On 24 May, CHI CBIRC, CHI CB issued notice on bank takeover.
- Decided to take over management of Baoshang Bank for one year, due to serious
credit risk, in order to protect the rights and interests of the bank customers.
Takeover
- A takeover team was set up by relevant parties to take over the management.
- Starting from takeover date, the team has exercised full operational management.
- The merchant banking businesses have been entrusted to China Construction Bank.
- China Construction Bank set up a team to carry out work as per an agreement.
Subsequent matters
- Following the takeover, Baoshang Bank will continue to operate as per normal.
- Customer matters will be handled normally, according to laws protecting rights.
- It has obtained national credit, so consumer savings, corporate deposits guaranteed.
- Public deposits, interbank liabilities up to 50mn guaranteed, larger sums negotiated.
- CHI CB will pay attention to the liquidity situation of small and medium-sized banks.
- Strengthen market monitoring, use monetary policy instruments to ensure liquidity.
Reporters Questions
