Chapter 142: Pie In The Sky
In the evening, at the Kaifu Hotel in Hongkou.
Gu Yansheng went to attend the banquet, and Minister Zhou waited at the entrance to welcome him.
Shaking hands, he said, “I heard Director Gu is from Hangzhou. I inquired with the Gendarmerie Headquarters if there were any specialized Hangzhou restaurants in Hongkou. They said there weren’t. Fortunately, I found out that this Kaifu Hotel serves Jingbang cuisine. Director Gu studied at Peking University, so he should be used to it. They have the three stir-fried dishes and the crab roe fried chicken. I asked, and they have them.”
Gu Yansheng shook hands and said, “Minister Zhou has gone to a lot of trouble. I’m picky about my palate, not cuisines. You are from Hunan, so we can absolutely eat Hunan cuisine. I can handle spicy food too.”
“Hahahaha, good, then have them make a couple of Hunan dishes too.”
They quickly became familiar, and Minister Zhou, laughing heartily, led Gu Yansheng inside.
“I’m very sorry about today’s matter. Junqiang is new here and is indeed not familiar with Shanghai’s affairs. I’ve told him to shed his Chongqing ways, calm down, and properly understand the situation in Shanghai.”
Gu Yansheng smiled faintly. He felt no need to participate in a conversation where someone was criticizing their subordinate.
He echoed, “The situation in Shanghai is indeed somewhat complex.”
Minister Zhou smiled, “That’s why I invited Director Gu. First, to apologize. Second, the preparations for the new government will indeed encounter many problems. I hope Director Gu can generously offer his advice and help me brainstorm some ideas. Brother Gu, you absolutely must help me. Come, please sit.”
When they reached the private room, Minister Zhou told the waiter to start serving the dishes, and he also added two spicy dishes to be enjoyed together.
A red sandalwood Eight Immortals table, placed quite close.
Minister Zhou poured wine for Gu Yansheng and first chatted casually, discussing local customs and traditions from all over, not minding talking about his past in Chongqing and reviewing various figures from the Chongqing faction.
Then they discussed Wang Ni’s peaceful nation-building ideology and asked Gu Yansheng for his views.
Gu Yansheng simply echoed a few words with neither humility nor arrogance.
Then they got down to business.
Minister Zhou said, “The affairs of establishing the new government in Shanghai are numerous and complex. Everything has to start from scratch. Without someone as familiar with Shanghai’s current situation as Mr. Gu, one is always at a disadvantage.
Your insights at the meeting today regarding the requisition of supplies were truly ingenious. You found a way to accomplish a task that seemed impossible.
It’s a pity that Luo Junqiang did not grasp Mr. Gu’s deeper meaning, leading to failure.
At that time, Shadow (Ying Zuo) and I discussed it. Shadow’s suggestion to me was that whatever had already been requisitioned would stand, and he would coordinate with Japanese enterprises for that portion. However, Japanese enterprises that had not yet been requisitioned could not be forcibly requisitioned unless we obtained their permission ourselves.
It was a great pity.
If everything had proceeded according to Mr. Gu’s method, this major problem might have been completely resolved.”
“Complete resolution is impossible, and their portion combined is not enough,” Gu Yansheng stated directly. “In the handling of this matter, we originally agreed to requisition ten percent from each enterprise, but in reality, I instructed my subordinates to requisition twenty percent.
Firstly, it left room for you. If the Japanese enterprises made a fuss, you could coordinate and return half, giving both sides a way out. This would actually achieve the original objective of only needing ten percent.
Secondly, if, as you just said, the Japanese agreed, then keeping both percent would potentially solve the needs of 500,000 people.
The key problem here is that Chinese-owned enterprises, having just experienced the scare of the last cotton yarn forced requisition, have already sold off their inventory. I don’t need to investigate their procurement and sales; I know they won’t have much stock on hand. Even if they gave everything they have, it wouldn’t satisfy your demand.”
