Chapter 418 Don’t be stupid, don’t be stupid

Shen Bitian, the chairman of this year’s Jockey Club, raised his glass of red wine and said calmly, “Two billion Hong Kong dollars.”

Bolide was surprised and shouted in disbelief: “Oh my god!”

Shi Deming, the president of Hong Kong Electric Group, came closer and smiled: “How much did Swire buy?”

Bolide drank the red wine and said, “Five billion!”

The Jockey Club directors were shocked when they heard this.

Chen Keduo, the head of Deacon Law Firm, walked into the crowd with great interest and raised his eyebrows and asked, “Is the Jardine Matheson Group buying any goods?”

HK Electric is currently controlled by Jardine Matheson Holdings, but it still has independent management rights and therefore retains a seat on the Jockey Club’s board of directors.

Simon Keswick of Jardine Matheson, dressed in a white suit, stood up and said, “There is no reason to miss out on profits that are delivered to your door. Jardine Group has subscribed to 3 billion Dingquan securities.”

Chen Keduo nodded slowly and raised his glass to toast: “Mr. Keswick, congratulations!”

Bo Lide put his arm around Shen Bi’s shoulders and raised his glass high: “Gentlemen, cheers to the stupidity of the people of the New Territories and the greed of Chinese capital.”

The twelve Jockey Club directors walked to the middle of the restaurant and drank from golden cups with the chairman.

“cheers!”

The Jockey Club’s board of directors respects strength. HSBC, Swire and Jardine Matheson are on the first tier, followed by large energy companies such as Hong Kong Electric and Towngas, and the rest include Citigroup, Standard Chartered and Morgan Stanley.

Among them, HSBC, Swire and Jardine Matheson all took root in China during the Qing Dynasty, with businesses covering finance, real estate, people’s livelihood, aviation and other most profitable areas.

Hong Kong Electric and Towngas occupy an extraordinary position by virtue of the importance of energy. Citibank, Standard Chartered, Morgan and other foreign companies mainly engage in finance.

The chairman is elected every three years, and the foreign firms take turns to be the banker.

The betting income of the Jockey Club must be handed over to the family, and the membership fees and miscellaneous income are divided equally among the board of directors. They deliberately create favorites and then upsets to reap the profits from the outside bets.

The practice commonly known as “horse-rigging” is an extra source of income for the chairman of the Jockey Club. Every few years, a “horse-rigging case” breaks out in Hong Kong Island, and in fact it happens every year.

These twelve foreign companies bought 83 billion Hong Kong dollars, and they took 300% profit every year, which is billion. In , the total value of Hong Kong was billion US dollars. Without doing anything, the British financial group could take %.

Foreign capital is sucking the marrow out of Hong Kong Island by extracting its tendons and skin.

What’s more, the directors of foreign companies are best at finance and will not hold securities for a long time. Instead, they will package and sell the securities to investment institutions.

Almost all of Hong Kong’s famous investment institutions are foreign-funded, and many are subsidiaries of foreign companies.

They used investors’ money to buy packaged financial products, and when they finally collapsed, it was still the Chinese who took over.

The directors of the foreign companies saw through the New Territories Ding Rights as a bubble, but they still promoted it, believing that they held the lifeline of finance and could not be the last one to come.

Even Jardine Matheson, the most conservative of the foreign firms, could no longer sit idly by and watch the opportunity slip away. It took out its only silver ammunition and rushed into the market.

Bolide lowered his glass and said slowly, “In the case of Fred Philips, the police have not caught the real culprit yet. The Jockey Club should put pressure on the police force.”

Shi Deming frowned: “At the last board meeting, we hadn’t decided yet whether to impose an industrial blockade on Zhonghe or ask the police to do the job.”

Chen Keduo: “It costs money to ask the police to do something.”

The board of directors needs to maintain the social status of the horse owners, but the cost of touching upon Chung Yi Tong will already be painful for the Jockey Club directors.

The foreign companies have assets worth hundreds of billions, which look good in their accounts, but they only do things that make money.

Simon Keswick said, “I still support the blockade of the industry. When the securities are sold to institutions and Ding Quan collapses, there will definitely be Chinese companies going bankrupt in Hong Kong.”

