Chapter 2735: The Capital (Part 92)

"Whether they bought them at a discount or picked them up off the street, they're still your Delong notes. You bankers have a rule: for bearer notes, you honor the paper, not the person. No matter how they acquired the notes or what they intend to do with them, when they present them at your counter for redemption—will you redeem them or not?"

Leng Ningyun thought: This Prefect Zhong has struck at the heart of the problem. To put it plainly, his reserves were woefully insufficient.

"Once we open, we must naturally honor them. A merchant's most valuable asset is his credibility."

"But you just admitted it yourself—you cannot pay it all!" Zhong Lie heaved a long sigh.

"True, if we're speaking strictly of silver in my vaults, fully redeeming every deposit slip and note circulating in the market is indeed beyond our means. However, the market belongs to everyone. If they truly run Delong into the ground, I fear the consequences for the capital's livelihood will be severe."

"How so?"

"Consider this, Your Honor. The bulk of Delong's deposits naturally come from the gentry. When they arrive to withdraw, self-preservation demands I give them priority—I wouldn't dare short them even a single fen of interest."

Zhong Lie nodded. This was only natural.

"But beyond the gentry, many small merchants and ordinary folk also deposit with Delong to earn interest. Once the silver is exhausted, I can only close our doors. As for what becomes of them, I cannot say. Even if I went to prison and surrendered all my assets, I still couldn't compensate the common people." Leng Ningyun spoke with evident sincerity. "Common people work their fingers to the bone, trading sweat and blood for a few coins. They entrusted those coins to me for a little interest. If their principal is lost, how could I live with myself?"

This wasn't merely about losing deposit principal and interest. The truly destitute—those who stopped eating when they stopped working—had no spare money to deposit for interest in the first place. Those who would suffer most were the capital's many small and medium merchants. They had some spare cash, deposited in banks or large shops for interest, hoping to earn a bit extra for household expenses. During lean times, they would also withdraw for working capital. If Delong collapsed, these small and medium merchants would be devastated. The capital's markets would certainly suffer greatly. Many would hang themselves or throw themselves into wells; even more would become beggars or starve. The chain reaction would deal a crushing blow to people's livelihoods.

Zhong Lie was no bookish fool ignorant of worldly affairs. He understood the dangers perfectly well.

"Heh, heh. Who knew Grand Manager Leng possessed such a compassionate heart!" Zhong Lie said sarcastically. He pondered a moment, then asked, "So, would it be better to keep you sealed?"

This sounded like an invitation to negotiate. Leng Ningyun sensed an opening and immediately said, "If we remain sealed, though there won't be a run, the deposit slips and notes in circulation will become worthless paper. The result would be the same."

"Unsealing won't work, sealing won't work—what exactly do you propose?"

"There are still a few days until the markets reopen. During that time, I'll do everything in my power outside—mobilizing funds and persuading colleagues to support me." Leng Ningyun spoke with evident sincerity. "I must also ask a favor of Your Honor."

"Oh? How might I help you?"

At this moment, Leng Ningyun felt a surge of confidence. What he feared most was encountering stubborn officials of mediocre ability—unreliable in handling affairs yet convinced of their own righteousness, so set in their ways that eight horses couldn't budge them.

Prefect Zhong was not such an official. Though he had a reputation for integrity, he could also adapt to circumstances. As long as facts and reasoning could persuade him, cooperation was possible.

Now he grew even more composed. "Thank you, Your Honor!"

His request was simple: on the day of unsealing, please have Shuntian Prefecture dispatch runners and clerks—and if Magistrate Liu could attend personally, so much the better—to maintain order at the scene.

"...On the day of unsealing, two concerns arise. First, there will certainly be a run. Without people maintaining order, stampedes may occur. Second, we must prevent anyone from stirring up trouble and inciting civil unrest."

"That's easily arranged. Lord Liu surely won't refuse." Zhong Lie nodded. "But if you cannot make good on your redemptions when the time comes, I'll have no choice but to seal you again—and this time, it won't merely be sealing the shop!"

"Yes! I understand!"

"Second, I would request that Your Honor issue a red-posted proclamation in Shuntian Prefecture's name."

"Oh?" Zhong Lie became more cautious. A red-posted proclamation was an official government document whose wording demanded great care. If something proved inappropriate, once it bore the seal and was posted publicly, ten oxen couldn't pull it back.

Though maintaining market order and keeping the peace were routine official duties, this matter had far-reaching implications. If it triggered civil unrest, Shuntian Prefecture would inevitably share the blame. Any hint of favoring Delong in the proclamation would become ammunition for the censors' impeachment!

After considering, he immediately ordered an attendant: "Please invite Secretary Lin."

Secretary Lin had in fact been listening to his employer's conversation with Leng Ningyun from beneath the window. After all, Grand Manager Leng currently stood at the eye of the storm. The slightest mishandling could severely affect his employer's career and reputation.

Having listened this far, Secretary Lin felt Leng Ningyun's words were generally reasonable and his requests not excessive. But his confident claims about "mobilizing silver" certainly lacked substance. When his employer summoned him, he appeared at once.

After exchanging greetings, Zhong Lie said, "Secretary Lin, to maintain the markets, we cannot avoid managing this Delong matter. Now Grand Manager Leng proposes that Shuntian Prefecture issue a proclamation to help maintain credibility. I require your input on this."

