Golden Scale [EN]: Chapter 68

Case Analysis

“I handled everything. I secured the relationships, I delivered the money. The people at ‘Bank of China Hong Kong’ only know me. Mao Zhengyi never showed his face. Even ‘Nongkai’s’ internal records only have my signature. Every time I needed Mao Zhengyi to sign relevant documents, he always found excuses to delay,” Wu Beiying slowly sat down. “He planned it from the beginning. If something went wrong, he could deny everything and put all the blame on me.”

“How could such amateurish tricks escape Mr. Wu’s notice?” Hou Longtao was beginning to see some clues, but there were still many unconnected pieces. “And does that trick really work? Even if the investigators are stupid, they should understand common sense. Mr. Wu is just an employee. The boss couldn’t possibly not know about such a big deal. How could that Mao guy so easily absolve himself?”

“You think it’s impossible? It’s actually very simple.” Gu Quanzhi was about to impart wisdom to the younger generation. “Mao Zhengyi would never deny knowing about the loan, but he can deny knowing that ‘Nongkai’ didn’t have the State Administration of Foreign Exchange’s approval [required for foreign currency transactions]. He can also deny participating in Beiying’s bribery of ‘Bank of China Hong Kong.’ Beiying himself said that Mao Zhengyi never left any concrete evidence to implicate himself.”

“Tch,” Hou Longtao said dismissively. “I still think it’s unreasonable. What you’re saying just doesn’t make sense. What good does it do Mao Zhengyi for Mr. Wu to get caught? Mr. Wu knows everything about his past.” “Beiying, do you want to explain, or should I?” Gu Quanzhi looked at Wu Beiying. “Let Gu Zong [a respectful title, meaning ‘General Manager’ Gu] explain,” Wu Beiying said, beads of sweat forming on his forehead. He was in no mood to analyze the “case” for Hou Longtao.

“Alright, but these are just my speculations. If I get anything wrong, Beiying, please correct me.” Gu Quanzhi walked to the refrigerator, took out a bottle of mineral water, and then sat back in the large swivel chair behind the desk. It seemed he was about to give a long speech. “Hmm… where should I start? Let’s start with Beiying himself. His loyalty led to his complete trust in Mao Zhengyi. I believe Lao Mao [Old Mao, a familiar way to refer to Mao Zhengyi] must have revealed many flaws, like his constant delays in signing relevant documents.”

“Hmph, it seems that not only love can make people lose their way, but so can loyalty.” Hou Longtao shook his head, finding it pathetic that such obvious loopholes were missed. “Any emotion, to a certain extent, can make people lose their way—anger, hatred, pity, and so on.” Gu Quanzhi seemed quite moved. “Haha, Gu Zong, don’t mind me. Please continue. Once this is all sorted out, I’ll have tea and chat with you.”

“Okay, then let’s talk about the outside world. The business world has always believed that Mao Zhengyi is the boss of ‘Nongkai,’ but all decisions are made by Beiying. Whether that’s true or not, all previous negotiations were handled by Beiying. Mao Zhengyi just signed his name and waited to collect the money. Over time, people thought Mao Zhengyi was a useless figurehead. If Beiying really managed to secure that loan single-handedly without Lao Mao’s involvement, I’m afraid more people would believe it than not.”

“Then what’s the motive? What’s Mr. Wu’s motive? The money all went to ‘Nongkai.’ He doesn’t have any shares, so not a single penny would end up in his pocket.” “That brings us to Mao Zhengyi’s motive. You’ve had some contact with him. Tell me, what’s your assessment of him?” “My assessment? Four words: immoral and incompetent. His actions in Beijing prove that.”

“Most people share your opinion, and I won’t deny it, but he’s definitely not as incompetent as you think. Mao Zhengyi has only been in the spotlight for the past ten years. Even Beiying has only worked with him for ten years, but I’ve known him for twenty years. He’s not a simple man. Although he’s not well-educated, he’s very cunning. He’s been looked down upon since he was a child, so now he likes to show off. Everyone attributes ‘Nongkai’s’ success to Beiying. Do you really think he’s happy about that?”

