<strong>Chapter 1348 – I am willing to help</strong>


    The representatives finally understood the cause of this incident. It is because they had slowly be the controlling shareholders of their joint venture with the local firms. Some even became the overall owners, and China wants to recover those firms now.


    Although these foreignpanies had paid for those shares, they can buy them because of their control over the shareholders. This might seem like a normal business transaction, but they had not kept their promises.


    Now, China is getting back at them for not keeping to their words. This is karma.


    The representatives knew how to carry on with the negotiations after finding out what China wants. But this must be decided by their head offices, and they cannot make the decisions.


    As Wilson is pressing and threatening those representatives, the otherwyers attack thesepanies on international media. Thesepanies had no choice but to start negotiations with Chief Jia again.


    The representatives still one big worry. They are unsure if Chief Jia will keep to his words. What if Tai Hua Supermarket Group and otherpanies sue them after they agree with Chief Jia?


    Some smallerpanies might also sue them, and they will face endlesswsuits.


    Wilson told the representatives that most Chinesepanies would not sue state-ownedpanies. All problems will be solved if the Chinese State Assets have a controlling stake in theirpanies.


    Thosepanies have high assets and exaggerate when they say they will be bankrupt if thepensation is 200 million USD. But 200 million USD will break their cash flow chain.


    Thesepanies thought of an idea. They can use thepanies’ assets as coteral to get loans for thepensations. You all want are after thispany’s shares, right? Sure. Get ready to take over apany with negative assets.


    I shall see if your Chinese Government can afford to fill this gap. Even if the Chinese Government can pay thepany’s debts, they will still have the controlling shares. All the representatives believe the Chinese Government will not try this again. It will affect their reputation and scare other investors away.


    The representatives also want Tai Hua Supermarket Group and those intepanies to sign an agreement with them not to sue them.


    “Station Chief Jia, this is not an issue. I can agree and is willing to help you.”


    Chief Jia told Feng Yu what happened, and he agreed because he did not want to sue them. Like what Wilson said. Mostpanies will not sue state-owned enterprises.


    Chief Jia is worried that Feng Yu will get someone to sue thosepanies again and further blow up this matter.


    Chief Jia smiles after Feng Yu agrees. He will get credit for this incident and might get a promotion. The higher-ups will also note his contributions and have no problem getting one more promotion before his retirement.


    Both parties want to end this incident fast, and the negotiation went smoothly. John and other representatives were assured after getting Feng Yu’s promise.


    Feng Yu will not go back on his words, and the representatives felt his assurance carries more weight than Chief Jia.


    But the representatives told Chief Jia that thepanies’ shares must be bought with cash. They will not ept share exchange, and the buyout price must be reasonable. The Chinese Government cannot suppress the share prices.


    Chief Jia and the representative from State Assets agreed. This State Assets representative hade to negotiate the shares buyback with them.


    Of course, the State Assets will not be buying all thepanies’ shares. They must give some to the Local Government. But their total shares must be over 50% and have more representatives on the board of directors.


    Those foreignpanies can continue to manage the operations as they are better at corporate management. But the Chinese Government will have the overall control of thepany. This is to prevent these foreignpanies from creating trouble again.


    One of thepanies, which is also the weakestpanies, was used as an example in the media. They have to pay 100 million USD, and the otherpanies’pensations are less than 50 million USD. The totalpensation is less than 500 million USD. Still, it set the highestpensation from a singlewsuit record in China.


    Wilson and the otherwyers felt this amount is too lowpared to CCTV’s high viewership. But they know this is Feng Yu’s instruction. He has signed some cooperation agreements with thosew firms, and all of them are satisfied.


    Furthermore, thewyers are paid more than 200 million USD. From their understanding,pensations in China are very low. There are nopensations more than 10 million RMB, let alone over 100 million USD. They had created history.


    This case also let them have an opportunity to enter the Chinese market. The tradingpanies will be interested in working with them.


    Thiswsuit ended quickly, and both parties chose for private settlement. At the same time, thesepanies signed the shares purchase agreement with the State Assets.


    After the State Assets signed the agreement with thosepanies with the funds they get from CCTV, they realized something was off.


    First, thosepanies’ products are not selling in the past month, and their production stopped. Thepanies also owe their workers a one-month sry.


    Secondly, thesepanies do not have money in their ounts and cannot restart production. They cannot even afford the raw ingredients. They also found another problem. Thesepanies are heavily in debt, and the State Assets had spent money to buy a burden.


    When the State Assets’ representative questioned thosepanies’ representatives, they gave all sorts of excuses. They imed they cannot afford thepensations and must get loans. They had also paid their workers and wired the profits to their headpanies with their liquid assets.


    Thesepanies do not have money to restart production, and all of them should pump in the money based on the share’s proportions. Thepanies cannot repay their debts in their current situation and try to raise money now.


    The State Assets’ representative had underestimated these foreignpanies. He was ecstatic to purchase those shares but forgotten to check the ounts. The other party had yed dirty tricks in their contracts again.


    The Chinese Government cannot freeze thosepanies’ ounts during thewsuit as it will escte the conflict further. Nevertheless, the Chinese Government had gotten the shares they wanted, and thepanies are not empty shells. The brand, skills, and workers are still around.


    The State Assets do not have money to increase investment into thosepanies. They had used the money given to them by CCTV and their money to buy those shares, and the most frustrating part is thosewyers are paid half of thepensation. Why are they paid so much?


    Feng Yu heard Wu Zhigang’s report and nodded. “They are tricked by the contract again and allowed the other party to exploit the loopholes. But it’s fine. I am willing to help. Zhigang, contact XX State Assets and tell them we are willing to invest in thosepanies.”