Financial anti -corruption out of the "worm" of small and medium -sized banks

"China Economic Weekly" reporter Sun Tingyang | Beijing report

Small and medium -sized banks are becoming the hardest hit area for financial anti -corruption.

In the near future, the person in charge of the Banking Insurance Supervision Department frequently mentioned the reform of small and medium -sized banks and corruption in the field.

Judging from the specific cases, both small and medium -sized bank executives have been frequently investigated and fled after illegal issuance of loans, and officials of supervisory departments have been dismissed one after another, which can be described as shocking.

Why do small and medium banks become anti -corruption areas

Recently, some reserved households reported that the difficulty of withdrawing to withdraw money in Henan's four village and township banks has caused continuous attention. The relevant person in charge of the CBRC responded at the news ventilation on May 20 that the major shareholders of these village banks used third -party platforms or absorbing public funds such as third -party platforms or through funding customers, and they were suspected of illegal crimes.

At the news ventilation, the person in charge of the China Banking Regulatory Commission introduced that since 2018, the CBRC has accumulated 627 high -risk rural small and medium -sized banks, disposing of 2.6 trillion yuan in non -performing loans, and the total amount of the previous 10 years. At the same time, 289 small and medium -sized banks received a capital injection of 133.4 billion yuan. At this stage, the overall operating conditions of village banks are relatively stable, with a non -performing loan rate of about 4%, and the coverage rate is about 110%.

However, public information shows that village banks are obviously weaker than large commercial banks. At the end of 2021, the non -performing loan ratio of large commercial banks in my country was 1.47%, and the coverage rate was 220%.

On May 17, the article "Perseverance to Resolve Major Financial Risks" mentioned that in recent years, in recent years, the reform of small and medium -sized financial institutions has made positive progress. Large and regional risks are relatively concentrated.

The article also mentioned that it has obtained important results to prevent and resolve major financial risks, resolutely investigate and deal with the corruption problems behind risk chaos, and severely punish various types of regulatory losses and illegal criminal acts. A number of major cases of a large market have been investigated and punished decisively. A group of corrupt elements who colluded with officials and merchants, the conversion of interests, and illegal occupation were ropeed by the law.

Four days before, on May 13, the CBRC revealed that since 2021, Liaoning, a heavy -dying area of ​​financial risks, has taken the "first leader" of 63 small and medium -sized banks.

Since the beginning of this year, the number of senior banks in Liaoning has also ranked first. According to the incomplete statistics of the reporter of the China Economic Weekly, since the beginning of the year, the former senior executives of small and medium banks suspected of disciplinary violations and discipline review and supervision announced by the Central Commission for Discipline Inspection and the local disciplinary inspection and inspection Committee. (As shown in the table above).

The director of the supervisory department of two rural small and medium -sized financial institutions continued to dismiss one after another

On April 22, according to the Discipline Inspection and Supervision Team of the Central Commission for Discipline Inspection and the China Banking Regulatory Commission and the Heilongjiang Provincial Commission for Discipline Inspection, Jiang Liming, director of the supervisory department of the rural small and medium -sized financial institutions of the CBRC, was suspected of serious disciplinary violations and was accepting the Central Commission for Discipline Inspection. The Discipline Inspection and Supervision Team of the CIRC and the Jiamusi Municipal Supervision Committee jointly reviewed and investigated.

Jiang Liming's resume shows that she started working in the central bank in 1985 and served as the director of the regulatory department of the Rural Small and Small Financial Institutions of the CBRC from March 2015 to November 2016.

Jiang Liming's successor Guo Hong's horses have earlier than Jiang Liming.

Four months ago, in December 2021, the Central Commission for Discipline Inspection was released. Guo Hong, former director of the regulatory department of the Rural Small and Small Banking Institutions of the Banking Insurance Regulatory Commission, was "double -opened".

From November 2016 to March 2018, Guo Hong served as the director of the regulatory department of the CBRC's rural small and medium -sized financial institutions. After the institutional reform, from August 2018 to April 2021, he served as the director of the supervision department of the Rural Small and Small Banking Institutions of the CBRC.

