At 3:40 pm on March 25th, applause filled the 401 meeting room of the Pingguo County People's Court. Under the chairmanship of Tan Yong, Party Secretary and Acting President of the Pingguo County People's Court, Wei Jianhua, President of the Pingguo County Branch of the People's Bank of China, Zhou Mingjian, Chairman of Guangxi Pingguo Rural Cooperative Bank, Cao Yuliang, General Manager of Guangxi Pingguo Aluminum Langkun Technology Co., Ltd., and President Tan Yong signed a letter of intent for the "Legal Auction Loan." The Pingguo County Financial and Judicial Cooperation Mechanism "Legal Auction Loan" business signing ceremony concluded successfully.

Pingguo County Financial and Judicial Cooperation Mechanism "Legal Auction Loan" Business Signing Ceremony
 

It is understood that Guangxi Pingguo Aluminum Langkun Technology Co., Ltd. successfully bid for the house, factory, and machinery equipment of Guangxi Zhuangyi Door Industry Co., Ltd. (used as collateral) at a sale price of 10,902,413.6 yuan through a bank mortgage loan. This is the highest transaction amount in the court's online judicial auction since the beginning of the epidemic this year, and also the court's first case to dispose of the property of the executed enterprise through the "Legal Auction Loan" method, marking a significant step towards effectively resolving difficulties in enforcement.

Signing of the "Legal Auction Loan" Letter of Intent

It is understood that in January 2016, Guangxi Zhuangyi Door Industry Co., Ltd., due to financial difficulties, successively borrowed 6,000,000 yuan from Guangxi Pingguo Rural Cooperative Bank. After the loan was disbursed, Guangxi Zhuangyi Door Industry Co., Ltd. failed to repay the loan as agreed in the contract. In August 2018, Guangxi Pingguo Rural Cooperative Bank sued Pingguo Court. Through court mediation, both parties voluntarily reached an agreement: the defendant, Guangxi Zhuangyi Door Industry Co., Ltd., and Huang Mougan and Liang Mouhua (jointly and severally liable) would pay off the principal and interest of the loan to the plaintiff, Guangxi Pingguo Rural Cooperative Bank, totaling 7,098,572.24 yuan before November 30, 2018. After the case entered the execution procedure, the defendant was unable to repay the debt, and the court legally seized and auctioned the defendant's property. Because the amount involved in this case was large, two auctions failed. During the sale process, which coincided with the epidemic period, Pingguo Court actively adopted the "Legal Auction Loan" method, led by the Pingguo County Branch of the People's Bank of China, with Guangxi Pingguo Rural Cooperative Bank providing loan services, to facilitate the smooth progress of the judicial auction of the subject matter in the above-mentioned case, maximizing the protection of the applicant's legitimate rights and interests.

The signing ceremony concludes successfully

During the epidemic, the "Legal Auction Loan" has undertaken a new historical mission, meeting the needs of the purchaser, Guangxi Pingguo Aluminum Langkun Technology Co., Ltd., which faced difficulties in financing due to the epidemic. This provided financial support for the enterprise, helping it to smoothly weather the epidemic and expand its production scale. This measure greatly reduces the threshold for court judicial auctions, improves the success rate of judicial auctions, effectively promotes the disposal of non-performing assets, and achieves a win-win outcome in terms of execution efficiency, economic benefits, and social benefits.