The last "unfinished building" in the main city of Chongqing has become a heart disease for all parties. The Paper Xu Qiyong
The unfinished building "Yingdan Building", which has stood for 14 years in the downtown area of Yubei District, Chongqing, has become an alternative landmark of the city.
This first "unfinished building" in Chongqing is like a nail, which has been poked in Zheng Jing’s heart for four years: "Every time I pass by it, I can’t help but feel a burst of heartache."
Zheng Jing is a shareholder of Chongqing Zhongxiong Construction Engineering Co., Ltd. (hereinafter referred to as "Zhongxiong Company").
Four years ago, Zhongxiong Company participated in a judicial auction and won Yingdan Building for 251,836.8 million yuan. Since then, Zheng Jing and Zhongxiong Company have been caught in a lawsuit "whirlpool" and have been claimed 150 million yuan.
The Paper (www.thepaper.cn) learned in an interview that "Yingdan Mansion" is like a black hole. Some people go to jail because of it, some people spend all their money for it, some people become petitioners, others are separated because of it, and at least 10 couples get divorced because of it.
The builder was sentenced to 12 years in prison.
Yingdan Building is located at the turntable of the new memorial archway in Yubei District, Chongqing, adjacent to the starting point of the airport expressway.
According to public information, Yingdan Building covers an area of 8.36 mu, and is a front and rear conjoined building with 33 floors and 25 floors respectively. The main project of the building has been completed, but the external wall has yet to be decorated, and the door opening has been reserved. The internal pipe network, water and electricity, and elevators have not been installed.
"Every year, buyers come here from time to time to see, and some even cry." On August 5th, the owner of a restaurant near Yingdan Building told The Paper that in the past 14 years, many people have been forced to shed tears by this "unfinished building".
Through a rusty iron gate, it can be seen that the courtyard is already covered with weeds as tall as people, and the same rusty tower crane stands tall.
Two security guards sat in the courtyard of the building, drinking tea and reading the newspaper. Knocking on the iron gate, The Paper tried to enter the compound, but they refused, and even taking pictures was prevented. Under the refraction of sunlight, the unfinished building cast a huge shadow on the sidewalk next to it.
Yingdan Building is jointly built by Chongqing Yunhui Trading Co., Ltd. and Chongqing Yingdan Property (Group) Co., Ltd., and both parties agree that Yunhui Company will leave the land and Yingdan Company will contribute to the construction. Construction started in 1999, but stopped in November 2000 due to the break of Yingdan Company’s capital chain.
Yingdan Company, which is in urgent need of funds, introduced the natural person Jingnong Ronglian in 2002. However, in the name of internal subscription, Jing sold the houses without pre-sale permits to 29 buyers at low prices, making a profit of 5.06 million yuan. Therefore, he was charged with contract fraud and sentenced to 12 years in prison, which became a sensational "internal subscription fraud case".
In September, 2003, Yunhui sued Yingdan Company for canceling the contract for the joint construction of Yingdan Building. At the same time, Yingdan company began to fall into a lawsuit war with many creditors.
Yingdan Company has been repeatedly defeated in this lawsuit, and has been applied by many creditors for debt repayment. In March 2009, Yingdan Building was sealed up by the People’s Court of Yubei District of Chongqing (hereinafter referred to as "Yubei District Court") as a whole and submitted to Chongqing Higher People’s Court (hereinafter referred to as "Chongqing High Court") for evaluation and auction.
Entrusted by Chongqing High Court, on March 29th, 2010, Chongqing Bocheng, Chongqing Huaxia and Chongqing Jingfeng jointly issued a judicial auction announcement.
Auction book about Yingdan Building. The Paper Xu Qiyong
The winning company was claimed 150 million yuan.
On March 29th, 2010, Zhongxiong Company, which is owned by Zheng Jing, saw the auction announcement of Yingdan Building.
Zheng Jing said that at that time, the company was very optimistic about the location advantage of Yingdan Building-located in the prime location of Xinpaifang in Yubei District, Chongqing, adjacent to the starting point of Airport Expressway.
On April 30, 2010, Chongqing Higher People’s Court opened the judicial auction of Yingdan Building, and set the valuation of 186 million yuan as the starting price.
The auction was held in Chongqing United Assets and Equity Exchange, and electronic bidding was adopted.
Zheng Jing recalled that the competition on the day of the auction was fierce. After 83 bidding contests, Zhongxiong Company and another buyer finally clinched a deal with 251,836.8 million yuan, and signed the Auction Confirmation Letter with the auction company on the same day.
