Huaxi Village was squeezed? What happened to “the world’s first village”?

China’s Jiangsu Jiangyin Huaxi Village, also known as “the world’s first village”, has been officially regarded as a model for China’s new socialist rural construction, recently the Internet exploded Huaxi Village, a large number of people lined up in the square in the rain to get money video, a Hong Kong media that Huaxi Village suspected of being in a financial crisis.

Hong Kong 01 reported on Saturday, Huaxi Village recently seems to have financial problems because of the crowd crowded square, netizens questioned Huaxi Village was “squeezed”, money problems, the villagers to take money to protect the capital. The report quoted people at the scene as saying that the share dividend of Huaxi Group had fallen from 30% to 0.5%.

The report quoted Mr. Li, a villager, as saying that from the afternoon of the 24th, people who went to cash out their dividends changed from 30% to 0.5%, i.e. the shareholding of 200,000 yuan at the Time, and the interest turned from 60,000 yuan to 100 yuan after three years. The result triggered panic among villagers, who lined up to get their money to protect their capital.

The report quoted the person in charge of Huaxi Village as saying that the video of the scene was true, mainly because “the outside capital attraction money is due for payment”, due to rumors that caused a “run”, the person said Huaxi has sufficient funds, no problem to pay.

According to Free Asia, “Huaxicun” A-share stock listed in Shenzhen in 1999, Huaxicun Co., Ltd. became China’s first listed company named after a village, the official media hailed it as “China’s first rural stock.

Huaxi Village was awarded “National Civilized Village and Township”, “National Cultural Model Village Demonstration Site”, “National Advanced Unit of Ideological and Political Work of Township Enterprises”, “National Advanced Enterprise of Township Enterprises”, and “National Advanced Enterprise of Township Enterprises”. “In 2004, the village became the first batch of “National Agricultural Tourism Demonstration Points”, and on August 26, 2020, it was selected as the second batch of National Rural Tourism Key Villages, which is regarded as China’s It is regarded as a model of “new socialist countryside construction” in China.

However, behind the many official honors, there is also public opinion criticism that Huaxi Village has been “reduced to a Family business”. After the death of Huaxi Village secretary Wu Renbao in 2013, the village secretary, director and chairman of Huaxi Group was succeeded by his fourth son, Wu Xieen, and other children and grandchildren are also holding important positions in the village. Some have even criticized Huaxi Village as having morphed from a “new socialist countryside into a feudal Family world.

Beijing scholar Rong Jian commented, “Huaxi Village enterprises are claimed to be collectively owned, but in reality they are controlled by the Wu family, with the sons inheriting their father’s business and the grandsons taking over. The miracle of Huaxi Village, to put it bluntly, is to rely on loans, currently nearly 40 billion in debt, cash only 7 billion, what to pay back? It’s a great irony that these private family businesses under the banner of collective economy have been officially and chronically made the model of collective economy.” Rong Jian pointed out that this is a typical power capital under the guise of red, “such enterprises will collapse sooner or later, now acquired by the SASAC, using the state’s money to fill the hole dug by them, can be considered a safe landing.”