Ruian Real Estate Co., Ltd.

Chen Liangyu was dismissed because of the Shanghai Social Security Fund case. With the in-depth investigation of the social security case, there will be more and more problems involving real estate. Among them, the most well-known and recognized is that Ruian Group obtained 875 million yuan of social security funds in the form of entrusted loans. Luo Kangrui, Chairman and CEO of Ruian Real Estate, said on October 4th, 2006 that the company's loan of 875 million yuan would be repaid before the end of the year.

Ruian Group is famous for developing the new world in Shanghai. As a member of the CPPCC and an honorary citizen of Shanghai, Luo Kangrui, the chairman of Ruian Group, wandered between officials and businessmen. Luo Kangrui said that the Chen Liangyu case and even the illegal misappropriation of social security funds, as well as the investigation of this incident, will help reduce corruption in the Mainland, have a positive effect on the Mainland economy in the long run, and make the Shanghai property market develop healthily.

Luo Kangrui said that in the future, companies can raise funds in Hong Kong or international banks, but the financing cost may not necessarily rise; He believes that the tone of the Shanghai property market is still stable, its properties are not affected by the incident, and sales and prices remain stable; The pace of the Group's development will not slow down, and some projects will accelerate. For example, the Taiping Bridge project has been relocated, and the completion schedule of "Chuangzhi Tiandi" remains unchanged.

In addition, he continued that his property was not affected by the Chen Liangyu incident, and the sales volume and price remained stable. Roche responded that the "big environment" could not be controlled, and the Group would only do its part. He even said that on the 4th, the stock trading volume and share price of Switzerland increased.

Some analysts pointed out that with the in-depth investigation of the social security case, there will be more and more problems involving real estate. At least a dozen real estate enterprises in Shanghai have borrowed money from the social security fund. According to the real estate industry estimates, more than a dozen real estate enterprises, if each enterprise loans 560 million yuan, can reach 10 billion yuan. After the document 12 1 in 2003, the central bank tightened real estate loans and raised the threshold for real estate loans. A former developer's money broker revealed: "Bank loan supervision is relatively strict and requires four certificates, but other channels are much easier." "As long as the government relationship is excellent, real estate enterprises only need one or two certificates such as land certificates to entrust loans through social security."

Since 200 1, Shanghai real estate market has become one of the six pillar industries in Shanghai, which has made great contributions to Shanghai's economic development, especially urban construction. However, due to the innate close relationship between the real estate industry and the government, collusion between officials and businessmen, corruption problems emerge one after another, and shocking cases such as Zhou Zhengyi case and burning household case are also caused by real estate.

A few days ago, according to informed sources, after the accident of Shanghai Social Security Fund, the Central Investigation Team may investigate all enterprises involved in obtaining social security loans and ask all enterprises that have obtained entrusted loans to repay them as soon as possible. A real estate developer who borrowed 200 million social security originally planned to acquire another piece of land, but the acquisition plan came to an abrupt end. "Because I was recently asked for debt by social security, I have to use the funds to pay back the social security money first."