For a time, Sheng Xuanhuai became the most watched figure in Shanghai and even in the financial investment circles at home and abroad.

When he set up a commercial bank, some people supported it, some opposed it, and even more people were waiting to see his joke.

Foreigners were the first to object, which is easy to understand. Who wants to have one more eater?

Great powers such as Britain, the United States, France, Germany, Russia, and Japan were the first to bear the brunt, and they all proposed that they could only form joint ventures, otherwise they would not support it.

Sheng Xuanhuai responded politely: "Joining a bank with your country reflects the goodwill of the Qing Dynasty. Does this mean that our country can no longer open wholly-owned banks?"

In addition to dealing with foreigners, he also had to face opposition from domestic dignitaries.

First of all, Zhang Zhidong, the governor of Huguang, firmly opposed it. He established the Hubei Silver Dollar Bureau in Huguang a few years ago to mint silver coins and circulate them in Huguang, Jiangsu and Zhejiang.

When the Commercial Bank is opened, it will definitely issue circulating currency, even advanced banknotes, which will pose a threat to the Hubei Silver Round Bureau.

Ronglu, the minister of the Prime Minister's Yamen, raised a number of objections.

The supervisory censor Guan Ting presented a letter to impeach Sheng Xuanhuai.

…

At the critical moment, his mentor Li Hongzhang recovered from his gunshot wound and took office.

Thanks to his mediation, finally in April of the 23rd year of the reign of Emperor Guangxu, the business signboard of China Commercial Bank was put up at No. 6 Building on the Bund in Shanghai.

The total share capital of the Commercial Bank is 2.5 million taels of silver, of which 1 million taels come from the China Merchants Shipping Company and the Telegraph Bureau controlled by Sheng Xuanhuai. The share capital of 780,000 taels of silver comes from Li Hongzhang and his son, Sheng Xuanhuai himself, and several others.

Huai Clan officials.

The remaining 720,000 taels of silver stock capital came from investments from many private businessmen and banks.

The bank refers to the business management model of HSBC Bank in the UK.

At the same time, the Qing government decreed that the Commercial Bank of China obtained the privilege of issuing two types of banknotes: silver dollar certificates and silver dollar certificates.

This is the first time a Chinese-funded bank has issued banknotes, achieving a breakthrough of zero, which is a milestone.

The intention was to use domestic banknotes to compete with the banknotes of foreign banks in the Qing Dynasty. It was hoped that the control of metals in the Qing Dynasty would no longer be exclusively controlled by foreign banks.

Talking about it makes me sad and brings tears to my eyes.

Opening a wholly Chinese-owned bank and issuing some currency on the territory of your own sovereign country depends on the attitude of foreigners. Many Chinese people themselves are not yet awakened.

Is this really unreasonable?

Sheng Xuanhuai entrusted the British HSBC Bank with full authority to handle banknote printing matters.

A total of 2.35 million silver dollar certificates were issued for the first time, divided into one yuan, five yuan, ten yuan and fifty yuan denominations.

Silver coupons of five hundred thousand taels are divided into one tael, five taels, ten taels, and fifty taels in face value.

The scale for the first time is not large, and it is intended to try and make breakthroughs.

The currency in circulation in the Qing Dynasty was not unified. It can be said that it was chaotic and varied.

Because paper money was not the only liquid currency in the Qing Dynasty, physical currency and various banknotes accounted for most of the circulation in the market.

One day two months ago, at the counter on the first floor of the Shanghai Head Office of China Commercial Bank, a bank clerk was exchanging silver dollar certificates for physical silver dollars.

The bank counter staff found a counterfeit bill with a face value of ten yuan, which was very rough, so they confiscated it and tore it up in public.

A few days later, other branches of the Commercial Bank discovered counterfeit banknotes one after another. In addition to the ten-yuan denomination, this time there were two denominations of five yuan and fifty yuan.

Immediately, the news of the counterfeit currency in Shanghai Commercial Bank spread like wildfire, and various banks successively refused to accept the banknotes of the Commercial Bank. After hearing the news, citizens rushed to the head office of the Commercial Bank and several branches to cash in cash at the counter.

