The Magician’s Memorial - Chapter 26



Only Krnovel

Episode 26. Other people’s money (3)

The actual owner of the Changwon factory is a loan shark.

In fact, it wasn’t just the Changwon factory.

Taewo Group borrowed money from all over to expand its factories, and most of its affiliates, including Taewo Motors, were created with other people’s money.

This is why the foreign exchange crisis came and ruined it.

The reason why Factory Manager Park fell into helplessness was because he realized the situation of Taewoo Group.

“Factory manager, but other large corporations are also building factories with significant borrowings.”

“Of course I know. But where can a loan shark pretend to be a factory owner?”

“Then we have to kick him out. “Can’t we just make sure that loan sharks and people like Director Lee can no longer pretend to be the owners of the Changwon factory?”

“How easy is that? The money spent to build the Changwon factory exceeded 800 billion won. More than half of it came from loan sharks’ wallets. To kick them out, we have to pay 400 billion won, but there is no way the Taewoo Group can get that much money. To be precise, even if they had that kind of money, they would build a new factory instead of paying it back.”

Only 400 billion won.

It was a very small amount compared to the amount held by SAVE Investment Company.

However, Taewoo Group’s current market capitalization was only around 5 trillion won, so 400 billion won was not a small amount at the group level.

Of course, market capitalization could not be considered the value of the group.

So, the value of Taewo Group may well exceed 5 trillion won, but even so, it would have been difficult to raise 400 billion won all at once.

And like Factory Manager Park said.

My grandfather was the one who thought about building a new factory if he had 400 billion won.

“I will solve that problem.”

“How?”

“Wouldn’t it be okay to find a utility company that would pay back the money borrowed from the loan shark?”

“It looks like you are thinking of borrowing money from a bank to repay the loan shark. Who wouldn’t have tried something like that? “The relationship between the Myeongdong private bond market and banks is very strong.”

For banks, the private bond market was a good customer.

The current banking sector makes money through the private loan market by selling bonds or providing loans at high interest rates.

Moreover, the political world was behind the private loan market.

Since the private bond market was responsible for laundering huge amounts of money used in elections, the private bond market was a necessary evil for those in power.

“You’re saying the bank won’t lend you money.”

“Taewoo Group has already borrowed a lot of money from institutional banks, so additional loans will be difficult. Moreover, if you take out a loan to pay off private debt, you will never be allowed to do so. So these days, we are raising funds by borrowing money from foreign countries.”

“You mean short-term borrowing. “I heard that the interest rates are much higher than those at banks.”

“I don’t know much about that problem. “I briefly heard about it at Taewo Economic Research Institute.”

Suddenly, the story of Taewoong Economic Research Institute came out.

The economic research institute was where my grandfather invited famous foreign economic experts and served as a think tank to predict the economy and industry.

“I guess the Economic Research Institute ever warned about the dangers of short-term borrowing?”

“There has never been a report of fasting. “I just heard about it from someone I know personally.”

Still, there were places that did the job properly.

I thought no one knew that Taewo Group was in a dangerous situation like a candle in the wind.

“Why didn’t such a report go to my grandfather or the executives?”

“It must have been cut on the halfway line. Don’t people in high places like hopeful words? “If you say something negative like a warning, you get ugly hairs.”

“I guess I should visit the economic research institute. Rather than going back to the beginning, what would you do if I were to repay the private loan debt of the Changwon factory? “Would you please take charge of the Changwon factory again?”

“… … I don’t think that will happen though. If the loan shark organization is wiped out, shouldn’t I also be held responsible? “What kind of face would I have to remain at the factory?”

Factory Manager Park said while looking at the sky.

Although he still had regrets about the Changwon factory, he was blaming himself for quietly watching him be taken advantage of by loan sharks.

“Isn’t it your responsibility to normalize the Changwon factory? Well, it’s too advanced to talk about this now. “First, just watch how I handle the loan shark’s debt.”

“I will watch, but it will be difficult to help.”

“Please just watch quietly like you are now. “That’s enough.”

Factory Manager Park stood up first.

He looked at me as if he was worried and went down to Changwon.

You must be worried about me.

They must be thinking that they will ultimately fail after visiting various banks to borrow 400 billion won.

But why would I do such a foolish thing?

There is a SAVE investment company.

* * *

next day.

I entered a small building located behind Taewo’s headquarters building.

Captain Kang and Deputy Director Yoon of the audit team were waiting for me there.

“Is the representative here?”

“You did a good job finding an office in the right place.”

“A good property came up for sale, so I was able to get it without difficulty. “It’s all thanks to the CEO.”

Captain Kang could not live in a hotel forever.

Of course, since I had to travel to various locations on business, I had to treat the hotel as my home, but I still needed a central office.

So I instructed them to purchase a building.

Captain Kang purchased a building located in a very suitable location and turned it into an office.

“Have you become acquainted with Deputy Director Yoon?”

“We had already spoken on the phone several times, so we were already close friends.”

