China Economy: News & Discussion

HariPrasad-1

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After WWII, both China and India needed social reform from the acient social structure. CCP chose the most bloody way, India chose the gentle way.

But China made the transformation 100%, this is ready for fast industrilization; the econimic development proved this.

India from my pov failed in this transformation or incompleted, that's why within recent 30 yrs, India became 1.2:1 to 1:5.5 messured by GDP.

On the other hand, CCP and Mao's group did killed 10 millions of people during at the beginning, but how many Indian died by hunger, malnutrition, inliteray, lack of infrasctures... I think it's times more.
It's just make people don't blame the certain person, but all Indian took the consequence and still suffering.

I always thought if the Bose were in power, India would be much better, or Modi should be born in 1910.

Do you want to say that no chinese have died post Mao because malnutrition or hunger. Even they are fully nourished and full stomach today? Infact, your government won't mind if your citizens are hungry. Xi is not an elected popular president. In democracy, we take care of every one. Take one Latest example. When the Corona broke out in wuhan, your police went to to every home and sealed leaving people to die. On the other hand, Indian doctors and police go to remotest corner to look for any possible corona infected patient, take them to hospital, treat them till he or she recovers. It is not in fate of you guys. You can just blow the bugle of your economic development every time.
 

no smoking

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Do you want to say that no chinese have died post Mao because malnutrition or hunger. Even they are fully nourished and full stomach today?
Not single country can guarantee that there is no malnutrition or hunger. Even US can't. The point is Chinese people are much better feed than India people today. The simple fact is: with similar population size, 40% more food output, China is a net food importer while India is net food exporter, anyone can imagine how well average India people is feed.

Infact, your government won't mind if your citizens are hungry. Xi is not an elected popular president.
Well, Chinese government mind VERY MUCH about the Chinese stomach. The government which ignored this issue lost the last election in 1949. The last CCP leader who made the mistake on this issue paid his life. A terrible democratic leaders can last until next election if people are not happy about him. Xi won't get that much time.

In democracy, we take care of every one.
Take one Latest example. When the Corona broke out in wuhan, your police went to to every home and sealed leaving people to die.
[ Mod Edit: -- Don't Flame -- ]

forcing 15 million people to live with dead bodies for 2 months?

On the other hand, Indian doctors and police go to remotest corner to look for any possible corona infected patient, take them to hospital, treat them till he or she recovers. It is not in fate of you guys. You can just blow the bugle of your economic development every time.
[ Mod Edit: -- Personal Attack -- ] in other countries, your doctor or police don't need go to the remotest corner because these remotest corners to look for patient, they should have their own doctors or medical staffs to look after them REGULARLY.

Wait, until last Sunday (19/04/20), India only tested total of 386,791 people in the whole country. With this number, I really doubt how many remotest corners did your doctors and police go and how did they look for possible patient.
 
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skywatcher

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Manufacturing Is 'Lifeline' Of China's Economy After Coronavirus, Xi Says | NBC News

 

skywatcher

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Shanghai Disneyland Reopens With Strict Safety Procedures
BROOKS BARNES2020年5月11日
周一,穿着角色服装的演员们在上海迪士尼乐园重新开园庆典上。这是迪士尼度假区中第一个恢复运营的乐园。
周一,穿着角色服装的演员们在上海迪士尼乐园重新开园庆典上。这是迪士尼度假区中第一个恢复运营的乐园。 SAM MCNEIL/ASSOCIATED PRESS
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The elephants are flying again.
小飞象又飞起来了。
On Monday, one of the Walt Disney Company’s 14 closed theme parks, Shanghai Disneyland, reopened to visitors on a limited basis, offering a first peek into the kind of escape Mickey Mouse can offer in the age of face masks, social distancing and disinfectants.
周一,华特迪士尼公司(The Walt Disney Company)14个被关闭的主题公园之一——上海迪士尼乐园向游客限流重新开放,让人们首次窥探到了米老鼠在口罩、社交距离和消毒剂时代所能提供的那种逃离感。
“It has been an emotional morning,” Joe Schott, president and general manager of the Shanghai Disney Resort, said in a phone interview. “There is light at the end of the tunnel.”
“这是一个激动人心的早晨,”上海迪士尼度假区(Shanghai Disney Resort)总裁兼总经理乔·肖特(Joe Schott)在接受电话采访时说。“隧道的尽头有曙光。”
From a business standpoint, Shanghai Disneyland will be operating far below its potential. The Chinese government has limited capacity at the park to 24,000 people daily, less than one-third of its pre-outbreak capacity. Bob Chapek, Disney’s chief executive, said last week that Disney would reduce ticket sales even further — “far below” the government’s limit, in his words — to make sure that employees can enforce new safety rules, including temperature checks for ticket holders upon arrival. Fewer tickets sold means decreased food and merchandise sales.
从商业角度来看,上海迪士尼乐园的经营将远低于其能力范围。中国政府已将乐园的日接待量限制在2.4万人,不到病毒暴发前的三分之一。迪士尼首席执行官鲍勃·查普克(Bob Chapek)上周表示,迪士尼将进一步减少门票销售量——用他的话说,“远远低于”政府的限制——以确保员工能够执行新的安全规定,包括在持票人抵达时进行体温检查。门票销售量减少意味着食品和商品销售量也将减少。
中国政府将乐园接待客人数量限制在每天2.4万人以内。