“Mao Zhengyi is the boss. Wouldn’t it be easier to just fire Mr. Wu? Given his personality, he wouldn’t be afraid of being accused of discarding someone after they’ve outlived their usefulness, would he?” “Of course not. He knows Beiying’s contributions to ‘Nongkai.’ Why not use such a good helper while he can, and then get rid of him when he’s done?” “According to you, he’s used him enough now, right? I’ll say it again, why not just fire him? Why go to so much trouble?”

“Don’t forget, he likes to show off. There’s no point in simply firing someone. He wants to create a sensation, something people will remember for years to come. And why are we trying so hard to bring down Mao Zhengyi? Because we’re afraid he’ll retaliate against us. Have we done anything we shouldn’t have? No. But why would he retaliate against us? Because he’s extremely vindictive. I think he’s been resentful of Beiying for a long time. He’s determined to avenge being treated like an idiot.”

Hearing this, Hou Longtao became even more determined to destroy Mao Zhengyi, so he wouldn’t have the chance to retaliate against him or Ru Yun. “That old bastard is really ruthless. He was willing to lose those 2.2 billion from the start.” “Not necessarily. I think he wanted to make the Hong Kong deal work even more. If he really succeeded, all the talk about Beiying being gold and him being garbage would be disproven. That’s why he put in a little effort to save his investment.”

“How so? Even if it succeeds, it will still be attributed to Mr. Wu. How would that change people’s perception of him?” “Beiying is an established businessman. He’s known for his prudence. He would never act rashly without being more than half certain. But this investment in Hong Kong was too risky. A foreign businessman coming with a loan, buying like crazy before smoothing things over with all the relevant parties—was there any chance of success? How big of a chance? Very small. That’s not Beiying’s style, is it, Beiying?”

“No,” Wu Beiying replied weakly, still unable to recover from the shock of being betrayed. “Wait a minute,” Hou Longtao said, spotting another loophole. “Since everyone knows it’s not Mr. Wu’s style, how would anyone believe it was him… ?” “I knew you’d ask that.” Gu Quanzhi interrupted him. “You have to understand that formulating a strategy and implementing a strategy are two completely different things. Mao Zhengyi can decide to invest without being involved in the fundraising at all.”

“What if the investment fails?” “I think he wouldn’t wait for people to investigate. When he confirms that the losses are irreparable, he would first attack Beiying, secretly tipping off the procuratorate [prosecutor’s office] to investigate the loan and arrest Beiying. Can you guess what happens next? If you can’t, I’ve chosen the wrong partner.” Gu Quanzhi looked at Hou Longtao with a smile.

“If I understand you correctly, because there’s no approval, the mortgage agreement isn’t legally valid. So even if the 2.2 billion is gone, the bank still can’t seize Mao Zhengyi’s real estate in Shanghai, right?” “Correct.” “But the problem is, Mr. Wu signed the agreement as the general manager of ‘Nongkai.’ That’s a job-related action. No matter how he got the loan, ‘Nongkai’ can’t possibly escape responsibility.”

“Hehe, that’s American thinking. American law doesn’t care about the facts, it cares about the procedure, the evidence, and what every word in every law means. In China, those are just considerations. The most important thing is the facts, and sometimes the facts are fabricated. What are the facts now? Beiying betrayed his employer for personal gain. If the victim is also punished, then the existence of the law is meaningless.”

“That’s sophistry. It’s still not reasonable.” “Really? Fifty thousand in capital can start a company. You find one of your subordinates, use his ID to register the business. Other than giving him some money each month, he doesn’t have to worry about the company’s operations. The kid trusts you, you’re his big brother. But behind his back, you’re massively issuing fake VAT [Value Added Tax] invoices. If something happens, according to the law, the legal representative should be executed, while you can get away scot-free. But in reality, if you really did that, you’d be the one getting executed.”