However, Zhongxiong Company subsequently discovered that the subject matter notified to the court by the local land and construction departments had a series of major flaws. "These flaws were not disclosed before the auction." Zhongxiong Company believes that due to the unauthorized increase of building floors, Yingdan Building has serious security risks, and it does not have the conditions for external auction without the appraisal of relevant quality appraisal departments. At the same time, there are a lot of property rights and debt disputes in this project, which leads to the actual possession and control of the building by some unidentified people.
In view of this, Zhongxiong Company immediately stopped paying the bid price, and communicated and negotiated with the auction company many times.
On May 24, 2010, three auction companies wrote to Chongqing High Court, asking the court to find that Zhongxiong Company was in breach of contract.
Subsequently, Chongqing Yubei District Court made an enforcement award to revoke the auction results and re-auction Yingdan Building.
In July 2010, Yingdan Building was auctioned again. This time, the building was bought by Chongqing Huaou Real Estate Co., Ltd. for 176,934.96 million yuan.
What Zheng Jing didn’t expect was that the troubles of Zhongxiong Company began to follow. In the series of execution cases of Yingdan Building, Zhongxiong Company was added as the executor.
In December 2010, Zhongxiong Company was ruled by Chongqing High Court and Yubei Court to bear the auction price difference of 74.9 million yuan.
On October 20, 2011, Chongqing Higher People’s Court ruled that the property of Zhongxiong and its shareholders was 67.9 million yuan. Previously, the personal assets of Zhongxiong shareholders worth hundreds of millions had long been controlled by the court, and even the real estate and bank deposits under the name of shareholder Zheng Jing’s mother were not spared.
On February 26th, 2014, Fang Yunhui Company, the former joint building of Yingdan Building, filed a complaint with Chongqing No.5 Intermediate People’s Court (hereinafter referred to as "Chongqing No.5 Intermediate People’s Court"), demanding that Zhongxiong Company and its two major shareholders jointly compensate for its losses of 54.1 million yuan on the grounds that its shareholders abused its independent status as a legal person and its shareholders’ limited liability harmed the interests of its creditors.
Yun Hui believes that Zhongxiong Company and its shareholders deliberately broke the contract in the auction of Yingdan Building, resulting in its debt of nearly 50 million yuan to Yingdan Company still unpaid.
On April 6, 2014, Yingdan Company sued Zhongxiong Company and its shareholders in Chongqing No.5 Intermediate People’s Court for the same reason, demanding that the court order Zhongxiong and its shareholders to jointly compensate for the losses of 94 million yuan.
At present, the above two cases have been filed, and Zhongxiong Company has been claimed for nearly 150 million yuan. Hundreds of millions of personal property previously seized by shareholders of Zhongxiong Company was once again preserved by the litigation property of Chongqing No.5 Intermediate People’s Court; The Chongqing Higher People’s Court has not lifted the measures taken by shareholders of Zhongxiong Company to restrict high consumption and exit.
The construction site is overgrown with weeds.The Paper Xu Qiyong
Legal experts "bar" to court
In view of the series of rulings of relevant courts, Zhongxiong Company and its shareholders have made judicial relief in order to get out of the dilemma of being attacked by both sides.
The Paper learned that Zhongxiong Company first questioned whether the auction of Yingdan Building was effective.
In 2011, Zhongxiong Company sued Chongqing Bocheng, Chongqing Huaxia and Chongqing Jingfeng auction companies, arguing that Yingdan Building had serious hidden dangers in building safety and quality, and could not be actually delivered, so it could not be used as the auction target. According to the relevant regulations, the "Auction Confirmation Letter" signed by Zhongxiong Company and three auction companies should be deemed invalid.
In this regard, the Chongqing No.1 Intermediate People’s Court made a civil ruling on December 1, 2011, dismissing Zhongxiong’s lawsuit against three auction companies, on the grounds that Zhongxiong’s objection to the validity of the Confirmation of Auction Closing was not within the scope of the court’s civil litigation.
On March 20, 2012, Chongqing Higher People’s Court rejected Zhongxiong’s appeal for the same reason and upheld the ruling of Chongqing No.1 Intermediate People’s Court.
However, in the face of a series of rulings that were added as the executors of Yingdan Building case, Zhongxiong and shareholders repeatedly filed execution objections and reconsideration applications with Chongqing High Court and Yubei District Court, all of which were rejected. They applied to the Supreme People’s Court for reconsideration within the statutory time limit, and so far there is no result.
According to the statistics of Zhongxiong Company, only in 2012, the company and its shareholders filed an application for execution objection and reconsideration with the courts at all levels, totaling 8 times, and none of them succeeded.