中国政府将乐园接待客人数量限制在每天2.4万人以内。 HECTOR RETAMAL/AGENCE FRANCE-PRESSE — GETTY IMAGES
Yet the reopening carried immense symbolic importance. It sent a message to Disney’s furloughed park employees — 43,000 in Florida alone — about the future: There will be one.
然而,重新开园具有巨大的象征意义。它向那些被休假的迪士尼员工的未来发出了一个信号。仅在佛罗里达州,就有4.3万名迪士尼员工被休假。
Investors have been relieved. Disney shares have climbed 8 percent since May 5, when Mr. Chapek announced that Shanghai Disneyland would reopen, perhaps paving the way for similar actions at Disney resorts in the United States, Japan and France. The limited number of tickets that Shanghai Disneyland put on sale for this week sold out within hours, suggesting that people are willing to resume public activities, even without a vaccine.
投资者们纷纷松了一口气。自5月5日查普克先生宣布上海迪士尼乐园将重新开放以来,迪士尼的股价已经攀升了8%。上海迪士尼的重新开放或许将为美国、日本和法国的迪士尼度假区的类似行动铺平道路。上海迪士尼乐园本周限量发售的门票在数小时内就已售罄,这表明即使没有疫苗,人们也愿意恢复公众活动。

Time will test the ability of Disney’s theme parks to program out negative aspects of life and emphasize the positive.
时间将考验迪士尼的主题公园是否有能力应对生活中的消极面,并突出积极的一面 。
When the Shanghai resort reopened on Monday, according to videos of the event, cast members — Disney’s term for employees — lined Mickey Avenue, which leads to the castle and aerial Dumbo ride, and waved madly as they greeted attendees. Belle, Minnie, Woody, Duffy and other costumed characters appeared with welcome banners as a marching band played an upbeat “Mary Poppins” tune.
活动视频显示,周一上海度假区重新开业时,演员(这是迪士尼对员工的称呼)在通往城堡和小飞象(Dumbo ride)的米奇大道(Mickey Avenue)上排成一排,疯狂地挥手,向来宾们打招呼。贝儿(Belle),米妮(Minnie),伍迪(Woody),达菲(Duffy)和其他角色们打着欢迎横幅出现在活动现场,乐队演奏着欢快的“玛丽·波平斯(Mary Poppins)”曲调。
园区内的游客被要求戴上口罩,并在地面上用胶带做了标记,以保证社交距离。

园区内的游客被要求戴上口罩,并在地面上用胶带做了标记,以保证社交距离。 ALY SONG/REUTERS
“Life can get you down,” Mr. Schott said. “Our brand is about hope.”
"生活会让你沮丧,"肖特说。"我们的品牌是关于希望的。"
To safely reopen, however, Shanghai Disneyland had to allow some of the grimness of pandemic life to puncture the utopian fantasy. All guests and park employees must wear face masks. Costumed characters are the only exception, and they now pose for photos from afar. The park is dotted with garbage cans dedicated solely to used face masks.
然而,为了安全地重新开园,上海迪士尼乐园不得不让一些在病毒大流行下生活的严峻性刺破乌托邦式的幻想。所有游客和乐园员工都必须戴上口罩。盛装角色是唯一的例外,他们现在只能在远处摆出姿势拍照。公园里到处都是专门用来存放用过的口罩的垃圾桶。
Parades have been suspended because people crowd sidewalks to watch them. Theater shows also remain closed. For now, Shanghai Disneyland will offer an evening castle show but no fireworks. To discourage people from bunching up in line as they wait for rides, Disney has placed purple social-distancing mats on the ground.
巡游表演已被暂停,以防止人们挤在人行道上观看。剧院表演也尚未开放。现阶段,上海迪士尼乐园将提供一个晚间城堡表演项目,但不燃放烟花。为了阻止人们在等待乘坐娱乐项目时聚集在一起,园区在地面上放置了紫色的保持社交距离地垫。
一位游客实践着保持社交距离的规定。