“I understand what you mean, but the two things are fundamentally different. I think this is more like a kickback issue. If my general manager is caught taking kickbacks, only he will be prosecuted. The contract can’t be terminated.” The questions Hou Longtao was asking had nothing to do with their goal of turning Wu Beiying against Mao Zhengyi. He was just curious.

“That’s where the fundamental difference lies. Kickbacks are illegal, but the negotiation itself isn’t. So unless both parties agree, you can’t unilaterally terminate the contract. But ‘Nongkai’ wasn’t qualified for the loan in the first place. If one party executes a contract that isn’t legally valid, that’s a voluntary action. The other party has no obligation to fulfill the contract terms.” Gu Quanzhi was really teaching the younger generation with all his heart.

“Isn’t Mao Zhengyi afraid that Mr. Wu will reveal his past misdeeds?” “Verbal testimony is useless. Arrests for such major economic crimes are always sudden. Beiying won’t have time to prepare evidence. If we hadn’t analyzed Mao Zhengyi’s scheme today, Beiying would still be blinded by his loyalty. He might have taken it all on himself. I think that’s what Mao Zhengyi wanted to see most.”

Hou Longtao turned to look at the pale-faced Wu Beiying and sighed inwardly. No matter how capable you are, it’s useless if you choose the wrong boss. “If Mr. Wu insists that Mao Zhengyi is at fault, the procuratorate [another term for prosecutor’s office] would have to investigate, right? He wouldn’t have a good time, would he?”

“Silly child, one scapegoat is enough for this kind of case. They won’t desperately drag Mao Zhengyi out. It wouldn’t benefit anyone, especially the big shots in Shanghai. Although he might not dare to reveal everything, less trouble is always better than more. A quick arrest, a quick trial, a quick sentence, and Beiying is executed. Twenty-two billion Hong Kong dollars! They can claim credit upwards and show integrity downwards. Why not?”

“What’s the scapegoat’s motive? Mr. Wu doesn’t benefit from the loan. He has no motive. How can they convict him?” “That’s too easy. With Mao Zhengyi’s connections and means, it wouldn’t be hard to change the name and opening date of a bank account, putting a few million or tens of millions of Hong Kong dollars of unknown origin into Beiying’s account. That’s the motive. Or they can simply say he used unscrupulous means to complete the fundraising task. In short, they can always find a reason.”

Hou Longtao was very satisfied with Gu Quanzhi’s explanation. “Mr. Wu, how about it? Are you interested in working with us now?” Wu Beiying raised his head, his expression still a bit dazed. “Gu Zong, give me some advice. You’ve already figured out a way out for me, right?” His mind was in chaos, but since they wanted him to help get rid of Mao Zhengyi, they must already have a well-thought-out plan.

“If you’re interested, I’d like to invite you to be the vice president of ‘Ivy League’ and the president of ‘Ivy League (Shanghai).’ Twenty percent of the equity of ‘Ivy League (Shanghai)’ will be transferred to your name. ‘Dongxing’s’ business in Shanghai also needs your strong support. We can sign a letter of intent now. I believe that with your ability and existing relationships, ‘Ivy League’ should have no problem taking over ‘Nongkai’s’ business in Shanghai.”

Gu Quanzhi didn’t talk about how to get rid of Mao Zhengyi, but instead talked about the rewards after the fact. Wu Beiying knew this was because he was absolutely confident, and it also showed that he would be completely betraying his old employer. “What do I need to do to get everything you’ve promised?” “Not difficult.” Hou Longtao and Gu Quanzhi exchanged a smile…

The next morning, Wu Beiying flew back to Shanghai. On the same day, three of “Dongxing’s” bars were smashed, but fortunately, no one was injured. Hou Longtao didn’t call the police. This action of his was very much in line with the rules of the underworld, but more people believed that he was going to solve it himself. Before this, the matter of his conflict with “Tyrannosaurus” had already begun to spread in Beijing’s underworld…

A day later, in a compartment of the T13 luxury train bound for Shanghai, two young men were sitting and lying down. The one sitting looked out at the dark night sky and took a deep drag of his cigarette. “Long, are you asleep?” “How the hell can I sleep?” the one lying down turned over and sat up. “You didn’t turn off the light, you’re smoking non-stop, and you keep sighing. How the hell am I supposed to sleep?”