By the end of February, there was a wave of bank runs in Shanghai, with gangsters even booing at the entrances of major outlets, causing chaos.

The British authorities in the concession sent dozens or even hundreds of police officers to maintain order, and the use of high-pressure water cannons to disperse the crowds was not enough.

"Immediately raise money in cash and redeem it as and when you arrive. The reputation of the Commercial Bank must not be damaged. At the same time, the counterfeit banknote identification methods are posted so that the general public can identify them." Sheng Xuanhuai, who was at home with Ding You, could not sit still and issued an order:

"We will continue to operate on Sundays, and we have entrusted HSBC to collect the money on our behalf and take back all the old coins that have been issued without any mistakes."

"Understood." The bank general manager nodded and executed.

He understands that once counterfeit currency appears, the old currency issued previously is equivalent to a piece of waste paper. No one dares to collect it or use it. He can only grit his teeth and take it back, reprint new currency and reissue it.

However, there was not much inventory in the Bank of China, so Sheng Xuanhuai made a prompt decision and used gold, silver and jewelry as collateral to temporarily borrow 700,000 yuan from HSBC.

Since the measures were put in place in a timely manner, the Bank of China was fully prepared, cashed bills on sight, and paid attention to credit, and the bank run trend has now subsided.

So far, more than 1 million yuan in banknotes have been cashed and recovered. After careful identification, nearly 100,000 yuan in counterfeit currency was found.

These were taken back after someone took advantage of the situation and the counter staff carefully identified them.

Sheng Xuanhuai could only break his teeth and eat them in his stomach due to his mute condition.

In this counterfeit currency incident, the direct loss from the counterfeit currency, coupled with rough calculations such as mistakes made while busy, incorrect exchanges and over-exchanges, operating expenses, etc., the direct losses reached 200,000 yuan.

The remaining sequelae and hidden losses are still incalculable.

Two hundred thousand yuan in nominal money would not hurt Sheng Xuanhuai himself or the Commercial Bank.

The key to the problem is that the source of counterfeit banknotes has not been found, and the hidden dangers still exist.

And what is the other party’s purpose? Is it fishing in troubled waters, or is it to bring down the Commercial Bank?

Standing in front of the window lattice, Sheng Xuanhuai shuddered.

"Sir, Mr. Li and the eldest young master have arrived." The captain of the guard opened the door and came in to report.

"They are here, please come quickly." Sheng Xuanhuai was so excited that he turned around and sat back on the sofa in the office.

After a while, Li Jingfang and Chen Tianhua hurried in.

"Brother Xingsheng, we are here."

"Chen Tianhua, who is born late, pays homage to Mr. Shanda."

Li Jingfang and Chen Tianhua bowed and greeted each other.

"It's good to be here. Sit down and have some tea. Let's chat slowly." Sheng Xuanhuai patted the sand with his hand and sighed with relief and said:

"Hua Zhixian son-in-law, this matter was recommended by your father-in-law and called you here from Jiangning Mansion. Is there nothing going on over there?"

"Your Excellency, Wansheng met Zhang Xiangshuai in Jiangning Mansion. Everything is fine. Wansheng and he have made an agreement and a new cooperation. These things are not urgent. I will wait until you have an idea of ​​what is going on. It will not be too late for Wansheng to report to the Lord."

Chen Tianhua replied calmly.

It is about 200 nautical miles from Xiaguan Wharf in Jiangning to the mouth of the Yangtze River in Shanghai. His small steamer ran at full speed along the Yangtze River early in the morning and arrived at Shiliupu Military Pier before four o'clock in the afternoon.

After landing, he rented a carriage and arrived at Li Mansion first, where he found his uncle Li Jingfang to learn about the situation.

Li Jingfang introduced the general situation to Chen Tianhua.

It turned out that not long after Chen Tianhua left Hangzhou, Li Jingfang returned to Shanghai by speedboat and immediately went to visit Sheng Xuanhuai.
Chapter completed!