一位游客实践着保持社交距离的规定。 HECTOR RETAMAL/AGENCE FRANCE-PRESSE — GETTY IMAGES
“So far, guests are being very, very respectful about social distancing,” Mr. Schott said.
“到目前为止,游客们对保持社交距离非常、非常尊重,”肖特说。
To ward off germs, Disney has decided to leave rows of seats empty on rides like Pirates of the Caribbean. Employees have been deployed to constantly disinfect ride vehicles and lap bars. Want to hop on Buzz Lightyear’s Planet Rescue, where riders zap targets with hand-held blasters? You now must wear plastic gloves.
为了抑制细菌,迪士尼已决定在“加勒比海盗(Pirates of the Caribbean)”之类的游乐设施中设置隔排空位。员工不断为游乐设施游乐和座位上的扶杆消毒。想乘坐“巴斯光年星际营救(Buzz Lightyear’s Planet Rescue)”,手持爆破装置击中目标?现在,您必须戴上塑料手套。

The Shanghai Disney Resort began to reopen in early March. First, an adjacent shopping mall, Disneytown, resumed operations. Lego, Build-A-Bear, Swatch, Nike and Starbucks have stores there. Two other areas of the resort, a lakeside area called Wishing Star Park and the upscale Shanghai Disneyland Hotel, also gradually reopened before the theme park itself.
上海迪士尼度假区于3月初开始重新开放。首先恢复营业的是邻近的迪士尼乐园购物中心。乐高(Lego),“熊熊工作室”(Build-A-Bear),斯沃琪(Swatch)、耐克(Nike)和星巴克(Starbucks)在这里均设有店面。度假村的其他两个区域——被称为星愿公园的湖边区域和高档的上海迪士尼乐园酒店,也在主题公园本身开放之前即逐步重新开放。
Disney owns 43 percent of the $5 billion resort, with the majority stake held by a Chinese state-controlled consortium. Disney owns 70 percent of the management company that operates the property.
迪士尼拥有这个价值50亿美元的度假区43%的股份,度假区的多数股权由中国国有集团持有。迪士尼拥有经营该物业的管理公司70%的股份。
Shanghai Disneyland attracted roughly 12 million visitors last year, an 8 percent increase from 2017, its first full year of operation, according to the Themed Entertainment Association. To compare, Disney’s No. 1 park, the Magic Kingdom at Disney World in Florida, had about 21 million visitors last year. The troubled Hong Kong Disneyland had attendance of 6.5 million.
根据主题娱乐协会(Themed Entertainment Association)的数据,去年,上海迪士尼乐园吸引了约1200万游客,比2017年(其首个完整运营年份)增长了8%。相比之下,迪士尼的第一家公园——佛罗里达州迪士尼世界之魔法王国(Magic Kingdom at Disney World),去年共接待了2100万游客。陷入困境的香港迪士尼乐园的年游客量为650万。
It is unclear when Disney’s other theme parks may start to reopen. But Disney has signaled that its vast resort in Florida could be next. The shopping mall there, Disney Springs, will begin phased reopening on May 20.
目前尚不清楚迪士尼的其他主题公园何时会重新开放。但迪士尼已暗示其位于佛罗里达州的大型度假区可能是下一个。那里的购物中心迪士尼温泉(Disney Springs)将于5月20日开始分阶段重新开放。
 

skywatcher

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China relocates villagers living in 800m-high cliffs in anti-poverty drive

They used to call an 800m-high cliff home, but dozens of villagers in China's Sichuan province have now been relocated to an urban housing estate.



Atulie'er village became famous after photos emerged showing adults and children precariously scaling the cliff using just rattan ladders.

Around 84 households have now been moved into newly built flats as part of a local poverty alleviation campaign.

It's part of a bigger national campaign to end poverty by the end of 2020.

