.
As long as you ask for something, someone will inevitably touch your neck. If something happens, no one can run away.
But Fan Wubing felt that this matter was too high. Local government responsibilities account for 80%, and entrepreneurs can only account for 20% at most. The current handling opinions are actually a bit biased.
However, he also understood that this was a way of showing the chicken to the monkey, and someone would always come out and be the victim. "Today's first update is sent to...a call