Ch. 523A heavy-handed crackdown: three departments launch a joint investigation!
Public outrage over Laihai Bank’s missing four billion-plus and its handling of investors’ funds intensified as the bank and regulators tried to stall. The Central Bank, the China Banking and Insurance Regulatory Commission, and the Law Enforcement Department formed a joint investigation team, leaving Lin Sheng unable to protect Lin Feng.
- Yu Wandong and Meng Zijian agreed that Laihai Bank had no way to restore public confidence immediately and issued a vague announcement saying it was investigating.
- The China Banking Regulatory Commission announced a review of the issues raised online but did not explain where the four billion-plus had gone.
- Li Xuezhen told Su Bai that online anger was affecting banks and that Laihai Bank and the Upper Capital branch of the China Banking Regulatory Commission were staying silent.
- The Central Bank, the China Banking and Insurance Regulatory Commission, and the Law Enforcement Department classified the matter as illegal fundraising and formed a joint investigation team to bring those involved under control.
- Lin Sheng learned from an old friend that Upper Capital had been told to cooperate with the investigation and realized he could no longer protect Lin Feng.