Minister Zhou nodded, “I remember you said at the meeting that if Chinese-owned enterprises were asked to contribute, they would all need a year to produce it.”
“Yes.”
“So, are there any other solutions to this current problem?” Minister Zhou smiled and poured wine for Gu Yansheng. “If there are solutions, I hope Mr. Gu will provide more guidance.”
“I wouldn’t dare to offer guidance,” Gu Yansheng said without hesitation. “Because I know that the goods from these factories combined are definitely not enough. I’ve already thought about the aftermath of this matter yesterday, and there are some plans that haven’t been implemented yet.”
“I am eager to listen.”
Gu Yansheng didn’t play coy and spoke fluently. “The goods from factories in the Chinese Territory are insufficient, but merchants have spot goods. Whether it’s from Chinese Territory or the concessions, the goods held by these people can be dealt with. This is the first point.
Secondly, Chinese Territory has suffered from war, and its production capacity has decreased. However, the production capacity in the concessions has not only not decreased but has increased after the war, because some people built new factories in the concessions for refuge. Can we find a way to get some of the goods from their factories?
Thirdly, this is the point I value most, and it’s specifically prepared for Mr. Wang’s idea of peaceful nation-building.
The army’s needs are not a one-time matter. Forced requisition is not a long-term solution, and repeated forced requisitions damage the government’s reputation. Therefore, I think we can establish our own factories and produce cotton yarn ourselves.
Shanghai now has many people without work, and many places nationwide lack cotton yarn. You heard the data I provided yesterday; most of the production capacity in Chinese Territory has been taken by the Japanese, some used for their own armies, and some transported to mainland Japan.
What we have here is far from enough.
There is profit to be made here.
Under the name of the new government, through a public-private partnership, we can establish factories. This will not only solve the cotton yarn needs of our own army but also allow us to sell the surplus nationwide, resolving the problem once and for all.
We can give the cotton yarn factories a brand name, make them a famous brand, such as ‘Peace Brand,’ so that people nationwide know that this is cotton yarn produced by the new government’s official factories, ‘Beneficial Cotton Yarn.’
With a good reputation, we will also earn money.
As for the most crucial issue here, it is the startup capital.
Whether it’s acquiring from concession merchants or building new factories, it all requires money. I’ve also found a source for this.
The simplest method is loans.
The Municipal Bank to be established in Shanghai is intended to be the new government’s Central Bank in the future, isn’t it?
In the name of the new government, borrow a sum of money, and then the factories can start. Vice Mayor Luo is currently the Director of the Economic Department, so this operation should be simple for him. The distant water problem is solved, and then comes the close water.
We can get loans, accept donations, and issue bonds. Merchants with cotton yarn may not be willing to donate a large portion to the government, but there are many wealthy people in Shanghai. They provide the money, and with money comes cotton yarn; we can buy concession cotton yarn freely as well.
Has the close water problem also been solved?
Requisitioning a portion, purchasing a portion, and having merchants donate a portion—500,000 people’s cotton yarn needs can be resolved.
And the subsequent factories can continuously supply the army, completely solving the military supplies problem.”
He spoke quite eloquently. Minister Zhou pondered for a moment. The methods Gu Yansheng provided were indeed feasible, and very much so.
Poured more wine.
“I never expected Mr. Gu to have so many backup plans. It’s truly Luo Junqiang who has failed me. Otherwise, if Mr. Gu had handled this matter, I don’t know how smoothly it would have gone.”
Gu Yansheng smiled, “Minister Zhou, I’ve given you the ideas, and I haven’t held anything back. But please don’t look for me for the remaining matters, right? I said what I had to say in the meeting room. Don’t come to me for the rest. If you try to take it back, I’ll lose all face.”
It was like getting something for nothing. Gu Yansheng had already given a great deal by saying so much.
