Chapter 234: The Great Banking Family

In 1944, as the Pacific War was drawing to a close, three Chinese merchants in Thailand, led by Chen Bicong, intended to establish a domestic bank called Bangkok Bank.

On December 1, 1945, Bangkok Bank received its commercial banking license.

By 1952, Bangkok Bank's total assets had reached 100 million Thai baht, and by the end of 1960, it had increased to 880 million Thai baht. By the same year, the bank employed over 800 staff members and had 19 domestic branches, as well as 6 overseas branches, including two in Hong Kong and one each in Singapore, London, Kuala Lumpur, and Tokyo.

In 1976, the number of overseas branches grew to 14.

Historically, this bank, headquartered in Bangkok, Thailand, which was privately held, grew to surpass the government-owned Thai Kyong Bank to become the largest commercial bank in Thailand, with total assets reaching 51 billion USD. It also became the seventh most significant regional bank in Southeast Asia. Chen Bicong, the founder, played a pivotal role in its growth.

Under Chen Bicong's management, Bangkok Bank became a cornerstone of Thailand's economy. In 1983, the American magazine *Finance* listed Bangkok Bank among the twelve largest commercial banks globally. In 1984, Chen Bicong was listed as one of the twelve richest people worldwide.

Among the 16 Thai banks and 14 foreign banks in the country, Bangkok Bank had the largest deposits, loans, and total assets. Its operating scale accounted for more than one-third of the total assets of Thailand's 30 banks.

According to the 1985 issue of the *Asian Leap* by the Island Economic News Agency, Chen Bicong's family wealth was estimated at 2.2 billion USD, making him the richest among the top ten wealthy individuals in Asia at that time. In the 1983 issue of *Finance* magazine, which featured the world's twelve wealthiest bankers, Chen Bicong was listed. He was also named an outstanding banker for 1982 by the globally renowned financial magazine *Asia*.

All of this was attributed to his principles in business and management.

His principle of "trust those who are employed and don't doubt those you don't trust" made the employees of Bangkok Bank work diligently and willingly sweat for the company.

Every entrepreneur has their unique management style, and Chen Bicong's philosophy was distinctive. He said, "Running a bank is about doing business, not just financial services. When assessing whether a business is viable, I only observe the customer himself, his past, and his family background."

Therefore, many wealthy tycoons in Southeast Asia received support from Bangkok Bank when they were starting out. This kind of timely help earned Bangkok Bank the friendship of many wealthy individuals, and many rich people were willing to engage in business transactions with Bangkok Bank and relied on it for funds.

This positive cycle allowed Bangkok Bank to grow exponentially.

Unfortunately, just last year, due to personal reasons, Chen Bicong passed the position of President of Bangkok Bank to long-time employee Huang Wenbo and retired from the forefront.

Of course, he could retire with peace of mind for a few reasons: first, due to health issues; second, because Bangkok Bank had already established a solid foundation in Thailand and held a dominant position; and third, and most importantly, his second son, Chen Youhan, who was the most outstanding and skilled among his children, had already joined the board of directors and was serving as vice president. After a few more years of experience, he would succeed Huang Wenbo as President of Bangkok Bank, with Huang Wenbo serving only as a transitional figure.

Even though Chen Bicong had retired from the spotlight, Bangkok Bank continued to develop according to his will.

With Bangkok Bank's strong foundation in Thailand, expanding overseas had become a primary goal.

In Southeast Asia, Hong Kong was considered the leading economic and financial center, followed by Singapore.

Therefore, Chen Bicong sent his eldest son, Chen Youqing, to Hong Kong to manage the Hong Kong Commercial Bank he had established.

Hong Kong Commercial Bank, in fact, held a stake in Bangkok Bank and could be considered a branch of Bangkok Bank. It continued Bangkok Bank's mission in Hong Kong, assisting Chinese merchants to develop better.