'So happy I got a house'
Atulie-er village made headlines in 2016 when it was revealed that its villagers had to scale precarious ladders to get home, carrying babies and anything the village needed.

Soon afterwards the government stepped in and replaced these with steel ladders.

The households have now been moved to the county town of Zhaojue, around 70km away.

They will be rehoused in furnished apartment blocks, which come in models of 50, 75 and 100 sq m - depending on the number of people in each household.

It'll be a big change for many of these villagers, who are from the Yi minority and have lived in Atulie-er for generations.

Photos on Chinese state media showed villagers beaming, one of them telling state media outlet CGTN that he was "so happy that I got a good house today".



'Big financial burden'
According to Mark Wang, a human geography professor at the University of Melbourne, such housing schemes are often heavily subsidised by the government, typically up to 70%. However, in some instances families have been unable to afford the apartments despite the subsidies.

"For some really poor villages, the 30% may still be difficult for them to pay, so they end up having to borrow money - [ironically] causing them even more debt," he told BBC News.

"For the poorest, it's a big financial burden and so in some instances, they might have to stay."

According to Chinese state media outlet China Daily, each person will have to pay 2,500 yuan ($352; £288) for this particular move - so for a family of four, the cost would come up to 10,000 yuan.

This is quite a low price, says Mr Wang, as he had heard of people having to pay up to 40,000 yuan for other relocation projects.

Mr Wang says in most poverty resettlement campaigns, villagers are given a choice whether or not to move, and are not usually moved into cities from the countryside.

"In most instances it's a move to a county town or a suburb. So it's not like they're moving to a big city. Not everyone wants an urban life and most of those who do would have already left these villages and moved to the big cities," he says.

"Usually the government [puts a limit] on the resettlement distance. This is in most people's favour because it means they can keep their farm land, so that's very attractive."

The Atulie'er villagers will share this new apartment complex with impoverished residents across Sichuan province.

Around 30 households will remain in the Atulie'er village- which is set to turn into a tourism spot.

According to Chinese state media outlet China Daily, these households will effectively be in charge of local tourism, running inns and showing tourists around.

The county government has ambitious plans - planning to install a cable car to transport tourists to the village and to develop some surrounding areas. An earlier report said there were plans to turn the village into a vacation resort, with state media saying the state would pump 630 million yuan into investment.

Though these developments are likely to bring more jobs to the area, it's not clear what safeguards are in place to make sure that the site's ecological areas are protected and not at risk of being overdeveloped.

Chinese President Xi Jinping has declared that China will eradicate poverty in China by 2020.

There's no one standard definition of poverty across all of China, as it differs from province to province.

One widely quoted national standard is 2,300 yuan ($331; £253) net income a year. Under that standard, there were around 30 million people living in poverty across the whole of China in 2017.

But the 2020 deadline is approaching fast - and Mr Wang says the plan could be derailed by the virus outbreak.

"Even without Covid-19 it would be hard to meet this deadline and now realistically, it has made it even more difficult."

BBC made a doc about this Yi minority village two years ago.

now they're moving into new homes.
 
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LurkerBaba

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Please avoid disrupting threads with OT content. I've moved posts to this thread

 
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skywatcher

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China's New Infrastructure

Contrasting with the traditional infrastructure (railways, airports etc), New Infrastructure is a major Chinese social-economic project launched in 2019 and gets acceleration in the post COVID-19 pandemic to lift economy.

It consists of 7 aspects that are greatly underpinned by the Chinese government:

1. 5G
2. Ultra High Voltage
3. Intercity High-Speed Railways & Intercity Rail Transit
4. Electric Vehicle Charging Infrastructure
5. Big Data Centers
6. Artificial Intelligence
7. Industrial Internet

For more information, read
 

vampyrbladez

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China's New Infrastructure

Contrasting with the traditional infrastructure (railways, airports etc), New Infrastructure is a major Chinese social-economic project launched in 2019 and gets acceleration in the post COVID-19 pandemic to lift economy.

It consists of 7 aspects that are greatly underpinned by the Chinese government:

1. 5G
2. Ultra High Voltage
3. Intercity High-Speed Railways & Intercity Rail Transit
4. Electric Vehicle Charging Infrastructure
5. Big Data Centers
6. Artificial Intelligence
7. Industrial Internet

For more information, read
What happened to OBOR and Silk Road? Is the Xi faction in CCP losing influence? This sounds more like Jiang Xemin's ideas.
 