Minister Zhou also knew that Gu Yansheng was unhappy. The loan matter could indeed be handled by Luo Junqiang, and he could help mediate with the Japanese. However, the matters Gu Yansheng mentioned about purchasing a portion, donating a portion, and especially issuing bonds for merchants to subscribe to were things he absolutely could not accomplish without Gu Yansheng.
After thinking for a moment, he said, “Mr. Gu, I’ve had a very pleasant conversation with you today, and I regret not meeting you sooner. With your abilities, staying in Shanghai’s Judicial Department is truly underutilizing your talents. The new government is being established, and it’s a time when people are needed. I hope Mr. Gu can have greater development. The Ministry of Judicial Administration, do you have any interest in competing for it? If you are interested, I can help.”
Compete? Did he need to compete? This was no different from getting something for nothing.
Gu Yansheng’s eyes shifted slightly. “I don’t quite understand what you mean by ‘compete’?”
Minister Zhou smiled and said, “The list of heads of the main institutions of the new government is still being drafted.
However, while it’s still being drafted, Mr. Wang likely has a clear idea of the candidates for the main institutions.
As Vice Chairman, Mr. Wang naturally has people he’s accustomed to working with. They are willing to follow Mr. Wang, so they naturally need official positions to realize their ambitions, and many of them served in Chongqing and understand Chongqing’s methods of operation.
Therefore, many of the chief officials for the main institutions have actually been privately decided.
But private agreements are still private; there is a lot of room for maneuver.
At the very least, the Japanese need to approve our personnel appointments before they can be finalized.
So, if Mr. Gu is willing, I think the chances of success are very high, not only because of your abilities but also, as far as I know, Mr. Gu, you have considerable connections with the Japanese.
With my recommendation added, the combined effort will be very promising.”
“I’m not necessarily looking to compete for anything. Shanghai is fine for me, and I’m satisfied with my current position,” Gu Yansheng said humbly.
Minister Zhou chuckled, “If the country were prosperous, I would be content to read books and newspapers at home. But now we live in troubled times. Those with ability should step forward, occupy a larger stage, benefit more people, and bring blessings to the common populace—that is what we should pursue.”
Gu Yansheng picked up the wine pot and poured him a cup of wine. “I will handle the matters. Just have Vice Mayor Luo cooperate with me.”
Minister Zhou laughed heartily and patted Gu Yansheng on the back. “Good, then I’ll await your good news. I’ll personally commend you to Mr. Wang then. Let’s eat.”
After eating a few bites, Minister Zhou remembered something. “You’re not a Party member yet, are you?”
Gu Yansheng responded with a hum, picking up food with his chopsticks and saying while eating, “I haven’t joined any political party.”
“That won’t do. You must join the Party,” Minister Zhou put down his chopsticks and thought for a moment. “If the name is not proper, the words are not justified. We are the Kuomintang, and the heads of departments must also be Kuomintang members. So, write a Party membership application, and I will be your introducer. This matter can be settled.”
He also had to join the Kuomintang. Gu Yansheng nodded, “Okay, I’ll write it when I get back.”
“Yes, otherwise, you won’t be able to attend the Party Congress, and you’ll be criticized.”
Next, they could discuss Shanghai’s affairs, talk about future nation-building concepts, and incidentally try to win over Gu Yansheng. Gu Yansheng ate his food and listened casually.
The next day, Gu Yansheng had to first report this matter to Hase Jinagawa.
No matter how much Minister Zhou gave, it was still pie in the sky. The fundamental base was the Consulate; this must not be forgotten.
Leaders liked their subordinates to consult and report frequently.
The Consulate.
Gu Yansheng spoke about his meeting with Minister Zhou yesterday and his official offer.
Hase Jinagawa listened and chuckled. “Gold shines wherever it goes. It’s not surprising at all that the Wang Faction would try to recruit you. Between you and Ling Xianwen, I originally leaned more towards you being recruited.