Following his father's business philosophy, Chen Youqing also had a calm and benevolent personality. Thus, even in competitive Hong Kong, which had over three hundred banks and financial institutions, Hong Kong Commercial Bank managed to operate well.

Recently, Hu Xian had borrowed ten million Hong Kong dollars from Hong Kong Commercial Bank to build the Xingdao News Agency and manage his company. At that time, Chen Youqing himself approved the loan.

Although the *Xingdao Daily* was under pressure from the *Fengyun Daily*, the series of opinion manipulation and explosive developments from *Fengyun Daily* had not yet occurred. Therefore, after analysis, Chen Youqing believed that Xingdao News Group still had a fighting chance.

Moreover, as long as the Xingdao News Agency was established, it could still protect itself even under the pressure from Bangkok Media Company.

However, he did not anticipate that the subsequent developments would completely deviate from his expectations. Bangkok Media Company had made significant acquisitions and expansions, while Xingdao News Group made a disastrous decision. The gap had widened even further, putting Xingdao News Group in a precarious situation.

As a result, the loan he had provided was now at risk.

Considering the loan of ten million Hong Kong dollars, Chen Youqing had to take it seriously and sent someone to investigate and analyze the situation.

In the president's office of Hong Kong Commercial Bank, Chen Youqing, now 46, reviewed the analysis report submitted by his subordinates, his brow slightly furrowed.

After a long while, he gently set down the report and sighed to himself, "This is difficult. The value of Xingdao News Group has significantly depreciated, and with the passage of time, there is a 90% chance it will depreciate further."

Reflecting on the loan he had provided, Chen Youqing felt a sense of helplessness, realizing he had misjudged the situation!

When Xingdao News Group first applied for the loan, Chen Youqing had valued the company at fifty million Hong Kong dollars but had given Hu Xian an eight-layer loan benefit. Hu Xian borrowed ten million Hong Kong dollars and pledged 25% of Xingdao News Group's shares as collateral.

But now, just before Bangkok Media Company launched its attack, in the past month, the sales of *Xingdao Daily* had dropped by over one hundred thousand copies, reducing the value of Xingdao News Group to less than forty million Hong Kong dollars.

In other words, the 25% of shares pledged as collateral, which were worth less than ten million Hong Kong dollars, had already suffered a loss, even without considering the interest.

Furthermore, it was evident that with Bangkok Media Company's acquisition and restructuring of the four newspapers, Xingdao News Group would be affected across the board, further reducing the sales of its two newspapers.

His losses would grow even more.

So, the best course of action now was to recall the loan to cut losses or have Hu Xian sign a new loan agreement with increased collateral.

"President, shall we…"

The manager standing in front of Chen Youqing began to speak.

But as soon as he opened his mouth, Chen Youqing knew what he wanted to say and shook his head, interrupting, "Let's not act on it for now. The situation hasn't reached a point of no return. If we act now, it would be adding insult to injury and could impact our reputation."

The manager nodded silently and then asked, "President, what should we do next? Please advise."

Chen Youqing pondered for a moment and slowly said, "The value of Xingdao News Group still exceeds the amount of our loan. Hu Xian is also a woman, so let's not press too hard. Let's wait and see."

"I'm worried that Xingdao News Group might have taken loans from other banks as well. We don't know the total loan amount now. Even if we don't act, other banks might…"

The manager couldn't help but say.

Chen Youqing had certainly considered this, but he valued the reputation built over decades. Since the losses were just beginning and not yet severe enough to warrant debt collection, he shook his head and said, "We won't take action for now. Let's observe for another month or two, unless it reaches a point of no return. But you must keep an eye on it. Go ahead."

"Understood!"

The manager nodded in agreement and then slowly exited the president's office.

After his subordinate left, Chen Youqing looked at the plaque on the wall inscribed with the words "Be Kind to Others," reaffirming his decision.

"Good luck. I hope other banks won't press you…"

After a long while, Chen Youqing spoke to himself and then returned to his work without further thoughts.