According to the official release, the Central Commission for Discipline Inspection and the Discipline Inspection and Supervision Group of the China Banking Regulatory Commission and the Tianjin Municipal Supervision Commission shall conduct disciplinary review and supervision investigations on Guo Hong's serious violations of discipline and law. Guo Hong's mistakes include violating work discipline, leaking inspection work information, and using his position to say hello to private business owners' loans. Guo Hong's behavior seriously violated the party's discipline, constituted serious duties of violations and suspected bribery crimes, and still did not converge or stop after the 18th National Congress of the Communist Party of China. Guo Hong "double -open". Relevant departments have transferred his suspected criminal issues to the procuratorial organs to review and prosecute in accordance with the law, and the property involved was transferred with the case.

Judging from the official release, Guo Hong's problem mainly occurred during his time as the director of the supervision department of the CBRC's rural financial institutions and the director of the supervision department of the Rural Small and Small Banking Institutions of the Banking Insurance Regulatory Commission. Why is Jiang Liming being investigated and unknown?

Jiang Liming resigned from the regulatory department of the Rural Small and Medium Financial Institutions of the Banking Regulatory Commission, and he was new to China Evergrande (3333.HK). China Evergrande introduced in the 2017 annual report that Jiang Liming is the vice president of the company and assisted in the management of the group's system funding and has more than 32 years of financial regulatory agency and banking system management experience. During the period of Jiang Liming, Evergrande acquired Shengjing Bank (2066.HK) shares and became the largest shareholder.

In February 2016, Evergrande disclosed that due to the strong financial performance of Shengjing Bank, its company acquired Shengjing Bank shares in the Hong Kong market. By June 2019, after Evergrande's company subscribed to Shengjing Bank's funding shares, Evergrande held 36.4%of Shengjing Bank's shares, becoming the largest shareholder of Shengjing Bank. However, after Evergrande's acquisition of Shengjing Bank, Shengjing Bank's financial performance was getting worse. From 2016 to 2020, Shengjing Bank's net assets yields were 15.57%, 15.55%, 9.49%, 8.06%, and 1.52%. At the same time, the non -performing loan ratio of Shengjing Bank has soared, but the coverage of non -performing loans to prevent risks from risk is declining. The preparation coverage is the bank's resistance to bad debt risks. The high -dial coverage rate is high, which generally indicates that banks have sufficient funds to resist risks; the decline in preparation coverage often indicates that banks' ability to resist risks is also declining.

From June 2016 to December 2020, Shengjing Bank's non -performing loan ratio rose from 0.53%to 3.26%. At the same time, the non -performing loan ratio of commercial banks nationwide rose from 1.49%to 1.81%. The increase is far exceeding the industry average.

In June 2016, Shengjing Bank's non -performing loan ratio was not high, but the family was strong. The coverage rate of non -performing loans was as high as 387.49%, which was 171 percentage points higher than the coverage of non -performing loans from national commercial banks.

In December 2020, when Shengjing Bank's non -performing loan ratio was high, only 114.05%left the coverage of the allocation, a decrease of 273 percentage points, which was 75.72 percentage points lower than the national commercial bank's allocation coverage.

The rating agency and the credit of the "Shengjing Bank's 2021 Tracking Rating Report" in July 2021 stated that "Shengjing Bank's anonymous customer risk exposure is high, and the proportion of customer risk exposure of non -fellow industry groups is also in the proportion of first -level capital. High levels have broken through regulatory restrictions, and we need to continue to pay attention to its large -scale centralized exposure and related risks. "

On December 31, 2020, Jiang Liming resigned as Vice President of Evergrande.

In the third quarter of 2021, Evergrande's capital chain broke. On September 29 of that year, Evergrande disclosed that its company sold Shengjing Bank to the state holding company Shenyang Shengjing Financial Holding Investment Group Co., Ltd. Shengjing Bank requires that all the income from the sale needs to be used to repay Evergrande's related debt to Shengjing Bank.

On the same day, Shengjing Bank announced that after the Shenyang SASAC's affiliated company increased its holdings of the Bank, the largest shareholder of the Bank was a state -owned shareholder, the equity structure was optimized, and the shareholders' strength was enhanced.

Shengjing Bank reported in 2021 that in the past year, it has actively optimized the equity structure. Actively solve the risk of stock, continue to increase the processing and disposal of non -performing assets, and improve the preparation of impairment preparations, and improve the capacity of allocating levels and risk coverage.