Bhurki

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This is really amazing!


Xi's campaign of making China a moderately well-off society by the end of 2020 is not just a vacuous political slogan as in some countries.

For more information, read:
Considering $10,000 gdp percapita is required to break into a middle income nation, i'd agree China, in 2020, indeed has become a moderately prosperous society, even though people still exist towards the bottom end of the spectrum in the rural areas.
 

Bhurki

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China 2020 total government expenditure -
Rmb 24.862 trn ($ 3.5 trn)
2019 expenditure - Rmb 22.1 trn ($3.3 trn)
1590151820590241.jpg
 

lcafanboy

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China's biggest gold fraud, 4% of its reserves may be fake: Report
The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
By IANS | Updated: Jun 30, 2020, 02.01 PM IST

Agencies
China is at the centre of the discovery of what may be one of the biggest gold counterfeiting scandal in recent history.
According to a report in Zero Hedge, not only does it involve China, but it emerges from a city that has become synonymous for all that is scandalous about China: Wuhan itself.
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The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
In short, more than 4 per cent of China's official gold reserves may be fake. And this assume that no other Chinese gold producers and jewelry makers are engaging in similar fraud, the report said.
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In early June, Minsheng Trust, Dongguan Trust and a smaller creditor Chang'An Trust filed lawsuits against Kingold and demanded that PICC P&C cover their losses.
PICC P&C declined to comment to Caixin on the matter but said the case is in judicial procedure. A source from PICC P&C told Caixin that the claim procedure should be initiated by Kingold as the insured party rather than financial institutions as beneficiaries. Kingold hasn't made a claim, the Caixin source said.
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In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan.
The Zero Hedge report said that this exposes just how multi-faceted fraud is in China: capitalizing on pre-existing cronyism and connections with China's powerful army, the founder of Kingold was allowed to basically do anything he wanted, no questions asked, including counterfeiting over 83 tons of gold bars to get billions in funds to participate in China's housing bubble, only for a series of unexpected events to unwind the frauds one after another and expose the type of sordid scandal that is at the heart of most Chinese "enterprises" and business ventures.
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As for the gold, several billion in gold bars never existed and yet resulted in a cascade of subsequent cash flow events allowing tens of billions in funds to be released, "benefiting" not only founder Jia, but China's broader economy.
Which is terrifying because whereas just after the financial crisis China was engaged in building ghost cities, everyone knew these were a symbol of demand that would never materialize, even if the cities themselves did exist. However, it now appears that a major part of China's subsequent economic boom has been predicated on tens of billions in hard assets -- such as gold -- which simply do not exist, the report said.
Kingold is certainly not the only Chinese company engaging in such blatant fraud, and the consequences are clear: once Chinese creditors or insurance companies start testing the "collateral" they have received in exchange for tens of billions in loans and discover, to their "amazement", that instead of gold they are proud owners of tungsten or copper, they have two choices: reveal the fraud, risking tremendous adverse consequences and/or prison time, or quietly buy up all the gold needed to literally fill the void from years of gold counterfeiting.
At the centre of the fraud is Wuhan Kingold Jewelry Inc., a company which as the name implies was founded and operates out of Wuhan, and which says it is a "A Company with a Golden future."
In retrospect, it probably meant "copper" future, because as a an expose by Caixin has found, more than a dozen Chinese financial institutions, mainly trust companies (i.e., shadow banks) loaned 20 billion yuan ($2.8 billion) over the past five years to Wuhan Kingold Jewelry with pure gold as collateral and insurance policies to cover any losses. There was just one problem: the "gold" turned out to be gold-plated copper.
Kingold -- whose name was probably stolen from Kinross Gold, one of the world's largest gold miners -- is the largest privately owned gold processor in central China's Hubei province. Its shares are listed on the Nasdaq stock exchange in New York (although its current market cap of just $10MM is a far cry from its all time highs hit when the company IPOed on the Nasdaq around 2010) . The company is led by Chairman Jia Zhihong, an intimidating ex-military man who is the controlling shareholder.
Well, apparently everything as at least some of 83 tons of gold bars used as loan collateral turned out to be nothing but gilded copper. That has left lenders holding the bag for the remaining 16 billion yuan of loans outstanding against the bogus bars. And as Caixin adds, the loans were covered by 30 billion yuan of property insurance policies issued by state insurer PICC Property and Casualty and various other smaller insurers, the report in Zero Hedge said.
The fake gold came to light in February when Dongguan Trust (one of those infamous Chinese shadow banks) set out to liquidate Kingold collateral to cover defaulted debts. As the report continues, in late 2019 Kingold failed to repay investors in several trust products. To its shock, Dongguan Trust said it discovered that the gleaming gold bars were actually gilded copper alloy.
The news sent shockwaves through Kingold's creditors. China Minsheng Trust - another shadow banking company and one of Kingold's largest creditors - obtained a court order to test collateral before Kingold's debts came due. On May 22, the test result returned saying the bars sealed in Minsheng Trust's coffers are also copper alloy.
And with authorities investigating how this happened, Kingold chief Jia flatly denies that anything is wrong with the collateral his company put up.
As Caxin notes, the Kingold counterfeiting case echoes China's largest gold-loan fraud case, unfolding since 2016 in the northwest Shaanxi province and neighbouring Hunan, where regulators found adulterated gold bars in 19 lenders' coffers backing 19 billion yuan of loans, or about $2.5 billion. In that case, a lender seeking to melt gold collateral found black tungsten plate in the middle of the bars.
In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan, the Zero Hedge report said.

