Related reports by Xie Zhensheng

Suspected of violating regulations and were dismissed one after another

On the eve of restructuring, a leading state-owned enterprise in a major animal husbandry province was reduced to an "empty shell" and then paralyzed. There are "one woman marrying two people" in state-owned assets, "two teams" and "two sets of official seals" in charge of enterprises, each working independently and not recognizing each other... Behind the ups and downs and even some absurd stories are the intricate entanglements of interests and the confusion of state-owned enterprise reform. The "Henan Animal Husbandry" puzzle

"China Economic Weekly" reporter Wang Yong ● Li Shanshan | Henan Report

For Xie Zhensheng, the former director of the Henan Provincial Animal Husbandry Bureau, this may be the most difficult situation in his life. A sad Spring Festival.

On February 3, 2011, Xie Zhensheng ushered in the New Year’s bell in prison. On December 18, 2010, Xie was sentenced to 14 years in prison by the Intermediate Court of Xinyang City, Henan Province for accepting bribes. Previously, Zhu Hongbin, general manager of the Henan Animal Husbandry Development Corporation (hereinafter referred to as "Henan Animal Husbandry"), a subsidiary of the Henan Provincial Animal Husbandry Bureau, and others have been "lost" one after another. But it's just begun.

From 2001 to 2009, Xie Zhensheng served as Party Secretary and Director of the Henan Provincial Animal Husbandry Bureau. The court ultimately found that Xie took advantage of his position to seek benefits by providing assistance to others in promotions, promotions, job adjustments, etc., and illegally accepted 3.166 million yuan in property and 27,000 U.S. dollars from others.

An investigation by "China Economic Weekly" found that Zhu Hongbin was the "backbone force" promoted and reused by Xie Zhenshengli against all objections. As early as July 22, 2005, "Henan Daily" exposed Zhu Hongbin's illegal behavior through internal reference. In February 2009, Zhu Hongbin came into the sight of the procuratorate; on February 17, the Jiyuan City Procuratorate, which was assigned by the Henan Provincial Procuratorate to investigate the case, arrested Zhu. On November 19, 2010, the Jiyuan City Court found that Zhu was guilty of embezzlement of public funds and corruption, and sentenced him to 6 years in prison in the first instance.

During Xie Zhensheng’s administration, many people from the Henan Provincial Animal Husbandry Bureau and its affiliated companies were imprisoned. In addition to Xie and Zhu who have been sentenced, there are also Liu Hongjin, the manager and cashier of the Henan Animal Husbandry Finance Department, Wang Guozhi, the former director of the Xinmi City 154 Coal Mine (hereinafter referred to as the "154 Coal Mine") and the accountant in charge of the Henan Animal Husbandry. Wang Heqing, cashier Zhu Jiangyun, employee Zhao Qingxiang and others. Many other people were investigated for involvement in the case.

Behind the Iron Curtain, shocking secret stories are revealed one by one.

“When we were arresting Zhu Hongbin, the Shanghai Public Security Bureau was also arresting him.” A prosecutor from the Jiyuan City Procuratorate told China Economic Weekly. At that time, in order to avoid being arrested by the Shanghai police, Zhu hid in a hotel and frequently changed his address and phone number. When the Henan Procuratorate arrested him, they found that he had as many as nine mobile phone cards...

Why are the executives of state-owned enterprises in a province with a large animal husbandry industry so depressed?

It turns out that as early as 2007, Zhu Hongbin directed a farce. In May of that year, Zhu used the "restructuring" of the 154 Coal Mine as an excuse to sell 70% of the shares of the 154 Coal Mine to Shanghai businessman Ying Huaqing for 6.5 million yuan. Henan Animal Husbandry’s accounts from May to June of the same year show that Ying Huaqing paid 2.85 million yuan.

