Chapter 177 Brother and Brother

Yang Xing's trip to Beijing this time was a pity, and he vented all his resentment from the front as a target. He is now in a glorious position and unexpectedly received special treatment from Cheng Canghai to accompany him to Hong Kong. In contrast, his old opponents have had a very difficult life. Take Wang Lanqian and Rong Xinmin as an example. Although they poached Li Guofa and others from Yang Xing at the end of last year, they thought they could turn around and give Yang Xing a heavy blow to the domestic stock market. On the surface, Xingfu Investment also reported that it had lost tens of millions in December, which made them celebrate for several days, but the development of the situation later made them understand that the "magic boy" obtained in Yang Xing's stock futures market was not a false reputation.

Although the "Twelve Gold Medals" of the central government temporarily suppressed the hot prospect of the stock market, the rise and fall of the Chinese stock market has always been just a predicament of the jungle behind the scenes by institutional investors, and it is not the turn to get the participation of small investors. In the eyes of Wang Lanzhang and Rong Xinmin, they received the help of Li Guofa, a group of so-called "golden finger" masters in the stock market. They all felt that the sharp drop in the stock market was a godsend opportunity to buy high-quality stocks at low prices. Li Guofa's incitement and they believed that the three-year domestic economic regulation was coming to an end, and the era of rapid economic growth was coming again. The stock market, as an economic barometer, will definitely rise sharply. There is no reason not to make a fuss.

However, at this time, Xingfu Investment came to the door first and showed Li Guofa and their exclusive terms and compensation terms on Xingfu Investment contract. They didn't care about compensation for Wang Lan, but the exclusive terms stipulated in the contract made them very troubled. The exclusive terms stipulated that Li Guofa and their other people were not allowed to engage in stocks and futures related businesses within three years of leaving Xingfu Investment Company, which is already very frustrating. There is another rule that they cannot transfer financial information about Xingfu Investment, which makes them even more crazy. The previous preparations to crack down on Xingfu Investment were ruined.

Li Guofa and they are not allowed to trade directly, and they can hide behind the scenes to make suggestions and become military advisors, but the most valuable customer information and transaction records in their hands cannot be used, so the value they can be paid at least half of the time. However, Xingfu Investment has stated that if they find that there is a breach of the contract, they will be sued directly in the Hong Kong court where Xingfu Investment is located.

Li Guofa, they enjoyed the treatment of a company executive and applied for a Hong Kong ID card. Wang Lanqi and others also had business in Hong Kong. Xingfu Investment was completely feasible for suing them in Hong Kong. Wang Lanqi and others were able to compete with Xingfu with their family power, but Hong Kong has always been famous for its judicial ruling of the separation of powers, and their connections were completely ineffective. Moreover, they knew that Yang Xing had a lawyer under him, Jiang Daofang. He and his father, who were the highest officials of the High Court, had a very strong position in the legal circle of Hong Kong. They always used to overwhelming power. Wang Lanqi and they thought that their outcome would not be wonderful in Hong Kong.

Under this pressure, they had to temporarily give up the idea of ​​attacking Yang Xing's arrogance and fight again. However, now they no longer dare to take Yang Xing lightly. Whether it is Yang Xing's rising status or his ability to always have all kinds of inspirational ideas to resist their offensives, Wang Lanzhang and the others were afraid, which made the two who have always been arrogant and embarrassed. In order to defeat Yang Xing, they had to make more money. So as soon as the stock market opened in 1997, Wang Lanzhang and Rong Xinmin placed a heavy bet on the stock market.

At the end of December 1996, the stock market management stood up to refute the recent rumors about continuing to suppress the stock market. In addition, after three years of macro-control, a group of high-performing companies have grown rapidly in performance and their capital has entered a period of rapid expansion. Companies such as Changhong, Shen Technology, and Dongda Apai have become stock market stars in 1996. Even after the "Twelve Gold Medals" in December last year, the stock market still remains at a high level. Many people, including many dealers, think this is just another small fluctuation in the stock market. With the fuel of those who are interested, the market's confidence has recovered rapidly, and the rumors of the stock market turning into a bull market have resurfaced.

On January 4, 1997, the work of decoupling of four major domestic banks from their subordinate trust companies was basically completed. The 186 trust investment companies they belong to may abolish or transfer their shares and transfer their assets in full. The domestic policy on the separation of the banking and securities industries officially took effect. But in fact, everyone understands that the tiger of bank loans is just a remodel, continuing to break out of the regulatory cage, and heading towards the hot domestic stock market.

In this case, they went out to join forces to collateralize their respective company assets and family businesses, and borrowed more than one billion yuan from several financial institutions, and invested them into the stock market. If it weren't for the start of construction of Shanghai Global Financial Center and occupied most of their funds, they had even considered taking out the money. According to Li Guofa's suggestions, they decided not to sprinkle pepper everywhere, but instead learned from Yang Xing's "5.18" stock market when he became rich, he boldly focused on several stocks and made excess profits.

This time they were focusing on a company listed in Shenzhen - Hainan Minyuan Modern Agriculture Co., Ltd., abbreviated as Qiongminyuan. This junk stock company whose profits fell to only one cent per share in 1993 to 1995, suddenly turned over in 1996. Since July 1, 1996, the stock price of "Qiongminyuan" started at 4.45 yuan, and in just a few months, the stock price has risen to 20 yuan, several times.

Li Guofa and the others had targeted this stock at the beginning, but they didn't expect that Fang Kai and Yang Xing would reject it. The reason was very simple. They felt that there was obvious problems with Qiongminyuan's profits and capital inflated. Li Guofa felt that they were timid. Everyone knew that Qiongminyuan had problems, but they were still rushing in without hesitation? Money is the bottom line. When did the Chinese stock market use to consider company performance?