“At that time, we will reacquire key industries and can easily sanction the Yin Group.” Key industries are industries with strategic positions, such as the “Wharf Group”, which owns the largest logistics and warehousing in Tsuen Wan and Victoria Harbour, when it was still in the hands of British capital.

Chinese shipping companies have to rely on foreigners to rent out warehouses. If the foreigners refuse to rent out the warehouses, the goods will be delayed or rotten.

There are also dock companies and shipping companies, which are industries that can block trade.

It was after World War II that the foreign companies gradually lost many key industries, which allowed Chinese capital to escape from the shackles. In the past, it was easy to sanction Chinese capital by using the resources within the Jockey Club.

Now we have to pay the price, activate the bureaucracy and the cost will rise dramatically.

Shen Bi nodded slowly: “Yin Group, that’s accurate. With Zhonghe Electronics’ industrial layout, there is indeed hope of creating a large group.”

“If we can buy Yin’s, we will hopefully regain our leadership position.”

Simon Keswick said: “Yes!”

However, it would take at least half a year for the foreign companies to package the securities into financial products and transfer them to the Chinese in the form of funds and investment insurance.

But when 20 billion yuan of funds from foreign banks poured into the real estate market, some real estate developers’ enthusiasm for development and land purchases increased significantly.

Although Yin Zhaotang was unable to obtain accurate purchasing data for each foreign bank, he had determined through the actuaries’ calculations that the foreign banks were entering the market on a large scale.

Two months later, Liang Chaoying, a member of the Four-Transformation Association, published an article in the Ta Kung Pao titled “Don’t be naive, don’t be confused”, accusing the authorities of poor supervision, which allowed securities to flow into the tertiary market.

It is very easy to generate financial risks, and investors are dissuaded from buying related funds. The language is very harsh, and secretly scolds the authorities for being accomplices and plundering the people.

Huo Xingtang Real Estate issued a risk warning and suspended the acquisition of Ding Quan, firing the first shot against the British. When other real estate developers saw Huo stop, they seemed to sense the coming of a storm and gradually stopped acquisitions.

Most of the New Territories Dingquan have been sold, and the entire New Territories is thriving. Stopping the purchase of Dingquan will not affect the livelihood of the New Territories.

Because a considerable number of male children have already benefited from the dividends, as long as the good news is true, retaining the rights of the children and then selling them can still generate profit from the increase in value.

However, the Xinhua Daily suddenly issued a statement denying the provisions of the Sino-British Agreement circulating in the market and reiterated that it would recover all of Hong Kong as scheduled.

Indirectly denying the good news about the New Territories. With the birth of the big bad news, Chinese companies began to flee frantically, dumping Ding Quan in large numbers.

Land prices in the New Territories plummeted, and after the first securities fund was launched, few buyers rushed to buy it. The foreign companies seemed to realize that something was wrong and began to spread rumors in English newspapers, exaggerating the high prices.

However, the inside story soon leaked out from the New Territories Heung Yee Kuk, which planned to relocate the Pegasus sneaker factory and the Pegasus clothing factory to Tai Po, and then clear the land and hand it over to the real estate developer.

More than 6,000 workers at Pegasus were instantly enraged.

That evening.

Zhang Gaoming, the director of Pegasus, held a torch high, stepped on a container, looked at the thousands of workers gathered in the open space and shouted: “Brothers, the foreigners are taking over the rights of the workers and developing real estate to make money from us.”

“Occupying farmland and grabbing factory land is to cut off our roots!”

Wearing a black T-shirt and a red scarf tied around his arm, Wu Jingfeng stepped onto the container and shouted, “Protect the factory and the land, and drive out the Tartars.”

“Protect the factory and the land, and expel the Tartars!”

More than 4,000 men in the factory raised their arms and shouted loudly, looking very aggressive.

“Work will be stopped today. Anyone who dares to go to the Government Affairs Office with me to protest will get an extra day’s pay! For those who are injured or disabled, there are associations to treat their illnesses and provide them with homes.”

“go!”

(End of this chapter)