I also told Deputy Director Yoon about Captain Kang’s office.

In order to overthrow the Changwon factory, Deputy Manager Yoon was needed, and of course he had to know the location of the office in order to conduct a secret meeting.

“I’m glad that the cooperation is working well. “The results must have been good, right?”

“We have secured a lot of evidence related to hiring corruption. We also secured testimony from people who were unfairly fired.”

“Based on my experience working in the audit team for a long time, how much punishment will be imposed if there is evidence like that?”

“This is a situation that could range from a minimum of suspension to a maximum of criminal charges, but… … .”

“Is this because the problem lies with Executive Director Lee’s background?”

“That’s right. Disciplinary action at the executive level can only be handled through a CEO meeting. “It is a structure that cannot be handled arbitrarily by the audit team.”

Taewoo Group’s power is concentrated in the grandfather.

However, since my grandfather said he would not be involved in this case, the presidents had to make their own decision.

But who will you listen to?

I will be the next president. Managing Director Lee, the loan shark’s cousin.

Anyone could see that the answer was me, but it was more likely that I would not.

My becoming chairman is a matter of the future, but the money from loan sharks is reality.

“Everything can be solved as long as there is conclusive evidence. “If it doesn’t pass the president’s meeting, all we have to do is file criminal charges.”

“Are you sure you don’t mind? “If you file a criminal complaint again, you could completely lose the trust of the executives.”

“I don’t go out like that. “For Seo Woo-tae, the factory manager of the parts factory, there would be no major problems if he handled it that way, but Managing Director Lee is different.”

“So what do you plan to do?”

“We have to break it down slowly. To do that, you have to first look at this director’s face, right? “Tell the audit team to come out for investigation within this week.”

“Would you like to come up to Seoul to be investigated?”

“Don’t you want to see my face, too? “He’s probably waiting.”

Managing Director Lee was an untouchable figure in the Taewo Group.

Unless Taewoo Group repays all of the loan shark’s money, there is no way to bring him down unless he causes an outright accident.

Director Lee himself must be well aware of that fact.

So there is no need to be afraid of being investigated by the audit team.

Deputy Director Yoon also did not ask any more questions as to whether he understood that point.

“Captain Kang, please continue to look for evidence.”

“We are recruiting a union official.”

“It won’t be easy.”

“He is a union official, but he does not have a good relationship with the managing director.”

“Is this because it is being stamped by Managing Director Lee? Then there may be a possibility of appeasement. “It doesn’t matter how much money it costs, just make it completely ours.”

“And I have one more suggestion.”

Captain Kang showed me a piece of data.

In it, the relationship between Myeong-dong loan sharks and gangsters was drawn.

“Everyone knows that gangsters’ slush funds are being laundered in Myeong-dong. But why are you showing me this data again?”

“Loan sharks can move gangsters. Before you fight the loan sharks, we need a defense mechanism to stop the gangsters.”

“Are you saying gangsters could be targeting me?”

“It is highly likely that not only the CEO but also the members of the audit team will experience a dangerous situation.”

Gangsters attack large corporations?

It’s truly absurd, but in this day and age, it’s not entirely possible.

In particular, the Myeong-dong loan sharks who are leading the dark economy are capable of even more dangerous acts.

“Then I guess I should start a security company. “How many people will it take?”

“We need at least 50 people.”

“We promise you a higher salary than regular security companies, so try to find a good person.”

“We will recruit people from special forces. “There are quite a few special forces members I had ties to when I was in the military.”

During the military regime, the center of military power was the Defense Security Command.

Even though Captain Kang was a man of many ties, he must have had quite a few connections.

“If you are a member of the special forces, you must be armed with force.”

“These are people who were called human weapons. “There are also members of the unit who participated in the operation to invade North Korea.”

“What are those people doing now?”

“If things go well, I’ll work as a bodyguard, otherwise… … “I often work hard at construction sites or work as gatekeepers at entertainment establishments.”

“Very talented people are putting in their efforts in a tough place. “It doesn’t matter if there are 100 people, not 50, so please bring them all.”

“Are you okay with the labor cost?”

The average annual salary at large companies these days is around 20 million won.

If you are a special forces member, you have to be paid that much salary to work loyally, and labor costs amount to 2 billion won every year.

Of course, it was an amount I could easily afford.

But I had no intention of keeping them only with money coming out of my own pocket.

“All you have to do is create a proper security company. “If it’s still not enough, I can apply.”

“thank you! “We will recruit more than 50 good people within a week.”

It was Captain Kang, who bowed his head at a 90-degree angle and said hello.

It was because I said I would create a proper security company.

This meant not simply using them to fight against loan sharks and throwing them away, but creating jobs where they could work for the rest of their lives.

“Preparations for war are almost over now, right? “As soon as Director Lee comes to Seoul, I will declare war.”

“I will secure at least one more evidence before that.”

“We will recruit and deploy people to guard the CEO and Deputy Director Yoon within today.”

The time has come to evict the cancerous mass that is located in the Changwon factory.