"Yes, yes! Your Honor is most thorough!" Secretary Lin, as Shuntian Prefecture's secretary, naturally received certain considerations from Delong. For a secretary serving a "clean official" and a capital official, Delong's monthly "customary fee" of a few taels and the "festival gifts" at the three major holidays were welcome supplements.

He had originally been quite willing to help Delong—after all, compared to Shanxi House, Manager Leng was far more generous. If he could render assistance, future gratitude would certainly prove substantial. But Delong's situation was too complicated; he had to proceed with caution.

"Trouble for you."

"I wouldn't dare, I wouldn't dare," Secretary Lin bowed. "But what content should the proclamation contain? Please instruct, Your Honor."

"On that matter, first consult Grand Manager Leng, then we shall deliberate."

Leng Ningyun spoke promptly: "My apologies for troubling you, Secretary Lin! The Delong matter is naturally my responsibility, but we also need everyone's help to consider the broader situation! In my humble opinion: first, state that Delong is a legitimate merchant establishment with an excellent reputation from years of operation; second, that the manager was recently detained by bandits, hence the temporary closure, and now that he has safely returned thanks to official rescue, the shop is reopening; third, that Delong possesses ample assets with no risk of collapse; fourth, that the money trade has wide connections, and market turmoil affecting commerce benefits no one in the capital, so please refrain from spreading rumors or causing scenes. I ask that you convey this message clearly to all."

Secretary Lin was exceptionally clever. By the time Leng Ningyun finished, he had already composed a draft in his mind. But he did not immediately approach the desk to write. Instead, his eyes turned to Zhong Lie to gauge his opinion.

Zhong Lie understood his meaning. Of these four points, the second and fourth were acceptable. The critical issues were the first and third.

Originally, the first point would pose no problem. A large establishment that had operated in the capital for years could hardly be called treasonous. Besides, the shop was the shop; the person was the person. After Grand Secretary Yan's downfall, the shops under his name had simply changed owners and continued operating right through to the Chongzhen era.

But Delong was different. Anyone of standing in the capital knew that Delong had an unclear, ambiguous relationship with the Kun who were rebelling in Liangguang.

If this sentence appeared in the proclamation, it would mean that Zhong Lie of Shuntian Prefecture was personally guaranteeing that Delong wasn't "rebel property" and that Leng Ningyun had no connection to the Kun.

The liability was enormous. If nothing happened, all would be well. But if something did occur, it would become ready-made ammunition for the censors to tear apart!

As for "Delong possesses ample assets with no risk of collapse"—that too sounded like offering guarantees. If Delong failed, Zhong Lie's reputation would suffer severe damage.

At this moment, Secretary Lin wished to help Leng Ningyun. After careful deliberation, he said, "Your Honor, Manager Leng is no ordinary merchant. He holds an official title..."

A clever person needs only a hint. Zhong Lie was immediately enlightened. Whether this Manager Leng was a false member of the Kun or a genuine Australian, his "Nanjing Imperial Academy Student" title was authentic! The Ministry of Rites even had his three-generation ancestry on record! Even if he were one of the Kun, that would concern the Nanjing Imperial Academy and the Ministry of Rites—what did it have to do with Shuntian Prefecture!

As for "Delong possesses ample assets," Secretary Lin had ideas for that as well. He drafted the proclamation immediately and presented it to Zhong Lie for review.

Zhong Lie stroked his beard and read it carefully, nodding slightly, then signaled for the draft to be shown to Leng Ningyun.

Such proclamations often employed colloquial four-character phrases—plain language that read almost like doggerel. Leng Ningyun could understand it easily:

"Delong Bank, excellent reputation, wide network, ample resources. Times are troubled, bandits run rampant. Shop owner detained, fortunately escaped. Safely returned, doors reopen. Business as usual. Owner's oath: silver is sufficient. Any shortfall, the law won't forgive. Shuntian Prefecture decrees: Market peace, citizens should heed. When Delong opens, notes will be honored. Merchants and common folk, no need for panic. Heed not rumors, come redeem together. Those who incite unrest bear full responsibility. Lawless scoundrels spreading fear, those who agitate in secret, once caught, will be severely punished. Heartfelt words, consider yourselves warned! This decree is absolute."

Leng Ningyun silently admired Secretary Lin's formidable pen. The third point had deftly transformed Shuntian Prefecture from "guarantor" to "regulator"—thoroughly distancing the Prefecture from any liability.

"I find it most appropriate. Secretary Lin truly wields a masterful brush."

"I wouldn't dare. Matters concerning Shuntian's markets and merchants require the utmost caution."

After Secretary Lin withdrew, Zhong Lie studied Leng Ningyun for a long moment before speaking: "Your requests—this office has done what it can for you. The coming storms you'll have to weather yourself."

"Yes. I will certainly steer with care and sail the ship safely for ten thousand years. I won't fail Your Honor."

In Zhong Lie's eyes, a glint of appreciation flickered briefly, then vanished.

"Whether you fail me isn't important. Just don't fail the merchants and common people who entrusted their money to your shop!" With that, he raised his teacup.

(End of Chapter)