"What kind of mine are you selling? He just cheated money!" On February 10, 2011, Ying Huaqing told "China Economic Weekly" that Zhu Hongbin defrauded him of 485 by fabricating facts and concealing the truth. Ten thousand yuan. In early 2009, Zhu was sued to the Shanghai Public Security Bureau for contract fraud. Relevant judicial documents show that on January 16, 2009, Zhu Hongbin was arrested by the Shanghai Jinshan District Procuratorate on suspicion of contract fraud.

What is dramatic is that the arrest of Zhu Hongbin by the Henan side has nothing to do with the 154th Coal Mine. Pingdingshan Shunli Coal Mine (hereinafter referred to as "Shunshun Coal Mine"), another coal mine affiliated to Henan Animal Husbandry, is Zhu Hongbin's "Maicheng".

In the spring of 2005, Chen Qingxing, chairman of Henan Yulon Real Estate Co., Ltd. (hereinafter referred to as "Yulong Real Estate"), wanted to contract Shunli Coal Mine, so he became friends with Zhu Hongbin. On April 1 of the same year, Yulon Real Estate signed a contract with Henan Animal Husbandry at an annual contract fee of 3.8 million yuan and paid the contract fee. However, due to the problems left over from the mine, it was difficult for Chen to enter the mine and take charge.

The prosecution opinion of the Jiyuan City Procuratorate shows that in May 2005, Zhu Hongbin demanded 200,000 yuan from Chen Qingxing on the pretext of arranging relations with Chen Qingxing so that he could enter Shunli Coal Mine as soon as possible. Later, the two dined at a restaurant in Zhengzhou, and Chen handed Zhu the remaining 190,000 yuan in cash after consumption. However, the problem remains unresolved.

Chen discovered that Li Fulai, the former contractor of the coal mine, had a contract period of 5 years, and "Zhu could not have handed over the mine at that time," so he "felt cheated." In order to get Zhu to return the contract payment, in June 2005, Chen made a recording when he asked Zhu for the above-mentioned 200,000 yuan fee, and used this as a basis to demand that Zhu return the contract payment, otherwise he would be reported.

Informed sources revealed to reporters that after the confrontation with Zhu Hongbin, Chen Qingxing, together with several National People's Congress deputies, wrote to the Henan Provincial Procuratorate to "report Lao Zhu's problems" until Zhu was arrested and imprisoned on February 17, 2009.

During the trial, Zhu Hongbin claimed that the above 190,000 yuan was a "loan" for his registered private enterprise, Xinyuan Mining.

The Jiyuan City Procuratorate finally prosecuted Zhu Hongbin for corruption, bribery, and misappropriation of public funds. On November 19, 2010, the Jiyuan City Court issued its first-instance verdict, in which Zhu's bribery charges were not confirmed. The Jiyuan City Procuratorate subsequently filed a protest. At present, the case has entered the second instance procedure.

Zhu Hongbin is behind bars. However, the "story" that started in Zhu has not ended yet.

Shortly after Zhu Hongbin was arrested, the two major state-owned assets of Henan Animal Husbandry quietly transformed.

"Shunli Coal Mine has now been sold to Chen Qingxing, and Chen probably spent more than 5 million yuan." On February 9, 2011, Guo Yuxiang, the former deputy general manager of Henan Animal Husbandry, revealed to China Economic Weekly.

"Since 2007, Chen Qingxing has been threatening me to sell Shunli Coal Mine to him for 2.3 million (price), but I have not agreed." "Chen Qingxing's recording was to frame me and seize Shunli Coal Mine." Purpose of Coal Mines”. During the trial, Zhu Hongbin argued this way.

Chen Qingxing regarded this statement as "sophistry and false accusation." "I have boarded a pirate ship - there is nothing I can do about it." On February 12, 2011, Chen Qingxing told China Economic Weekly that he had paid a total of 5.1 million yuan with Zhu Fan. He was unable to get off the tiger in August 2009. Bought the Shunli Coal Mine in March for 5.5 million yuan. "However, due to the impact of the coal resource integration policy, it has not been produced for a day so far."