Recently, five senior law professors from Southwest University of Political Science and Law, including Liu Jun, Zhao Wanyi, Liu Yunsheng, Sun Peng and Li Zujun, jointly issued a legal advisory opinion.
According to the opinion, Yingdan Building has serious quality and safety problems and serious violations of the law, which is prohibited by law. The judicial auction of Yingdan Building by Chongqing High Court is invalid, and Zhongxiong Company does not have to bear the liability for breach of contract for the auction price difference.
"It is a serious violation of the law for the court to directly judge and confirm the responsibility of Zhongxiong and shareholders in the execution procedure without trial and cross-examination." The submission said.
When Yingdan Building will be started is still a mystery..The Paper Xu Qiyong
At least 10 couples divorced.
According to the "Recommended Information of Yingdan Building Project" issued by official website of Chongqing United Assets and Equity Exchange on April 8, 2010, there are 1,205 creditors of the subject matter, involving the principal amount of equity of 303 million yuan, including 1,123 buyers, involving a housing area of more than 120,000 square meters, involving an amount of 173 million yuan; There are 82 claims, involving an amount of about 130 million yuan.
Zheng Jingyuan’s quiet life has been broken since he got his hands on Yingdan Building. Because of the restrictions on high consumption and going abroad, high consumer goods can’t be bought, and the business that needs to be discussed abroad can’t be discussed, and it is caught in the whirlpool of litigation, and the cause has also been greatly affected.
It is far more than Zhongxiong Company and its shareholders that have been hit hard. According to Fu Hui, a full-time lawyer of Zhongxiong Company, in the shadow of this huge debt, countless creditors have become "bitter owners", who have been seeking to pay off their debts for more than ten years.
Wang Qiulin is the representative of this group of "victims". She told The Paper that in 2006, she borrowed more than 600,000 yuan to buy three apartments in Yingdan Building. In the signed contract, it was agreed to hand over the house in the second year, and the result was far away.
"The money was originally borrowed from friends and relatives at a monthly interest rate of 1 point." Wang Qiulin said that in recent years, the family was overwhelmed by creditors. In 2010, her husband chose to divorce her because he couldn’t stand the days when creditors came to ask for money every day.
The same thing happened to Lin Jiahua, a house buyer. Before buying a house, Lin had a one-bedroom apartment in Jiangbei District. In 2007, I bought Yingdan Building through a friend’s introduction, and cobbled together nearly 200,000 yuan to Yingdan Company.
After the "rotten tail" of Yingdan Building, Lin Jiahua not only had to endure the pain of being forced by creditors every day, but also was called "the black sheep" by her husband. At the end of last year, her husband divorced her. In order to pay off her debts, she had to sell the only one-bedroom apartment and rent a house outside.
Lin Jiahua said that after the "unfinished" Yingdan Building, many families divorced because they could not repay their debts. Of the 30 buyers she knows, at least 10 have chosen to divorce because they can’t stand the days when creditors force their debts. This statement was confirmed by many buyers.
After Yingdan Building was "unfinished", Wang Qiulin and 30 other buyers took Yingdan Company, the developer, to court and won the case, but the creditor’s rights are still difficult to pay off.
According to the investigation in The Paper, Yingdan Company was on the verge of bankruptcy and liquidation, and there was no property to execute.
Wang Qiulin and others meet at Chongqing High Court and Yubei District Court every month to discuss their views. When he couldn’t make a statement, he turned to the Chongqing municipal government for help, during which he had a conflict with the police.
A "Report on Monitoring the Real Estate Market in the First Quarter of 2012" issued by the Land and Housing Ownership Registration Center in Yubei District said that Chongqing Stability Office and Yubei District Stability Office organized planning, construction committee, land, housing management, courts and other relevant departments to conduct special studies on the above issues of Yingdan Building.
In 2013, Zhejiang Huakun Company took over Yingdan Building. A staff member revealed that the company had completed the relevant procedures of Yingdan Building at the end of last year, and all the warrants were completed. The staff member said that at present, there are different opinions on the aftermath of Yingdan Building within Huakun Company: "Whether it is refined decoration or clean water room sales, everyone has not reached an agreement." Therefore, there is no specific plan for when the building will be restarted.
The Paper obtained a letter from the Chongqing Yubei District Construction Committee to the Yubei District Court, saying: Yubei District is the north gate of Chongqing and the best livable area in the city. Yingdan Building, as an unfinished building, will seriously affect and damage the image of the city.