1. Represented Yancheng GCTZ Development Co., Ltd. and Jiangsu YX Construction Development Co., Ltd. in handling historical debt issues, including representing the above companies with Jiangsu XY Holding Group Co., Ltd., Jiangsu XY Environmental Protection Equipment Co., Ltd., Liu Moumou, and Jiangsu HJ Trading Co., Ltd. , Zhou Moumou, Jiangsu FY Real Estate Co., Ltd., Jiangsu XY Port Construction Engineering Management Co., Ltd., Jiangsu XY Water Co., Ltd. and other private lending disputes and debt dispute arbitration cases, the total subject amount of the two cases exceeded 1.4 billion yuan, May 17, 2023 A comprehensive victory has been achieved. (1) This special project will give clear legal characterization to the legacy issues caused by the local government’s investment promotion and industrial investment in the past ten years. The local government has provided various forms of financial support through multiple platforms, including entrusted loans, direct borrowings, transfers without loan contracts, advance payment of project funds, triangular debt offsets, etc., which were not clearly defined before. Legal nature and specific amount. Through this special disposal, we assisted the client to clarify all capital flows, clarified that the above-mentioned funds of the local state-owned assets platform were loans, and promoted the signing of a creditor's rights collection agreement with the other party, establishing the legal nature of the creditor's rights of 1.4 billion yuan. . At the same time, in view of the credit enhancement measures, the articles of association of the guarantor company were reasonably reviewed in accordance with the provisions of the "Nine People's Minutes" and the "Judicial Interpretation of the Guarantee System", and the resolution documents of the guarantor company were obtained to further improve the protection of creditor's rights.
2) This special project determines the path to quickly and legally handle the historical claims of government platform companies through arbitration. Because the above-mentioned 1.4 billion yuan claim involves a wide range of issues, a huge amount, and complex factual and legal relationships, there are different opinions within the client on how to deal with it. Some people believe that some assets can be divested from the overseas listed company system through the actual controller of the borrower. Debt repayment solves the problem of debt disposal. In this regard, we analyzed the above-mentioned "replacement" plan based on the actual situation as unfeasible, and proposed three methods of arbitration/litigation disposal, debt-for-debt disposal and bankruptcy reorganization disposal. From this, we further combined with the above-mentioned claims/guarantee measures that have not been disclosed at the listed company level in history, and suggested that clients give priority to arbitration/litigation disposal methods. In the litigation/arbitration plan, based on our understanding of the current court’s relatively strict trial standards for private lending cases, and combined with the actual situation of extremely complex basic capital flow in this case, we recommended that the client choose the arbitration plan.
(3) In arbitration cases, the case is completely successful by strengthening the arbitral tribunal’s evidence through the debt collection agreement and exhausting the underlying capital flow and other evidence as much as possible. Although the creditor's rights aggregation agreement can fully prove the creditor's and debtor relationship between the two parties, the legal team fully expected that the arbitral tribunal would be cautious about the state-owned platform's borrowing qualifications and whether the underlying capital flow was true, as well as the factual concerns of the case. It also involves differences between the mortgage registration and the actual situation due to the requirements of the Real Estate Registration Center in real estate mortgages, the existence of new loans to repay old ones in ship mortgages and the failure to handle new registrations in a timely manner, and whether Hong Kong listed companies need to refer to the application of the Judicial Interpretation of the Guarantee System. For legal issues such as disclosure, the legal team uses a high degree of professionalism and professionalism to give full play to the advantages of a corporate team, deploy capable forces, overcome difficulties such as a long history, personnel changes, and loss of financial information, and assist customers in checking every capital flow ( Involving the cooperation of multiple parties such as the local management committee, finance, and multiple banks) and summarizing it to form legally significant figures and evidence, at the same time, the above legal issues were peeled off one by one to restore the facts, and finally obtained the comprehensive approval of the arbitration committee at the professional level Recognized, more than 1.4 billion yuan of claims were confirmed through arbitration awards, putting the local state-owned assets platform in a favorable situation of "advancing, attacking, retreating and defending".
