"Rich Birds" Hanging On The Line, Deputy Director Is Arrested.

The Hong Kong listed companies, which has been selling well and renowned at home and abroad, is now ruled by the court for bankruptcy reorganization.

Although many organizations such as Beijing China commercial investment company have discussed the reorganization of the "riches and birds" matters, but because the Fujian provincial government of Shishi group's subsidiary company six wins Asset Management Co (hereinafter referred to as the "six wins company") took over the "integration", or even disposed of assets at a low price, so that the road of rebirth of "rich birds" remained unchanged.

Informed sources said that in March 26, 2019, the government of Shishi suddenly declared that the company was withdrawing from the six wins, and the "bird of fortune" was pferred to bankruptcy liquidation 20 days later.

A few days ago, a reporter's on-the-spot investigation found that during the critical period of bankruptcy and reorganization of the "bird of fortune", one of the founders of the company, the former vice chairman of the company, Lin and lion, had lost their freedom for life for over a year.

Founded in the 90s of last century, Fujian riches and bird group started with casual shoes and developed into well-known enterprises in clothing, shoes and caps.

Under the leadership of Lin family, Lin and lion, the "bird of wealth" reached its peak in 2012. At that time, with more than 2000 brand stores and operating income of over 20 billion yuan, it became the top third business casual shoes in China.

General secretary Xi Jinping inspected the "rich and precious birds" for the two time, giving the private enterprise a cordial care and high hopes.

In December 20, 2013, "fortune bird" was listed on the main board of Hongkong stock exchange.

However, only two years later, under the background of the domestic macro-economic downturn, the performance of "rich birds" also began to decline.

Public financial information showed that the net profit of "rich birds" in 2015 was 392 million yuan, a decrease of 13.09% compared with the same period last year, and net profit of 163 million yuan in 2016, a decrease of about 59.16% compared with the same period last year.

During this period, "rich birds" tried to diversify rapidly for pformation and upgrading, but involved in unfamiliar financial, real estate, mining and other business sectors.

After the failure of diversified investment, the financial chain of "riches and birds" continued to deteriorate, and even the mid 2016 financial report, annual financial report and 2017 financial report were not disclosed on schedule.

Public information shows that in 2018, "rich birds" and their subsidiaries had a large amount of violation of external guarantee matters and capital lending matters, at least 4 billion 900 million yuan assets may not be recovered.

Until July of the same year, the "14 riches and birds" 800 million yuan principal and interest were underwritten by Guotai Junan Securities. The "bird of wealth" was brought to the Quanzhou intermediate people's Court of Fujian province for bankruptcy reorganization.

It is understood that the total debt of the "rich birds" is about 3 billion yuan, while the "bankruptcy" administrator of the "bird of wealth" has received 342 claims from the main body, amounting to 4 billion 668 million yuan.

At present, the initial valuation of the company is only 3 to 400 million yuan, while shareholders insist that the value of the physical assets and intangible assets of the company amount to 6 billion yuan.

It is understood that as of the end of December 2018, the relevant departments of Shishi sent a working group to take protective measures to acquire the land assets of "rich birds" by the company of six wins, so that "rich birds" can be produced normally.

Related financial information shows that in 2018, the company's sales volume was about 700 million yuan, and it paid more than 5000 yuan.

Until the reporter interviewed, "rich birds" shoes and clothing production and sales plate is still as usual.

Prior to the bankruptcy rulings of the "fortune bird" by the court, the company successfully began to operate the "bird of wealth". It bought and sold the land value of 800 million yuan and the above ground property at a low price of 383 million yuan.

However, the "rich birds" believe that if the land is converted into commercial land, the conservative valuation will exceed 2 billion yuan.

"Rich birds" shareholders pointed out that "rich birds" is a national brand, leading enterprises, has contributed billions of taxes, the value of intangible assets is currently about 3 billion yuan, the market value of listed companies 5 billion Hong Kong dollars, its industrial chain to create tens of thousands of employees, involving tens of thousands of families, family life and social stability.

In response to the "rich birds" financial crisis, the departments concerned took measures to confiscate the founder's passport, withdraw the liquidity from banks and government, recover 300 acres of high-quality land use right in the center and 170 thousand square meters of factory buildings at a low price.

In this regard, the "rich birds" said they looked forward to returning the land use right of "collecting and storing", changing the nature of the original industrial land to commercial land, postpone the repayment period of the maturity debts of banks and other financial institutions, giving tax policy support, and saving themselves by "rich birds" to realize the win-win situation of debtors, local taxes and fees and brand rebirth.

However, at present, the relevant departments have already sold all the assets they take away, including the assets associated with individuals, in a public auction.

It is noteworthy that in August 16, 2017, after the outbreak of the debt crisis of the "bird of fortune", Lin He, vice chairman of the company, was investigated by the Shishi Public Security Bureau for investigating the crime of falsifying the VAT invoice. He was arrested in March 26, 2018 and arrested in April 28th of the same year.

The defense counsel of Lin and lion introduced that in June 26, 2018 and July 26th, the Quanzhou people's Procuratorate and the Fujian Provincial People's Procuratorate approved the extension of the custody period of investigation. In September 28th, it was found that Lin and lion were suspected of embezzlement, and the detention period of the investigation was recalculated. The forest and lion were detained in the Shishi detention center.

"Rich birds" high-level personage discloses, Lin and lion were arrested because of its 8 million yuan loan with the company.

Before the incident, Lin and lion borrowed 8 million yuan from the "rich birds" for their own financial problems and issued IOUs.

"At present, from the financial accounts, the company still owes more than 1000 yuan to the forest and lion."

During the above borrowing period, the company issued false invoices for value added tax on the basis of the need for performance.

Lin and lion defense lawyers said: "the purpose of issuing VAT invoices is not to evade taxes or to defraud taxes.

The Supreme People's court held that judicial documents should not be guilty of falsifying VAT invoices.

On the other hand, about the crime of official embezzlement, there is often a capital flow between family business management, shareholders and enterprises, borrowing facts and repayment facts.

Reporters for the case of Lin and lion to Shishi Public Security Bureau political office verification, the Bureau staff said: "the case has been pferred to the procuratorate for examination and prosecution."

Shishi people's Procuratorate political science staff said: "it is not convenient to interview."

A person in charge of the Propaganda Department of Shishi municipal Party committee told reporters that the municipal government provided some protective measures for the reorganization of the "bird of wealth". The intervention of the six wins company was entirely in accordance with the means of marketization.

The bankruptcy reorganization of the court is proceeding in accordance with legal procedures.

Last year, the Forum on private economy held by the Central Committee clearly stated that "some irregular behaviors that have been observed in the history of private enterprises should be viewed in the light of development, in accordance with the principles of criminal law and the principle of doubtful crimes."

The reporter will continue to pay attention to the follow-up progress of Lin and lion case.