Last year, after they reached a private job-changing agreement with Xinlan Securities Company, they took the initiative to buy Qiongminyuan's stock as a letter of investment. In just a few months, the benefits were indeed obvious. From April 2.08, 2019 to January 26.18, 2019, Qiongminyuan's stock rose by as much as 16 times! Xinlan Securities made a lot of money, which made Wang Lan and the others believe in Li Guofa's ability. On January 22, 2019, Qiongminyuan released its 1996 annual report, which was indeed "exciting", with earnings per share of 0.867 yuan and net profit increased by 1,290 times!

Although Wang Lanqi and Rong Xinmin knew that there was something wrong with their years of business experience, the temptation of getting rich caused by the stock surge made them unable to stop. They knew that this kind of stock would break away from the conventional crazy rise, but they believed that they were the dealer, and if they were unlucky, retail investors with low news were unlucky first. Therefore, they took advantage of the opportunity of the stock surge in Qiongminyuan and absorbed funds from powerful figures in Shanghai, preparing to continue to speculate on Qiongminyuan. When Qiongminyuan's stock price reached the historical highest level of 26.40 yuan, they all felt that they were already in heaven and wanted to step on Yang Xing. But the development of the situation quickly proved that the dealer in the stock market is not a god, and it is always only one step away from heaven to hell!

Qiongminyuan was originally scheduled to hold a shareholders' meeting in Haikou at 3 pm on February 28, 2019 to discuss the share bonus plan. Rong Xinmin went to the scene in person. Although there was a few days ago that the Securities Commission of the State Council wanted to strictly investigate the fraud of Qiongminyuan's statement, it is likely that Qiongminyuan would suspend trading. However, on February 18, because the former national leader was critically ill and the Shenzhen and Shanghai stock markets fell sharply, Qiongminyuan's stock price had begun to be unstable. They invested so much in this, how could they stop immediately? Moreover, this time Qiongminyuan's share bonus plan was tempting. According to convention, there must be a wave of rising market on the same day. They decided to gamble again. The regulatory authorities had not had a precedent for the company to suspend trading at the shareholders' meeting. After making the last one, they left!

But the plan will never keep up with the changes. As soon as the stock market opened on February 28, Qiongminyuan jumped downward by 0.42 yuan, and the big sell orders of hundreds of thousands of shares immediately broke out. The stock price fell all the way. At 11 a.m., Qiongminyuan was hit to the limit. Wang Lanzhang and others realized that something was wrong and tried their best to remedy it. They injected a large amount of funds at noon and opened the limit in the afternoon to push the stock price up. But what made them even more frightened was that the scale of large orders sold out did not decrease but increased.

They realized that the news of Qiongminyuan's suspension of trading might come true. The big players who received the news were about to sell orders and leave the market, but they were so powerful that they could only grit their teeth and hold on to take orders desperately, and prayed that they would not be suspended today. So they bought and sold orders on this day, and the battle was extremely fierce. Wang Lanqi and Li Guofa even in the early spring chill after the Spring Festival, they were sweating heavily, and Rong Xinmin could not wait for Qiongminyuan's shareholder meeting to end and took a plane back to Shanghai on the night.

Li Guo sent them to make a desperate bet and released false news that the new main force entered the market and wanted to create a sky-high price again, in order to attract a large number of retail investors to follow suit and buy Qiongminyuan to disperse their pressure. Many investors who don’t know the truth also thought that even if there is no new main force to make sky-high prices, there will always be 9.8 shares for 10 shares at the shareholders’ meeting, so they rushed into the stock market. At the end of the day, they finally stabilized the stock price at the close of the market. Wang Lanqi and the others breathed a sigh of relief. But even greater bad news came later. That night, the Securities Committee of the State Council announced that Qiongminyuan was suspended! Wang Lanqi and the others were trapped, just like the retail investors they deceived! On February 28, 1997, it became Qiongminyuan’s masterpiece. Xinlan Securities’ glorious stock trading became the largest shareholder, trapped for a full 800 million yuan!

When the news came out, Wang Lanzhang and Rong Xinmin suddenly became a big joke on Shanghai. Li Guofa and others fled overnight because Rong Xinmin told them to make them unable to live without Shanghai before the plane landed! Wang Lanzhang, who had always been elegant, also cut off his tail and survived, throwing the blame for creating fake news and disrupting the order of the stock market to Li Guofa and others. Afterwards, Li Guofa fled abroad, and the Liu brothers were arrested and the misfortune of Xu Yunlong's death was a disaster. Their few of them also became the most famous negative case of traders in the history of the stock market.

Li Guofa and others fled, and Wang Lanqian and Rong Xinmin had to clean up the mess. Qiongminyuan has been clearly stated by regulators that they will not resume trading in the short term. The stocks they earned at high prices cannot be bought and sold, and hundreds of millions of yuan were trapped. Xinlan Securities immediately suffered nearly one billion in debt. From March to May, the stock index showed an upward trend. Xinlan Securities, which was in a red-eyed manner, entered the market to make up for the losses, but without the old fingers such as Li Guofa and others, Xinlan Securities lost more and made less money. In May, the regulators took another heavy blow to regulate the stock market and introduced a series of measures to drag the stock market into a two-year bear market.

Xinlan Securities suffered a sudden rain, with a book loss of up to 2 billion yuan. Even Wang Lan's Yunlan Real Estate and Rong Xinmin's China Chang Group Shanghai Branch were dragged into the water. The couple had no choice but to take back the money invested in Shanghai Global Financial Center. But their greater suffering came at this time, and the Asian financial crisis came!
Chapter completed!