Fake Gold Bars used as collateral for billions of dollars of bank loans. More than 4% of Chinese sovereign gold asset is supposed to be fake. Didn't I tell you that Chinese economy is one big Ponzi scheme, which is now up for BURST........😁😁😂😂😝😝
 

BangaliBabu

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China's biggest gold fraud, 4% of its reserves may be fake: Report
The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
By IANS | Updated: Jun 30, 2020, 02.01 PM IST

Agencies
China is at the centre of the discovery of what may be one of the biggest gold counterfeiting scandal in recent history.
According to a report in Zero Hedge, not only does it involve China, but it emerges from a city that has become synonymous for all that is scandalous about China: Wuhan itself.
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The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
In short, more than 4 per cent of China's official gold reserves may be fake. And this assume that no other Chinese gold producers and jewelry makers are engaging in similar fraud, the report said.
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In early June, Minsheng Trust, Dongguan Trust and a smaller creditor Chang'An Trust filed lawsuits against Kingold and demanded that PICC P&C cover their losses.
PICC P&C declined to comment to Caixin on the matter but said the case is in judicial procedure. A source from PICC P&C told Caixin that the claim procedure should be initiated by Kingold as the insured party rather than financial institutions as beneficiaries. Kingold hasn't made a claim, the Caixin source said.
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In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan.
The Zero Hedge report said that this exposes just how multi-faceted fraud is in China: capitalizing on pre-existing cronyism and connections with China's powerful army, the founder of Kingold was allowed to basically do anything he wanted, no questions asked, including counterfeiting over 83 tons of gold bars to get billions in funds to participate in China's housing bubble, only for a series of unexpected events to unwind the frauds one after another and expose the type of sordid scandal that is at the heart of most Chinese "enterprises" and business ventures.
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As for the gold, several billion in gold bars never existed and yet resulted in a cascade of subsequent cash flow events allowing tens of billions in funds to be released, "benefiting" not only founder Jia, but China's broader economy.
Which is terrifying because whereas just after the financial crisis China was engaged in building ghost cities, everyone knew these were a symbol of demand that would never materialize, even if the cities themselves did exist. However, it now appears that a major part of China's subsequent economic boom has been predicated on tens of billions in hard assets -- such as gold -- which simply do not exist, the report said.
Kingold is certainly not the only Chinese company engaging in such blatant fraud, and the consequences are clear: once Chinese creditors or insurance companies start testing the "collateral" they have received in exchange for tens of billions in loans and discover, to their "amazement", that instead of gold they are proud owners of tungsten or copper, they have two choices: reveal the fraud, risking tremendous adverse consequences and/or prison time, or quietly buy up all the gold needed to literally fill the void from years of gold counterfeiting.
At the centre of the fraud is Wuhan Kingold Jewelry Inc., a company which as the name implies was founded and operates out of Wuhan, and which says it is a "A Company with a Golden future."
In retrospect, it probably meant "copper" future, because as a an expose by Caixin has found, more than a dozen Chinese financial institutions, mainly trust companies (i.e., shadow banks) loaned 20 billion yuan ($2.8 billion) over the past five years to Wuhan Kingold Jewelry with pure gold as collateral and insurance policies to cover any losses. There was just one problem: the "gold" turned out to be gold-plated copper.
Kingold -- whose name was probably stolen from Kinross Gold, one of the world's largest gold miners -- is the largest privately owned gold processor in central China's Hubei province. Its shares are listed on the Nasdaq stock exchange in New York (although its current market cap of just $10MM is a far cry from its all time highs hit when the company IPOed on the Nasdaq around 2010) . The company is led by Chairman Jia Zhihong, an intimidating ex-military man who is the controlling shareholder.
Well, apparently everything as at least some of 83 tons of gold bars used as loan collateral turned out to be nothing but gilded copper. That has left lenders holding the bag for the remaining 16 billion yuan of loans outstanding against the bogus bars. And as Caixin adds, the loans were covered by 30 billion yuan of property insurance policies issued by state insurer PICC Property and Casualty and various other smaller insurers, the report in Zero Hedge said.
The fake gold came to light in February when Dongguan Trust (one of those infamous Chinese shadow banks) set out to liquidate Kingold collateral to cover defaulted debts. As the report continues, in late 2019 Kingold failed to repay investors in several trust products. To its shock, Dongguan Trust said it discovered that the gleaming gold bars were actually gilded copper alloy.
The news sent shockwaves through Kingold's creditors. China Minsheng Trust - another shadow banking company and one of Kingold's largest creditors - obtained a court order to test collateral before Kingold's debts came due. On May 22, the test result returned saying the bars sealed in Minsheng Trust's coffers are also copper alloy.
And with authorities investigating how this happened, Kingold chief Jia flatly denies that anything is wrong with the collateral his company put up.
As Caxin notes, the Kingold counterfeiting case echoes China's largest gold-loan fraud case, unfolding since 2016 in the northwest Shaanxi province and neighbouring Hunan, where regulators found adulterated gold bars in 19 lenders' coffers backing 19 billion yuan of loans, or about $2.5 billion. In that case, a lender seeking to melt gold collateral found black tungsten plate in the middle of the bars.
In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan, the Zero Hedge report said.

