Trust Failures Hitting Banks

A trust product from Huaxin was due in August, it was delayed until November, but no payment has been made. Investors have made a public show of their displeasure and Guangdong Developement Bank
August 6, 2013 was established for a period of 24 months, the Trust raised funds totaling 200 million yuan.

Should have at August 6, 2015 maturity, because the financing side can not be normal servicing, trust plan was postponed for three months to expire on November 6, and trust within the proposed deadline extension yield from investors an increase of 8.2% / year to 10.2% / year.

November 6, 2015, due to the operational difficulties financing side, the project can not be scheduled payment.

Guangzhou Daily News recently, Hua Xinxin Tropsch product payment problems arise, because investors are demanding rights has attracted public attention.
Market liberalization of interest rates is expected to lead to more defaults for the industry.

Sina: 华鑫信托现兑付危机 广发银行称代销手续合规

1 comment:

  1. From what I hear it seems that an enormous number of loans (of all types) have been delinquent for months / years, yet almost never is action taken on these defaults. How much longer can the madness go on before the pied piper must be paid?

    The commies have swept so many things under the rug that the rug is now 444 feet off the ground.

    - Luke