Still, I Will Live As The Son-In-Law Of A Conglomerate [EN]: Chapter 112

33rd. Winter and Spring, On the Border of Beginning and End (4)

“However, neither I nor the CEO will be overseeing every single detail of Haedong Securities’ operations. We will be closely monitoring performance, though. Wouldn’t you agree, CEO?”

As I turned to ask, Cho Young-chan nodded.

“Of course. Aside from the major directives, you all will have to grow Haedong Securities on your own.”

“We are prepared for that, CEO. And so…”

Min Joo-hyung continued where he had left off.

“We hope that the stock options we are giving up will be distributed among all members of the group.”

‘Oh, now this is a fresh idea.’

Intrigued by Min Joo-hyung’s counter-proposal, I asked for the reason.

“Why is that?”

“I am confident that Haedong Securities will become the best carriage navigating the financial markets of Korea, no, Asia. We will be the horses, and Director Lee and the CEO will be the coachmen.”

“Anyone would think we’re running a black company [exploitative labor practices], haha.”

Min Joo-hyung, who seemed puzzled by the term ‘black company’ coming from my mouth, gave an awkward smile.

“Still, we have to work hard since we received 0.5 percent of the shares. Anyway, I think we should share the ticket to this top-notch carriage called Haedong Securities with our group members, haha.”

Seeing Min Joo-hyung’s easygoing laughter and the nods of agreement from Joo Seung-bin and the other 18 employees, I felt gratified. As the owner, I couldn’t just stand by.

“Then I will also donate 20 percent of my 80 percent stake to Haedong Merchant Bank and contribute 5 percent to the employee welfare fund. It’s all thanks to Haedong Group that we’ve gained such valuable talents like you all.”

This way, Haedong Corporation and Haedong Merchant Bank can also benefit from dividend income or stock price gains from Haedong Securities shares, and it will be easier to take care of the welfare of Haedong Group employees in the future. Min Joo-hyung, after exchanging glances with Joo Seung-bin and the other employees, looked at me and said,

“Then we will also contribute our shares to the employee welfare fund, Director Lee.”

“What do you think, CEO?”

Cho Young-chan, who had everyone’s attention, pondered for a moment before readily nodding.

“Is there any reason to refuse? Your company loyalty brings tears to my eyes. Let’s continue to do well in the future. This time, you lead the toast, Director Lee.”

“Yes, CEO. Everyone, fill your glasses.”

Once again, we filled our glasses and raised them high.

“To Haedong Securities!”

“Cheers!”

With the toast, the final preparations began. By this time next year, Haedong Securities would be the best securities firm in the country.

***

Some time later.

Cho Young-chan and I came to Gimpo Airport to see off the Haedong Securities team and Park Tae-jin, who were leaving for Hong Kong.

This project was not just about making money, but also about verifying whether they were the talents who would lead Haedong Securities, or rather, the financial sector of Haedong Group. Since I had to stay in Korea, Park Tae-jin was assigned the role of on-site evaluator.

“Have a good trip. Don’t skimp on food to save money and ruin your health.”

“Thank you, CEO.”

Cho Young-chan stroked Min Joo-hyung’s arm, who bowed his head, and smiled before stepping back. Cho Young-chan winked at me with a smile, and I took a step closer to Park Tae-jin.

“Have a good trip, hyung [older brother or close male friend].”

“I will, Director Lee.”

Thus, Cho Young-chan and I conveyed words of encouragement to the remaining members based on the information we had gathered in advance, and watched them walk into the departure hall.

“All that’s left is for those guys to do well.”

“Indeed.”

It felt strange to be separated from Park Tae-jin for the first time. He was also supposed to be taking care of his romance with Yoo Hyun-jung… As I was feeling a little down, Cho Young-chan put his hand on my shoulder.

“Don’t worry, Sung-min. Tae-jin also thinks of this opportunity as a chance to prove his worth.”

It was the first time Cho Young-chan had spoken to me informally, but it didn’t sound unpleasant. Rather, it felt like I was being comforted by my great-uncle, which made me feel at ease.

“Yes… CEO.”

We got into the car waiting outside the airport and returned to Seoul. I hoped they would do well and come back.

***

The next morning.

The Haedong Securities team, who had spent a night in Hong Kong, went to their office for the first time.