Fake Gold Bars used as collateral for billions of dollars of bank loans. More than 4% of Chinese sovereign gold asset is supposed to be fake. Didn't I tell you that Chinese economy is one big Ponzi scheme, which is now up for BURST........😁😁😂😂😝😝
Another Rose Valley scam :pound:
 

skywatcher

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China's biggest gold fraud, 4% of its reserves may be fake: Report
The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
By IANS | Updated: Jun 30, 2020, 02.01 PM IST

Agencies
China is at the centre of the discovery of what may be one of the biggest gold counterfeiting scandal in recent history.
According to a report in Zero Hedge, not only does it involve China, but it emerges from a city that has become synonymous for all that is scandalous about China: Wuhan itself.
ADVERTISEMENT

The 83 tons of purportedly pure gold stored in creditors' coffers by Kingold as of June, backing the 16 billion yuan of loans, would be equivalent to 22 per cent of China's annual gold production and 4.2 per cent of the state gold reserve as of 2019.
In short, more than 4 per cent of China's official gold reserves may be fake. And this assume that no other Chinese gold producers and jewelry makers are engaging in similar fraud, the report said.
ADVERTISEMENT

In early June, Minsheng Trust, Dongguan Trust and a smaller creditor Chang'An Trust filed lawsuits against Kingold and demanded that PICC P&C cover their losses.
PICC P&C declined to comment to Caixin on the matter but said the case is in judicial procedure. A source from PICC P&C told Caixin that the claim procedure should be initiated by Kingold as the insured party rather than financial institutions as beneficiaries. Kingold hasn't made a claim, the Caixin source said.
ADVERTISEMENT

In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan.
The Zero Hedge report said that this exposes just how multi-faceted fraud is in China: capitalizing on pre-existing cronyism and connections with China's powerful army, the founder of Kingold was allowed to basically do anything he wanted, no questions asked, including counterfeiting over 83 tons of gold bars to get billions in funds to participate in China's housing bubble, only for a series of unexpected events to unwind the frauds one after another and expose the type of sordid scandal that is at the heart of most Chinese "enterprises" and business ventures.
ADVERTISEMENT