The 154th Coal Mine also changed hands through auction. During the interview, the reporter went through the mine director Chen Huanjun, the former mine director Liu Xiaoli, the former contractor Zheng Guoying, the current contractor Wang Wenli, etc., and figured out the outline of the coal mine's change of ownership.

On September 1, 2009, Henan Animal Husbandry held an auction for 70% of the state-owned equity of the 154 Coal Mine. The auction of RMB 10,000 was successful." On December 3 of the same year, Henan Animal Husbandry and Huaxia Real Estate signed an "Equity Transfer Agreement", and the 154 Coal Mine changed its banner.

“The ‘jumping price’ is still 30 million yuan!” Liu Xiaoli, who is nearly 70 years old, was furious when he mentioned the above transaction. In his view, this transaction "is tantamount to selling state-owned assets at a low price."

"China Economic Weekly" investigation found that Henan Animal Husbandry had entrusted an asset appraisal firm to evaluate the assets of the 154 Coal Mine in 2007. On April 7, 2008, the Henan Provincial Department of Finance determined that the mine's "total assets as of June 30, 2007 were 10.101 million yuan, total liabilities were 10.721 million yuan, and net assets were -619,000 yuan." What is striking is that the Henan Provincial Department of Finance clearly stated in the fourth item of the "Reply on Confirming the Results of the Asset Liquidation and Capital Validation of the 154 Coal Mine" that "the scope of the asset liquidation and capital verification of this unit (154 Coal Mine) does not include land and mining right".

For any coal mine, land and mining rights are core assets. "It's like your uncle is the director and wants to sell you the second-hand car from the company at a low price. When assessing the value of the car, it does not include the gearbox and engine." During the interview, a young miner joked with the reporter.

Chen Huanjun, the director of the 154th Coal Mine, said that he was completely unaware of the auction.

All this happened after Zhu Hongbin was arrested on February 17, 2009.

“At that time, both sides were suing him.” Guo Yuxiang described Zhu Hongbin’s “dilemma” at that time: “He offended Chen Qingxing on the Shunli Coal Mine side; he offended Ying Hua on the 154 Coal Mine side. Qing. Both sides want to 'send him in' (to pursue his criminal responsibility)."

The reporter's investigation found that in this context, a "win-win" pattern quietly emerged.

On September 3, 2009, the Shanghai police learned that Henan Animal Husbandry held an auction for 70% of the state-owned shares of the 154 Coal Mine, and immediately wrote to the Henan Provincial Administration for Industry and Commerce to impose restrictions on the "enterprises" of Henan Animal Husbandry and 154 Coal Mine. Changes in name, equity, etc. are restricted, and the restriction period is two years (September 3, 2009 to September 2, 2011)."

In this embarrassment, the "Equity Transfer Agreement" signed between Henan Animal Husbandry and Huaxia Real Estate also shows that "The 154 Coal Mine is currently involved in a dispute between Henan Animal Husbandry and others, and the property rights have been sealed by the Shanghai Public Security Bureau. , the procedures for unblocking are being processed."

Such is the "chaos", such is the "insolvency", and such is the "seizure ban". How can Huaxia Real Estate "face the difficulties"?

The above-mentioned agreement disclosed this detail: "The auction price for the transfer of 70% of the equity of the 154 Coal Mine was 8 million yuan. Because Henan Animal Husbandry owed Huaxia Real Estate a due debt of 3 million yuan, both parties agreed to repay the debt. It was offset and the balance of 5 million yuan has been paid as agreed. "Huaxia Real Estate turned out to be a victim of the 'One Woman, Two Marriage' scam in the 154 Coal Mine directed by Zhu Hongbin. After Zhu Hongbin was arrested, some people tried to exonerate Zhu. , through the auction, 3 million yuan of the 8 million yuan was directly used to pay off the 'debt' of Huaxia Real Estate, and the remaining 5 million yuan was returned to Ying Huaqing to pay for the criminal gang..." A source from within Henan Animal Husbandry The reporting material asserts so.