From today, they would use this place as their base camp to play a big game in the legal casino called the Hong Kong stock market.

“It’s strange. To be reporting to a branch before the head office.”

“You’re telling me, Director Lee.”

The people who entered the office couldn’t hide their admiration as they looked around at the neatly set up computers and large displays. Park Tae-jin chuckled as he watched Min Joo-hyung marveling as if he were seeing a new world.

“The CEO and Director Lee were very considerate, thinking about your hard work. How does it compare to Standard?”

“It’s decent enough. I’ll have to thank the CEO and Director Lee when I get back, hehe.”

The two, who had joined the company at the same time, smiled at each other. Park Tae-jin had been promoted faster, but since they had been close friends since their early days in the company, they spoke to each other casually.

After having breakfast with Hong Kong-style French toast and milk tea that they had bought before entering the office, they gathered in the conference room and were having a meeting, writing something on the whiteboard.

“So… the key is Red chips [stocks of Chinese state-owned enterprises listed on the Hong Kong stock exchange], right?”

“Yes, Director Lee. Whether it’s the state-owned enterprises of mainland China or the investors in the Hong Kong stock market, it will be a relationship like crocodiles and crocodile birds [symbiotic relationship]. We also analyzed it before coming, and our opinions are the same as the reports that the CEO, Director Park, and Director Lee gave us.”

After Joo Seung-bin answered Min Joo-hyung’s question, Park Tae-jin opened his mouth.

“As you can see, the state-owned enterprises of mainland China must have judged that raising funds in the Hong Kong stock market is much more profitable than in the Shanghai stock market. Hong Kong has an advantage in credibility.”

“That’s true. Who would trust the commie bastards and invest in the mainland stock market? The stock market regulations are already strict enough.”

Min Joo-hyung shrugged and sneered at China’s unreliable politics and conservative economic policies, and Park Tae-jin chuckled and continued the briefing.

“There’s also the fact that investors will trust the Chinese state-owned enterprises registered on the Hong Kong stock market. To be exact, they will believe that those state-owned enterprises have good guanxi [connections; relationships] with the Chinese high-ranking officials.”

“Does that mean that growth is guaranteed because guanxi is guaranteed?”

Joo Seung-bin seemed reluctant, but Park Tae-jin didn’t scold him harshly. Knowing that Joo Seung-bin invested based on objective data, Park Tae-jin comforted him.

“It can’t be helped, Manager Joo. I also studied while preparing this report, and you shouldn’t invest in ‘Red chips’ based on objective data. You’re betting on people’s expectations and desires.”

“This is like entering a casino? Hehe.”

Unlike Joo Seung-bin and the other ten who were uneasy, Min Joo-hyung and the other ten were already clenching their fists or raising the corners of their mouths. Wasn’t the Min Joo-hyung group the ones who showed animalistic senses from America?

After exchanging questions and answers and organizing their opinions, Min Joo-hyung came to a conclusion.

“Currently, the Hang Seng Index is at 13,200 points. For now, do arbitrage trading in the Hong Kong, Singapore, London, New York, and Tokyo stock markets. If it rises more than 5 percent, sell spot and buy futures, and if it falls more than 5 percent, take the opposite position.”

“Yes, Director Lee.”

Even with the same Hang Seng Index, there are slight price differences in each stock market, and considering the exchange rate differences between countries, the price difference widens further. Everyone understood Min Joo-hyung’s instructions to safely increase funds until a clear signal was seen.

After setting the big picture, they finished the division of tasks and organization according to the policy, and immediately sat in front of the computer and started ‘legal gambling.’

Unlike them, Park Tae-jin organized each person’s characteristics based on the memos he had left during the meeting. He was sad to be separated from Lee Sung-min for the first time, but it was also an opportunity to show his abilities, so Park Tae-jin’s eyes were full of motivation as he organized the personnel records.

***

While Haedong Group was drawing a new future and playing a game in Hong Kong, the future was getting darker and darker in Korea.

The ruling party passed the revised labor law and the National Security Planning Agency law in the National Assembly in a surprise attack on December 26, the day after Christmas, resulting in the famous ‘labor law sneak passage.’

In response, all workers began a general strike under the command of the two major labor unions, and almost all factories across the country were paralyzed. Haedong Group was no exception, but the reason was different.