Is Jiang Liming's falling horse related to Shengjing Bank? What does it play in the Shengjing incident? These questions still have to be answered.

The female president fled after 30 billion yuan and was arrested by "Hongtong"

The operation of the major shareholder Evergrande in Shengjing Bank's incident is not alone.

At the news ventilation on May 20, the person in charge of the Banking Insurance Regulatory Commission said that considering that the chaos of shareholders 'equity was frequently exchanged in rural small and medium banks, from 2018 to 2020, the CBRC carried out a three -year special rectification of shareholders' equity, standardized and promoted improvement. Equity management and corporate governance in rural small and medium -sized bank shareholders. Increase punishment for outstanding issues such as illegal shareholding, normal operation of manipulating agencies, and use of related affiliated transactions, and other prominent issues. The cumulative restrictions on voting rights and ordering equity to more than 4,000 shareholders have been restricted to more than 4,000 shareholders.

On May 31, the CBRC disclosed the fifth batch of major violations of laws and regulations, a total of 43, of which 19 shareholders were involved in 3 rural commercial banks and 1 village and township banks in Liaoning. Six months ago, the CBRC announced that of the fourth batch of major violations of laws and regulations, four shareholders were the top 4 major shareholders of Liaoyang Rural Commercial Bank, and the shareholding ratio was close to 10%. The CBRC said that the announcement of the illegal and illegal acts of shareholders mainly includes 7 categories including illegal trading, concealment of related relationships, and severe evasion of bank debt.

On October 4, 2021, the State Supervision Commission of the Central Commission for Discipline Inspection reported that Jiang Dongmei, the former president of Liaoyang Rural Commercial Bank, was arrested and repatriated. The report disclosed that Jiang Dongmei was the deputy secretary and president of the party committee of the Liaoyang Rural Commercial Bank. He was suspected of bribery and the crime of lending loans illegally. He fled in March 2021. In April of that year, the supervisory authority of Liaoning Province investigated Jiang Dongmei. In July, it issued a red wanted order through the International Interpol Organization. Through international law enforcement cooperation, the Chinese side asked foreign law enforcement agencies to capture and repatriate it.

Jiang Dongmei said in the 2018 annual report of Liaoyang Rural Commercial Bank that in 2018, it focused on supporting the supply chain enterprise with the Liaoning Zhongwang Group as its core, and the annual loan of more than 30 billion yuan was launched, which provided a strong financial support for the transformation and upgrading of private enterprises. Local economic development has made due contributions. The report also disclosed that on July 21 of that year, bank executives went to Zhongwang Group to study for investigation. On November 30, the development of private enterprises was supported. Four joint party branches in the head bank went to Zhongwang Group for inspection.

The same annual report disclosed that the shares of the two shareholders of the bank were held by Liaoning Zhongwang Group, and two of the banks originated from the two shareholders. In 2018, the bank's loan balance was 35.4 billion yuan, an increase of 20.5 billion yuan from the beginning of the year, an increase of 138%. Liaoning Zhongwang Group is a subsidiary of China Zhongwang (01333.HK). On October 15, 2021, China Zhongwang Announcement stated that its subsidiaries Liaoyang Zhongwang Refined Aluminum Co., Ltd. and Liaoning Zhongwang Group Co., Ltd. due to major losses and operations, their subsidiaries and their subsidiaries have seriously operated difficulties. After many efforts, it is unable to rely on its own strength to solve the current problem.

The company's shares were suspended on August 30, 2021. As of June 8 this year, the stock has not resumed the transaction.

Earlier, on March 24, 2021, Liaoyang Rural Commercial Bank made 28 applications for preparatory property preservation, of which 24 parties were Zhongwang Group and related enterprises. The other four shareholders of the parties penetrated up with the Tianyan Eye APP, and eventually pointed to Zhongwang, Liaoning.

From time to time, Liaoyang Rural Commercial Bank adopted pre -litigation property preservation, and fled as Jiang Dongmei in the same month.

(This article published in "China Economic Weekly", No. 11, 2022)

The cover of the 11th issue of "China Economic Weekly" in 2022

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