"The money was returned to me, 5 million. It was transferred to me by Gao Junsheng through a bank card on behalf of Zhu Hongbin." On February 10, 2011, Ying Huaqing told reporters that Gao Junsheng tried to repay the money through a bank card. He cleared his 4.85 million yuan "principal and interest" and settled the grievances between him and Zhu. However, he insisted on pursuing Zhu's criminal responsibility and "it is impossible to withdraw the lawsuit."

After Zhu Hongbin was arrested, the Henan Provincial Animal Husbandry Bureau arranged for Gao Junsheng, deputy general manager of Henan Animal Husbandry, to "take charge of the work." An investigation by "China Economic Weekly" found that he presided over the change of ownership of the two coal mines and the "aftercare work" of Ying Huaqing, Chen Qingxing and Huaxia Real Estate.

On August 19, 2009, the Henan Provincial Government promoted the "decoupling and restructuring" work of enterprises affiliated to provincial agencies. On August 22, the Henan Provincial Animal Husbandry Bureau announced the "Implementation Plan for Decoupling and Restructuring Work" for its affiliated enterprises. Gao Junsheng and Dou Lihong, deputy general manager of Henan Animal Husbandry, are members of the Bureau's decoupling and restructuring leading group and its office.

Some employees of Henan Animal Husbandry interpreted the arrangement of Gao and Dou as the decision-makers of the restructuring as "convenient to cover the lid." "After Zhu Hongbin was arrested, some leaders who supported and protected Zhu Hongbin were afraid of 'pulling out the carrot and bringing out the mud', and attempted to completely kill Henan's livestock industry through restructuring and put an end to their former criminal accomplices," Guo Yuxiang said. .

According to the judgment of the Jiyuan City Court, on September 6, 2007, in order to cover up his crime of embezzling public funds from Henan Animal Husbandry, Zhu Hongbin secretly discussed countermeasures with Gao Junsheng, Dou Lihong, and Liu Hongjin, the manager and cashier of the Henan Animal Husbandry Finance Department. Drafted false loan meeting minutes and loan agreement, and advanced all meeting and loan times. On January 7, 2009, the Huiji District Procuratorate of Zhengzhou City intervened in the case, and the three entered into an offensive and defensive alliance with Zhu Hongbin to deal with the procuratorate's investigation...

Today, Henan Animal Husbandry has been divided into two major groups. camp. One side is led by Guo Yuxiang, and the other is led by Gao Junsheng.

The arrest of Zhu Hongbin is a watershed in this pattern, and the "comeback" of Su Zhangqun, the former head of Henan Animal Husbandry, is the prelude to the above-mentioned plot.

Su Zhangqun had been unemployed before - on June 21, 2002, the Public Security Bureau of Jiaozuo City, Henan Province arrested him on suspicion of fraud, and later transferred him to the Jinshui District Procuratorate of Zhengzhou City for prosecution on suspicion of corruption. The Jinshui District Court of Zhengzhou City and the Intermediate Court of Zhengzhou City both found Su Zhangqun not guilty after trial. On December 26, 2003, Su was freed. After that, he repeatedly made requests to relevant leaders of the Henan Provincial Animal Husbandry Bureau to resume work, but to no avail.

Not long after Su Zhangqun was imprisoned, Zhu Hongbin became the general manager of Henan Animal Husbandry.

"If I don't take action, Henan Animal Husbandry will be completely finished!" On February 11, 2011, Su Zhangqun explained his "comeback" in an interview with China Economic Weekly. This "returned military cadre" said that he regarded the 154th Coal Mine and the Shunli Coal Mine as his own. The predecessors of the Second Mine were military enterprises. In 1999, the relevant national departments issued a "military transfer" policy. After their own efforts, the Second Mine was transferred to Henan Animal Husbandry. Since then, it has been a contract operation.