[You guys should also participate in the strike.]

[Pardon?]

The Haedong Group union representatives couldn’t believe the proposal from the CEOs of the affiliates.

They had protected the company and the factory even during the 1987 Great Labor Struggle by leaving the industrial union because the company provided lifetime employment, bonuses, and various welfare benefits even if it didn’t allow breaks not stipulated in the regulations, but now they were being told to go on strike?

[If you guys are left out this time, our group will be isolated in the business world. Your position within the labor community will also narrow. So just match the rhythm appropriately. Your salary will be paid normally.]

High-ranking executives of Haedong Group, including the group’s top management, were concerned that the group would be isolated by both the business and labor communities. The Haedong Group union leadership was just as worried, so they participated in the strike without hesitation.

As the general strike broke out, anxious foreign investors began to withdraw capital from Korea. As a result, the worst happened on January 2, 1997.

[This is breaking news. At 9:05 this morning, Hango Group went bankrupt. This is because other banks, starting with Jeil Bank, which dishonored 1.5 billion won worth of bills that had matured, simultaneously dishonored Hango Group’s bills…]

Sun Hae-chul and I, who were sitting on the sofa watching TV, sipped our morning tea with grim expressions.

“It must be Jang Ho-min’s doing, right?”

“Probably. If Jeil Bank threw the bill [refused to honor the payment], there’s no need to even look.”

Jang Ho-min finally made it happen. Although he did it under Jang Ho-min’s instigation, the banks also had a lot to say about Hango Group’s bankruptcy, so the ‘Little President,’ who was the main culprit of this situation, and the owner of the Blue House [Korean presidential residence], who had the ‘Little President’ as his son, couldn’t say anything.

Of course.

Hango Group had been ripping things off to an excessive degree. They used 4.5 trillion won and 1.2 billion dollars, but only used 200 billion won for the steel mill construction!

However.

Neither the Jung Taek-joo family nor Jang Ho-min and his accomplices could have predicted that Hango Group’s bankruptcy would be the fuse for the foreign exchange crisis. Sun Hae-chul offered comfort as he saw me unable to hide my bitterness.

“It’s not your fault, you rascal. Why are you making a guilty face when those bastards did something that deserved to fail?”

That’s right. It’s not my fault. It will be helpful to this country to sweep away all the rotten guys and create a new board.

As I smiled faintly to erase my guilt, Sun Hae-chul looked at me with a soft smile and asked.

“Then is it time for the Chairman and Vice Chairman to step up? Hehe.”

“Probably? To make Jang Ho-min throw real money into Hango Steel.”

I wonder if my uncle will do well. He was like his grandfather’s blood when he destroyed the Seongsu Bridge [bridge collapse due to corruption and poor construction], but he has to bluff well today…

***

While Lee Sung-min was worrying at Standard Capital in Yeouido, the heads of each group, who had been summoned to deal with the Hango Group situation, were getting out of large sedans and repeatedly entering the Federation of Korean Industries building in front of the Federation of Korean Industries Hall. Because it was such a big deal, Lee Dae-soo took Go Seung-joo and Lee Myung-jin to the Federation of Korean Industries Hall.

“They should have given the favors or loans to the guys who would do the job well… Ugh, damn bastards.”

Lee Dae-soo spat out bluntly with a displeased expression. Go Seung-joo and Lee Myung-jin also despised Hango Group, but they quietly followed him into the Federation of Korean Industries Hall.

When they arrived in front of the conference room, Go Seung-joo and Lee Myung-jin opened both doors, and Lee Dae-soo followed behind them into the conference room.

“Have you arrived, Chairman?”

“Sorry I’m late, Chairman Chae. Sorry I’m late.”

Lee Dae-soo waved his hand as he looked at Chae Jung-hyun, who had risen from the chairman’s seat, and greeted the other chairmen, then took off his fedora and sat down with Lee Myung-jin. Seeing Lee Dae-soo sit down, Chae Jung-hyun lightly tapped the gavel.

“Now that everyone is here, let’s begin. Hango Group went bankrupt this morning. Our Federation of Korean Industries must seek ways to respond to the aftermath and cooperate with the government.”