“Hmph, let’s chat for a while.” Hou Longtao threw the cigarette case over. “Okay, let’s chat. First, tell me why we didn’t take a plane.” “Tickets have names on them. Even if you buy them at the airport, the computers are connected. Shanghai would know immediately. This time, we’re not dealing with a thug or a local gangster.”

“Tch, is he that smart? Besides, even if he knows we’ve gone to Shanghai, so what? Shanghai isn’t some military restricted zone.” “Sigh, in this world, you can only be too careful, never not careful enough.” “Then why did you let that Wu guy fly?” “That Mao bastard intentionally wants to harm him. He’s probably already sent people to watch him. It’s the same no matter how he travels.” “Sigh,” Long scratched his head. “Wouldn’t it be enough to just send two people to pick up the goods? Or just let that Wu guy bring the stuff back to Beijing. Why do we have to go to Shanghai?” Long said, smoking, sleepy and unable to sleep, so naturally he was full of complaints.

“I don’t trust anyone else to go. As for why I didn’t let him bring the stuff back to Beijing, I can’t rest easy until I see the goods. It makes me uncomfortable to have such a big threat like Mao Zhengyi following me closely, you know?” “Damn it, since he’s such a big threat, why are you only going with me!? Shanghai is a dangerous place. We should at least bring a carload of people. Just the two of us? Isn’t that just asking for it?”

“Hmm…” Hou Longtao frowned. “That makes sense. How could I have overlooked that?” He looked at his watch. It was already past 2:00 AM. “It’s too late. Even if we get everything sorted out, we won’t be staying for a day. Hopefully, nothing will happen. Damn it, you’re making me nervous.” “Is it that serious? I was just saying. You can’t even move in Beijing’s downtown area without the police showing up in two minutes. Shanghai can’t be that much worse.”

“Yeah, but still, you can only be too careful, never not careful enough.” “What are you going to do about the ‘Tyrannosaurus’ thing?” “There’s nothing to do. We’ll see what happens. Actually, we’re going to have to deal with him sooner or later. It’s either cooperation or conflict. Now that the trouble has started, there’s no third option.” Hou Longtao shook his head and lit another cigarette. “A bunch of things have all piled up. I can’t avoid them.”

“Fourth Brother,” Long lit his cigarette for him. “To be honest, you haven’t seemed very happy lately. You always seem a bit tired. Is it because your sisters-in-law are too fierce in bed?” “You bastard, you were saying a few decent words, and then you immediately went back to being a degenerate. You really can’t expect ivory to come out of a dog’s mouth [a Chinese idiom]. There’s been too much infighting lately. It’s really tiring. I think back to the old days—going to school, fighting, chasing girls, playing cards when we had nothing to do. Hmph, sigh…”

“Don’t keep sighing. It’s rare to see a billionaire like you.” “Is it worth it? Now it seems like it wouldn’t be bad to honestly earn a salary, find a good woman to start a family, have family, friends, a wife, and kids, and live an ordinary life.” “Hehe, you’re only saying that now that you’re rich. If I asked you to go back to living an ordinary life, would you do it?” “How many wives could I have?”

“Of course, you can only have one. If you’re a playboy, your sister-in-law will act like any ordinary woman and make a scene.” “Damn it, never mind then.” “Hahaha…” The two laughed at the same time. “Fourth Brother, don’t think too much. This is your fate. I know you too well. You’re a smart guy. You could never be content with living an ordinary life. You’d go looking for opportunities even if they didn’t come to you, let alone when they’re delivered to your door.”

