It took six years for the first rural credit cooperative in China to go bankrupt. According to media reports, the first bankrupt credit cooperative in China was Shangcun Rural Credit Cooperative in Suning, Hebei Province, which was established at 1956. At that time, due to poor management and insolvency, they stopped accepting deposits and loans from users very early. In 2004, the business license was revoked by the industry and commerce, and their business was even more impossible to continue. So I filed for bankruptcy in 2006.
However, as a bank that undertakes local deposit and withdrawal, loans and other businesses, there are many procedures to be approved, and all depositors' refunds and other matters need to be considered. Therefore, it was not until three years later that the banking supervision department agreed to implement bankruptcy liquidation for this credit cooperative. In fact, it was not until 20 12 that liquidation was carried out through judicial procedures. It can be said that all parties are also very concerned about this incident, and everyone is also concerned about the impact of the collapse of credit cooperatives and how to deal with it.
Since there is the first one, there will naturally be the second and third one.
The CBRC issued guidance to allow high-risk rural credit cooperatives to merge and reorganize. In fact, many people are worried about the bankruptcy of rural credit cooperatives. The most crucial question is, who will pay back the money when the rural credit cooperatives go bankrupt? If it is merged and reorganized, will it disappear with the disappearance of the rural credit cooperatives, or will it be borne by the new institutions?
For this problem, since the CBRC allows the merger and reorganization of rural credit cooperatives, there are naturally relevant measures: 20 10 years. In view of the serious risks of some rural credit cooperatives and endangering the security and stability of the rural financial system, the CBRC issued the Guiding Opinions on the Merger and Reorganization of High-risk Rural Credit Cooperatives [1].
This opinion gives specific guidance to the merger and reorganization of rural credit cooperatives, and puts forward specific merger methods, scope, conditions and procedures. With such a guiding document, it can be said that the bankruptcy, merger and reorganization of rural credit cooperatives have a more practical plan.
So what is certain is that those poor rural credit cooperatives will certainly close down, and they will certainly close down. Only in this way can the local economy not deteriorate further.
The deposit insurance system makes rural credit cooperatives bankrupt, and the government and depositors will not lose money. In addition, in 20 15, we formally passed and implemented the deposit insurance regulations [2]. To give the most popular example, our bank needs to be insured, and its assets are insured. When the bank has problems, the insured will pay for it. For example, if I have 500,000 rural credit cooperatives, then the rural credit cooperatives will go bankrupt, and the insurance company will need to pay me 500,000 after confirmation.
However, the "Regulations" also stipulate that deposit insurance shall be paid in a limited amount, with a maximum payment limit of RMB500,000. This means that if there is too much money, the excess will not be paid, and it may be necessary to wait until all the limits have been paid, and then pay according to the actual priority level of creditor's rights.
In this way, if banks and rural credit cooperatives go bankrupt, there is no need for the government to pay the bill, and ordinary depositors will not suffer innocent losses.
[1] Chinese government website: CBRC's guidance on mergers and acquisitions of high-risk rural credit cooperatives:/gzdt/2010-09/01/content _1693746.htm.
[2] Chinese government network: deposit insurance regulations (the State Council Decree No.660):/zhengce/2065438+05-03/31/content _ 2840827.htm.