Informed sources told reporters that Su Zhangqun and Zhu Hongbin had been feuding for a long time. Su had always suspected that "being framed" was related to Zhu, so after he was released from prison, he secretly investigated "Zhu's illegal activities" and reported to Zhu Hongbin many times. Reported to Henan Provincial Discipline Inspection and Procuratorate. During this period, they also accused Henan Provincial Animal Husbandry Bureau Director Xie Zhensheng, Deputy Director Yang Wenming and others of acting as "protective umbrellas" for Zhu Hongbin and Gao Junsheng.

On July 13, 2009, the two camps' tolerance for each other may have reached its limit, and a conflict suddenly broke out.

On that day, Su Zhangqun stated that Henan Animal Husbandry had become an independent legal person in accordance with the principle of "separation of government and enterprise" as early as 1993, and Henan Animal Husbandry's "Yu Mu Zongzi (1993) No. 17" "About the Establishment" "Decision of the Henan Animal Husbandry Board of Directors" document was relied on, claiming that he was the legally elected chairman of the Henan Animal Husbandry Board of Directors, and required Gao Junsheng to hand over the official seal of Henan Animal Husbandry and other procedures. After being refused, Su changed the door lock of the Henan Animal Husbandry Company and forcibly took over the official seal, business license, etc.

On July 14, Henan Animal Husbandry, which was taken over by Su Zhangqun, issued the "Decision on Removing Gao Junsheng from the position of Deputy General Manager of Henan Animal Husbandry Development Corporation" to all departments, offices and subordinate enterprises of the company.

On July 17, the Henan Provincial Animal Husbandry Bureau issued a statement stating that the above official seal was invalid and re-engraved the official seal of "Henan Animal Husbandry" on July 23. Henan Animal Husbandry subsequently issued a statement, saying that the company's official seal "has been in use since registration and engraving. Now the official seal is strictly managed and used legally. If someone engraves and uses it privately, the parties concerned will be held accountable according to law."

Since then, Henan Animal Husbandry has had "two teams" and "two sets of official seals". They do not recognize each other and work independently, which has become a spectacle among the Henan state-owned enterprises.

All this happened on the eve of the change of ownership of the two coal mines mentioned above.

“The purpose of the two parties competing for the official seal at that time was to gain control of the two major coal mines.” A person familiar with the matter said.

An investigation by "China Economic Weekly" found that in August and September 2009, the auction of the 154 Coal Mine and the delivery of the Shunli Coal Mine were all handled by Gao Junsheng, and the official seals used were re-engraved and different from the original ones. There are obvious differences in the official seal of Henan Animal Husbandry. Su Zhangqun reported this to the Henan Provincial State-owned Assets Supervision and Administration Commission and other relevant departments, and reported the problem everywhere, and it has not stopped to this day.

An indisputable fact is that on August 19, 2009, the Henan Provincial Government decided to decouple and restructure enterprises affiliated to provincial agencies, clarifying the basic principles of "separation of government and enterprise" and "separation of government and enterprise" for such enterprises. Enterprises such as Henan Animal Husbandry are among the reform paths of "asset transfer", "reorganization and integration", "restructuring and exit", and "closure and bankruptcy".

"At present, provincial agencies still directly manage more than 100 enterprises, involving more than 10 billion yuan in assets and more than 10,000 employees. This situation not only lags behind the overall progress of the province's state-owned enterprise reform, but also It is rare in the country and has seriously affected the effectiveness of the government and the development and growth of enterprises. It has reached the point where it has to be changed." On August 20, 2009, Li Ke, executive vice governor of Henan Province, publicly stated. .

A decision concerning the life and death of an enterprise is approaching. Is this the stage background of the puzzle?

The commercial building of Henan Animal Husbandry has collapsed.

