Extraordinary Genius - Chapter 242 – Dealing with the Bank Manager
Kirilenko wanted to help Feng Yu get a loan in Ukraine, but he could not do so without the help of Brother Ke. But Feng Yu could see Kirilenko’s sincerity. Brother Ke was not happy with Feng Yu’s rejection, but he did not fall out with Feng Yu. Maybe Kirilenko had spoken to him.
Feng Yu thought the meeting with Ukraine bank’s manager would be at the bank, but Brother Ke arranged for the manager to go to his residence.
“Feng, let me introduce to you. This is the Manager of the Soviet Bank’s Ukrainian branch, Mr. Kovski. Mr. Kovski, this is Mr. Feng, from China. He is my good friend.”
“Mr. Feng, nice to meet you.” Mr. Kovski was not surprised by Feng Yu’s age. He had met many second generations in the Soviet Union. He thought that Feng Yu was also one of them from China.
“Mr. Kovski, how do you do? I had heard them talking about you often, and I finally get to meet you.”
Feng Yu’s flattering had no effect on Mr. Kovski, and Mr. Kovski asked: “I heard that Mr. Feng wants to get a loan from our Ukraine branch. How much do you need and what will you be using as collateral? Or, do you have a guarantor?”
There were two types of loans. One type was using collaterals, and another type was getting a guarantor. Of course, the banks also had unsecured loans. For example, Hong Kong Citibank had given Superman Lee’s son an unsecured loan of 1 billion HKD. His collaterals were only assets worth less than 100 million, and he did not have any guarantors.
But Citibank still approved the loan. The bank was not worried that the other party would default payments. It was because of his father, Superman Lee. His father would never let his son be sued and also, because of his reputation.
Since Citibank could approve, there should be no problems in the corrupted Soviet Union.
“Mr. Kovski, I want to take a loan of 100 million Rubles.”
Mr. Kovski was shocked. He looked at Feng Yu and then Brother Ke. He had come here because of Brother Ke. He thought that Brother Ke’s friend would get at most a few million Rubles loan. He never expected that this Chinese man wanted to loan so much money!
100 million Rubles? What does he want to do? If it weren’t for Brother Ke, he would have walked out of the room. Does he even know how much was 100 million Rubles?
“What will you be using as collateral?” Mr. Kovski frowned.
Feng Yu took out some documents he prepared. Those were photocopies. The original copies had been used to get the loans from ICBC in Bing City.
Some of the documents were in Russian, and Mr. Kovski could understand it but not for those in Chinese. He could only look at the numbers. A total of 180 million.
Eh, this person had so many assets. Then it shouldn’t be a problem to get a loan of 100 million.
Wait, could this figure on the Chinese document in RMB?
If it were only 180 million RMB, then it would just be about 30 million Rubles. It’s far from 100 million Rubles!
Typically, banks only approve loans for an amount lesser than the collaterals. They need to take the depreciation of the assets into account.
For 30 million Rubles worth of assets, the highest loan he could give was only 30 million Rubles. This was the most he could approve, and this Feng Yu wanted 100 million Rubles?
“How much are your assets worth in Rubles?”
“Based on the current exchange rates, about 30 million Rubles.” Feng Yu replied.
Mr. Kovski stood up and said: “I think all of you have approached the wrong person. 30 million Rubles worth of assets and without guarantors, cannot get a 100 million Rubles loan!”
Although Brother Ke had some influences in Ukraine, his influences were not worth 70 million Rubles. Furthermore, Brother Ke did not mention that he would be a guarantor.
Without guarantors and so few assets, Mr. Kovski would never approve this loan to a Chinese!
‘Mr. Kovski, don’t be so quick to reject us. Look at this document. It states 180 million on it. If the person reviewing this document closed one eye, then this loan would be approved.”
“What do you mean?” Mr. Kovski was furious.
Kirilenko opened up his palms and said: “Mr. Kovski if you help us, I can decide for Feng. He will deposit 500,000 Rubles in your overseas account. It’s 500,000 Rubles! How much do you earn a year?”
Mr. Kovski was the Ukrainian Branch manager, and his annual salary was only about 10,000 Rubles. 500,000 Rubles was equivalent to his 5 years’ wages.
Looking at Mr. Kovski’s hesitation, Kirilenko continued: “I can arrange for someone to be his guarantor, and I promise you that he would repay the loan on time. Mr. Kovski, don’t you even trust Brother Ke and me?”
“500,000 Rubles is too little. All of you are getting 70 million over the limit, and you are only giving me so little? I want 7 million Rubles!”
Before Mr. Kovski came here, he knew that there must be a problem with this loan. If not, why would they invite him over? They could have gone straight to the bank. But he never expects the loan amount was so big. He felt that the risk was too big and he wanted more money.
Feng Yu did not say anything. Kirilenko continued: “Mr. Kovski, don’t you think that 7 million Rubles is too much? We are not only taking care of you alone. 1 million Rubles. It will be enough for you to enjoy for the rest of your life.”
Feng Yu was thinking in his heart that if Mr. Kovski changed the 1 million Rubles to USD, he would be able to retire comfortably. But if he kept the money as Rubles, then 1 million would not last more than 2 years!
“At least 5 million.”
“Only 1 million. You have risks, and we also have risks. I think 1 million Rubles is a fair amount. You shouldn’t be so greedy. But if you can agree to my condition, I can raise the amount higher.” Kirilenko showed him his index finger.
“My friend Feng wants the loan period to be 8 years and the interests for the 8 years will be repaid together with the loan amount at the end if 8 years.”
“What do you mean? You want to hold the interest repayments until the 8th year? Impossible!” This was a considerable amount, and the interest got to hold off until the 8th year? His risks would be high.
“You can charge higher interest, and I will give you 2 million Rubles. Listen carefully, it’s 2 million Rubles. Once we got the money, we will deposit into your account!”
“I can’t do this. It is against the regulations.”
“3 million Rubles. This is my highest offer, you should know that the Ukrainian branch is not the only bank in the Soviet Union.” Kirilenko continued to persuade him.
Mr. Kovski’s hand, which was holding a cigar was shaking. He was hesitating. 3 million Rubles would give his wife and kids a better life. If he was still the branch manager of Ukraine and no one would find out about this loan. He could also get a scapegoat if anyone found out. He could control his risk.
Feng Yu waited patiently for his answer. He trusted Kirilenko. Kirilenko was more familiar of the Soviet Union’s bribery “market rates” than him!
Mr. Kovski stubbed his cigar and sat upright: “8 years is not possible. The most I can promise you is 6 years.”
Kirilenko turned to Feng Yu. Feng Yu nodded.
“Fine, 6 years. But the loan must be approved within 1 month!” Kirilenko said.
“If you can get a suitable guarantor, I promise you the loan will be approved within 1 week!”