However, offering the position of Minister of Judicial Administration shows that this Minister Zhou is quite generous.
Bestowing official positions using other people’s resources is a way to have you conquer new territories.”
“What do you mean by that, Mr. Hase? I don’t understand,” Gu Yansheng inquired curiously.
Hase Jinagawa sneered. “According to the intelligence I have, among the Wang Faction personnel, there is someone named Li Shengwu. Like you, he graduated from Peking University, studied at Tokyo University in Japan, and is also a doctor of law from Oxford University in the United Kingdom.
He has been following Vice Chairman Wang, and his qualifications and academic background are suitable. He should be the candidate for Minister of Justice in the minds of the Wang Faction personnel. He is currently in Hanoi.
Giving you the position of Minister of Judicial Administration, what do you think his intention is?
He wants to poach from the Wang Faction. Their internal situation is not peaceful either.
Good news. If he pushes for it, I will help you.”
Hase Jinagawa was pleased to see it happen. Internal conflict was bad for them.
After thinking for a moment, he said, “However, the plan for Shanghai cannot be executed as you described. It’s not that the plan is bad, but it’s not feasible currently. Shanghai is not chaotic enough. You must make it sufficiently chaotic to implement this plan.”
Gu Yansheng asked curiously, “What is the objective? To what extent should it be chaotic? I need to gauge the level of disruption.”
Gu Yansheng is currently a General. Hase Jinagawa thought for a moment and could reveal a bit. “Last time, the military scrip incident in Shanghai caused large-scale chaos. The Cabinet held a meeting to specifically discuss economic issues concerning China.
Previously, all issues concerning China were the responsibility of Shadow’s Sino-Japanese Special Affairs Committee, especially when he launched ‘Plan Plum,’ which was to recruit the Wang Faction. Therefore, he was stationed in Shanghai, and all issues in Shanghai were jointly managed by his Special Affairs Committee and the Gendarmerie Headquarters.
However, the previous military scrip incident caused major economic problems in Shanghai. The Ministry of Foreign Affairs specifically sued the Military Department for their actions. Military personnel are truly ignorant of economics.
They caused the trouble, and we, the Ministry of Foreign Affairs, bore the criticism.
Therefore, the Ministry of Foreign Affairs suggested to the Cabinet that economic authority should be taken away from the Military Department. The army should only be responsible for fighting wars, and economics should be handled by a separate department.
However, the Military Department has always been very strong, and our suggestion has only been half successful so far.
The Cabinet has decided to form an institution called the Greater East Asia Ministry, specifically responsible for China’s economy. The highest command will be held by the Prime Minister, directly accountable to the Cabinet.
With the headquarters in the mainland, the remaining task is to determine the regional commanders. The Greater East Asia Ministry’s station for the Central China Region has been confirmed as Shanghai.
However, the selection of the leader is still under discussion. The Army wants it, the Navy wants it, and our Ministry of Foreign Affairs is also vying for it.
However, so far, the Army has a very high chance of winning.
Therefore, if another major chaos occurs, it will sufficiently prove that military personnel truly do not understand economics, and thus command authority will not fall into the hands of the Army. As long as it’s not the Army, whether it’s the Navy or us, everything can be discussed, understand?”
Hase Jinagawa smiled.
Gu Yansheng also smiled. “I understand. Coincidentally, they support the Wang Faction’s forced requisition, so there’s a high probability of another economic collapse incident in Shanghai. What I need is to push it forward, let it erupt completely, and let the Army fail utterly.”
Hase Jinagawa nodded and sneered. “They insist on getting involved without understanding economics. In fact, if someone like Shadow were willing to delegate power to Kobayashi, Shanghai’s economy might not have deteriorated so badly. But he insisted on managing it himself, and he doesn’t understand economics, so he can only be kicked out.
The Ministry of Foreign Affairs doesn’t want to be both provoked and take the blame. I’m afraid of having a heart attack; I want to live a few more years.”