This state-owned enterprise founded in 1985 reached its heyday in 2001. "In less than 10 years, it has grown rapidly and become a large-scale enterprise group with assets of hundreds of millions of yuan, holding shares, holding shares, and cooperating with more than 20 enterprises." At that time, Henan media reported this.

Henan Xinyuan Biochemical Co., Ltd., Zhengzhou Mingdu Hotel, Henan Green Star Co., Ltd., Henan Northern Ostrich Co., Ltd., Zhengzhou Asia Tourism Art Company, Zhengzhou Xinyuan Chemical Industry under Henan Animal Husbandry Research Institute, Zhengzhou Institute of Biology, Zhengzhou Kehua Fine Chemical Research Institute and many other enterprises have now closed down and turned into a passing cloud.

“Many enterprises have died from internal friction.” He Junsheng, the former catering department manager of Zhengzhou Mingdu Hotel, admitted to China Economic Weekly that “Mingdu” was built by Henan Animal Husbandry through contract management at the end of 2000. four-star hotel with a total investment of 40 million yuan. A year after it opened, changes occurred in the top management of Henan Animal Husbandry. By the time Su Zhangqun was released from prison, "Mingdu" was already "insolvent." On June 17, 2004, Gao Junsheng signed a contract with the lessor on behalf of Henan Animal Husbandry, terminating the agreement with more than ten years of contract period.

Similar to its fate is Henan Greenstar Co., Ltd.

Liu Nan, general manager of the company, revealed in an interview with reporters that the soft-shell turtle breeding company had an annual output of 50,000 kilograms in 2001 and a net profit of more than 1 million yuan. Affected by the infighting in Henan's livestock industry, the unmanaged "Green Star" soon closed down in 2003.

On February 11, 2011, China Economic Weekly made an interview request to the Henan Provincial Animal Husbandry Bureau. Wang Quanzhou, director of the Bureau's office, said he would respond immediately after contacting relevant persons. However, as of press time, there was no news from the bureau.

Under the winter sunshine, the 154th Coal Mine has lost its hustle and bustle in the past. What is presented to the public is a confrontation: Zhengzhou Coal Mine Group, which took over during the coal mine resource integration, is unwilling to cooperate due to its complex problems. settled in; the current contractor Wang Wenli demanded huge compensation before withdrawing; Huaxia Real Estate has not been able to mine so far; some employees accused the leaders of the competent department of malfeasance and are still running to appeal...

"On the surface, this dispute reflects It is a micro-level issue of whether there is a loss of state-owned assets in a single enterprise, but it essentially reflects the overall direction of the reform of state-owned enterprises, that is, the macro-level issue of whether the property rights system reform is correct," Yang Zhengsheng, a researcher at the Henan Provincial Government Development Research Center, analyzed in an interview with reporters.

Yang Zhengsheng believes that corporate governance structure issues are the "crux" of the chaos in state-owned enterprises. At present, government officials who are responsible for selecting and supervising the management of state-owned enterprises are not the owners of state-owned assets. They have the ultimate control of state-owned enterprises but no profit rights. They can neither enjoy the benefits of decision-making nor bear the consequences of decision-making. responsibility. The same problem exists for the management of state-owned enterprises, because they and government officials are now largely the same group. In this case, if we ignore the "problem of fictitious state-owned enterprise owners" and focus on the loss of state-owned assets and the ethics of operators, it is tantamount to "losing a big thing for a small amount of money."

“Property rights system reform is the most effective way for state-owned enterprises to introduce entities responsible for asset losses.” Zhou Fangsheng, a researcher at the Institute of Fiscal Science of the Ministry of Finance, once suggested, “With the help of property rights reform, foreign capital, private capital, management All types of capital including senior management should participate in the management and development of state-owned enterprises, transform state-owned enterprises into mixed-ownership enterprises, and construct multiple investment entities with mutual checks and balances. Only when investment and rights are in place can responsibilities be in place.”

If the property rights system does not change, the tragedy may happen again. The problem with animal husbandry in Henan is how to change it?