“Chairman Chae is right. Jeil Bank has already been eroded by capital, and the aftermath has affected the Industrial Bank, Chohung Bank, Foreign Exchange Bank, and other banks that we do business with. If the settlement is delayed, we will be in danger.”

Not one or two people’s faces were turning dark at Oh Hyun-moo’s subsequent remarks.

Most of the groups had grown in size with loans from the banking sector, but the Hango Group situation had created nearly 6 trillion won in bad debts in the banking sector. If they started collecting instead of extending the loans, a chain of bankruptcies was unavoidable.

One of the chaebol [large family-owned conglomerates] chairmen sitting in his seat raised his hand to gain the right to speak, and then opened his mouth with an expression that he could not agree with Oh Hyun-moo.

“Still, it’s not our responsibility. Frankly, wasn’t it the son of the owner of the tiled house over there who gave money to guys like Jung Taek-joo? If they’re going to take responsibility, they should take it from that house.”

The place that the chaebol chairman was pointing to with his hand was in the direction of Mount Bukak. In other words, it was the Blue House.

“That’s right! Was it reasonable to lend nearly 6 trillion won to guys who were doing business based on the words of fortune tellers? Moreover, that loan included a foreign currency loan of 1.2 billion dollars!”

“This is not the fault of our business community! If there are different people who shit and different people who clean up, who would do business in this country?”

Normally, they would not have done this, but knowing that the accomplice in this situation was the second son of the president, the chaebol chairmen gathered here loudly criticized and tore apart the Blue House and the government. It was Jang Ho-min, who attended as the representative of Shinseong Group along with Jang Ho-gun, who changed the atmosphere of criticism.

“Then, what should we do with Hango Group? It’s a ruined company anyway, but it’s a waste to leave it as it is. We have to save what we can save, right?”

“Then, what are you going to do? We can’t build a steel mill with nearly 6 trillion won in debt, can we?”

Jang Ho-min smiled at the other chaebol chairman’s question.

“How about we do this? If there is anyone among us who wants to, we can acquire Hango Group’s assets at a reasonable price.”

“Is there a way?”

“Yes. We can fill the Hango Steel’s deficit as much as possible with the funds from selling Hango Group’s core affiliates, and then receive some public funds to get rid of the remaining debt before bidding.”

“Hmm…”

Regardless of the intentions of the Jung Taek-joo family or the political world, it was a sound to treat the rotten and festering Hango Group with the people’s blood tax and divide it up as they pleased, but no one objected to Jang Ho-min’s proposal.

Everyone sitting in their chairs nodded or made humming noises with the expression that it was natural for the main culprits of this situation to take responsibility.

Jang Ho-min maintained a nonchalant expression even while seeing the atmosphere leaning towards him. He couldn’t let anyone know that it was the most advantageous plan for him to eat Hango Steel, could he?

The only people in this conference room who knew Jang Ho-min’s scheme were the three representatives of Haedong Group. Lee Dae-soo, one of them, gave a wink to Lee Myung-jin next to him, and Lee Myung-jin raised his hand.

“Please speak, Vice Chairman Lee Myung-jin.”

“Thank you, Chairman.”

Lee Myung-jin got up from his seat after gaining the right to speak from Chae Jung-hyun.

“I also agree with Vice Chairman Jang Ho-min’s opinion. However, if it becomes public funds that only save large corporations, the public’s eyes will turn sour on us.”

“Then, what are you going to do?”

“If we have to save it, I think we should save the subcontractors related to Hango Steel. Even if it’s not all of them, we should save the decent subcontractors to support the place that will acquire Hango Steel, shouldn’t we?”

Jang Ho-min’s eyes widened and sharpened at Lee Myung-jin’s bombshell remarks. To pour shit on his plan so openly!

While Jang Ho-min was trembling with his fists clenched tightly under the desk, this time Lee Dae-soo gained the right to speak and turned on the microphone in front of him.

“I have been so engrossed in the tasks that have been passed down since my father’s time that I have been truly indifferent to this land. If the price is right, I will acquire other affiliates besides Hango Steel.”

Lee Dae-soo leaned back on the backrest after finishing his speech, and Jang Ho-min looked at Lee Dae-soo and Lee Myung-jin with an absurd look. He couldn’t figure out what the father and son were up to together.