As for the gold, several billion in gold bars never existed and yet resulted in a cascade of subsequent cash flow events allowing tens of billions in funds to be released, "benefiting" not only founder Jia, but China's broader economy.
Which is terrifying because whereas just after the financial crisis China was engaged in building ghost cities, everyone knew these were a symbol of demand that would never materialize, even if the cities themselves did exist. However, it now appears that a major part of China's subsequent economic boom has been predicated on tens of billions in hard assets -- such as gold -- which simply do not exist, the report said.
Kingold is certainly not the only Chinese company engaging in such blatant fraud, and the consequences are clear: once Chinese creditors or insurance companies start testing the "collateral" they have received in exchange for tens of billions in loans and discover, to their "amazement", that instead of gold they are proud owners of tungsten or copper, they have two choices: reveal the fraud, risking tremendous adverse consequences and/or prison time, or quietly buy up all the gold needed to literally fill the void from years of gold counterfeiting.
At the centre of the fraud is Wuhan Kingold Jewelry Inc., a company which as the name implies was founded and operates out of Wuhan, and which says it is a "A Company with a Golden future."
In retrospect, it probably meant "copper" future, because as a an expose by Caixin has found, more than a dozen Chinese financial institutions, mainly trust companies (i.e., shadow banks) loaned 20 billion yuan ($2.8 billion) over the past five years to Wuhan Kingold Jewelry with pure gold as collateral and insurance policies to cover any losses. There was just one problem: the "gold" turned out to be gold-plated copper.
Kingold -- whose name was probably stolen from Kinross Gold, one of the world's largest gold miners -- is the largest privately owned gold processor in central China's Hubei province. Its shares are listed on the Nasdaq stock exchange in New York (although its current market cap of just $10MM is a far cry from its all time highs hit when the company IPOed on the Nasdaq around 2010) . The company is led by Chairman Jia Zhihong, an intimidating ex-military man who is the controlling shareholder.
Well, apparently everything as at least some of 83 tons of gold bars used as loan collateral turned out to be nothing but gilded copper. That has left lenders holding the bag for the remaining 16 billion yuan of loans outstanding against the bogus bars. And as Caixin adds, the loans were covered by 30 billion yuan of property insurance policies issued by state insurer PICC Property and Casualty and various other smaller insurers, the report in Zero Hedge said.
The fake gold came to light in February when Dongguan Trust (one of those infamous Chinese shadow banks) set out to liquidate Kingold collateral to cover defaulted debts. As the report continues, in late 2019 Kingold failed to repay investors in several trust products. To its shock, Dongguan Trust said it discovered that the gleaming gold bars were actually gilded copper alloy.
The news sent shockwaves through Kingold's creditors. China Minsheng Trust - another shadow banking company and one of Kingold's largest creditors - obtained a court order to test collateral before Kingold's debts came due. On May 22, the test result returned saying the bars sealed in Minsheng Trust's coffers are also copper alloy.
And with authorities investigating how this happened, Kingold chief Jia flatly denies that anything is wrong with the collateral his company put up.
As Caxin notes, the Kingold counterfeiting case echoes China's largest gold-loan fraud case, unfolding since 2016 in the northwest Shaanxi province and neighbouring Hunan, where regulators found adulterated gold bars in 19 lenders' coffers backing 19 billion yuan of loans, or about $2.5 billion. In that case, a lender seeking to melt gold collateral found black tungsten plate in the middle of the bars.
In total, Kingold pledge tens of thousands of kilograms of gold to no less than 14 creditors amounting to just under 20 billion yuan, the Zero Hedge report said.

Fake Gold Bars used as collateral for billions of dollars of bank loans. More than 4% of Chinese sovereign gold asset is supposed to be fake. Didn't I tell you that Chinese economy is one big Ponzi scheme, which is now up for BURST........😁😁😂😂😝😝
when it comes to scams, no one can beat Indians, you know what I mean. with 1 billion poor desperate for a living, I completely understand that situation.
 

Heat

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when it comes to scams, no one can beat Indians, you know what I mean. with 1 billion poor desperate for a living, I completely understand that situation.
No one can beat the American investment banks when it comes to scamming. Their scams caused the epic economic meltdown of 2008.

Chinese with their fake copies are a close second.
 

HKedifier

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A high-speed rail under construction in China seems to have houses waiting to be demolished.
Hope India's high-speed rail can also speed up the construction
 

BangaliBabu

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when it comes to scams, no one can beat Indians, you know what I mean. with 1 billion poor desperate for a living, I completely understand that situation.
Look!! here's another guy got duped by a fraud call only to blame the country of a third-grade scammer.......piss-poor ego of worm-eaters, what more can I say??
 
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