“Really? What else do you know about me?” “You’re too tired of infighting, but you actually like scheming. We’ve known each other for over ten years. Before you went abroad, we only went to the detention center once, except when we volunteered. As soon as you left, Big Brother and I were thrown in there several times in four years. Now that you’re back, everything’s been smooth sailing for almost a year. I can see it now. With you around, Fourth Brother, we’re always the ones scheming against others, never the ones being schemed against.”

“Sigh, you have too much faith in me. Your Fourth Brother just got played.” “Really!? Who? What happened?” He had to hear about it if his idolized “King of Calculation” had been tricked. “Boss Gu.” “Boss Gu? Which Boss Gu? Third… Third Brother’s uncle!?” “Do you know any other Boss Gus?” Hou Longtao blew smoke out of his nose. “Old ginger is spicier [an idiom meaning the older, the wiser], and old cannons can never be underestimated.”

“Actually, you can’t really call it playing me. He didn’t really want to harm me. I didn’t lose anything, and I even gained something. But I suspect he definitely used me. To be honest, his plan wasn’t perfect. There was a big loophole in the middle. If I hadn’t unknowingly plugged it, the situation would be much worse now.” Hou Longtao’s voice wasn’t loud, as if he was talking to himself.

“Make it clear,” Long said, scratching his head anxiously. “Don’t mumble like an old woman.” “I can’t tell you now. There are many parts I haven’t figured out yet.” “Damn it, why can’t you tell me? I can help you think about it. Unless you think I’m stupid. If you can’t figure it out, there’s no way I can.” “Where did you get that idea?” Hou Longtao laughed.

“Is that it? Is that it? If it’s not, then say it.” Long stood up, still relentless. “Alright, alright, sit down, sit down, sit down. What I’m about to tell you has to be kept secret.” “Don’t worry. When have I ever let a third person know something you told me in confidence?” “Okay, my ideas are just guesses. There’s no factual basis.” Hou Longtao shared his doubts with this guy he treated like a younger brother.

Long listened to Hou Longtao’s words as if he were listening to a story. “Damn, it’s like listening to ‘Romance of the Three Kingdoms’ [a famous Chinese historical novel]. It’s always interesting to hear you tell stories.” “Damn you, I wasted so much saliva. What did you come up with? Can you solve my questions?” “No way. I just said, if you can’t figure it out, there’s no way I can.” “Wang An, that wasn’t your tone just now. Damn it, you’re trying to trick me too.”

“No, no. Anyway, I can’t sleep. Instead of listening to you sighing, I’d rather have you tell me stories.” Long smiled, but immediately put on a serious expression. “If your guess is right, even though Uncle Gu didn’t intend to harm you, he still set you up. He’s our elder, so it’s not unacceptable to be used by him a little. But did Third Brother know about it beforehand? Was he in on it?”

“What about you? If your old man asked you to do the same thing for him, would you do it?” “Exactly the same situation?” “Yes, with no particularly direct negative impact on me.” “But there’s still a tiny, tiny, tiny bit, but it’s a permanent indirect negative impact,” Long raised his head, closed one eye, and held his thumb and forefinger in front of him, forming a very narrow slit. “I wouldn’t do it.”

“That’s it then. I believe Third Brother didn’t know about it beforehand. Maybe Uncle Gu planned to never let him know.” “Fourth Brother, do you really trust us that much? Do you never doubt us?” “Hmph, if a man doesn’t have a few friends he can completely trust in his life, then he can only be described as ‘pathetic.'” Hou Longtao looked at the dawn breaking on the horizon, a smile appearing on his face…

At 8:08 AM, the T13 train arrived at the Shanghai Railway Station on time. About half an hour later, Hou Longtao and Lin Long walked side by side to the front square. Early April is one of the few comfortable seasons in Shanghai, and the two young men who had been up all night felt refreshed. “Great Shanghai,” the “economic capital” of the People’s Republic of China, a world-renowned modern metropolis, how will it welcome these two uninvited guests…