According to feedback from netizens: Shandong Hualong Textile Co., Ltd. has been announced by the Wulian County People’s Court, declaring the company bankrupt!
△The court announcement posted at the entrance of Hualong Textile Building
The announcement of the Wulian County People’s Court of Shandong Province
Because of Shandong Hualong Textile Co., Ltd. The operating and financial conditions of the company continued to deteriorate, and the losses were serious. According to the application of the administrator of Shandong Hualong Textile Co., Ltd., this court issued an order on May 6, 2020 in accordance with Article 78 of the Enterprise Bankruptcy Law of the People’s Republic of China. According to the provisions of the regulations, it ruled to terminate the reorganization procedures of Shandong Hualong Textile Co., Ltd. (Shandong Longlin Filtration Equipment Technology Co., Ltd., Shandong Luolian Industry and Trade Technology Co., Ltd., Wulian Xinglong Real Estate Co., Ltd.) and announced that Shandong Hualong Textile Co., Ltd. (Shandong Longlin Filtration Equipment Technology Co., Ltd., Shandong Luolian Industry and Trade Technology Co., Ltd., Wulian Xinglong Real Estate Co., Ltd.) went bankrupt.
Hereby announces
Wulian County People’s Court
May 11, 2020
Introduction to Shandong Hualong Textile Co., Ltd.
Shandong Hualong Textile Co., Ltd. It is a large-scale textile enterprise integrating spinning, weaving, clothing processing, home textiles, real estate, and textile import and export trade. It currently has 120,000 spindles, 1,000 shuttle looms, 382 world-class air-jet looms, and sword looms. It has 200 rod cloth machines, 7 Japanese air-jet spinning machines, more than 200 garment processing equipment (sets), 5,000 employees, total assets of 580 million yuan, and 5 branch factories and 1 provincial import and export Co., Ltd.
The company mainly produces pure cotton and chemical fiber blended yarns, air-jet worsted knitting yarns, cloth products, and clothing and home textile products. It currently has more than a dozen series and more than 200 varieties. Among them, “Longfang” brand chemical fiber series natural yarns and “Longfang” brand polyester-viscose fabrics have been certified as “Shandong Famous Brand” products. The company produces 60 million meters of cloth and 23,000 tons of yarn annually. While its products are sold throughout the country, they are also exported to more than 30 countries and regions including Europe, the United States, South Korea, Japan, and the Middle East.
The company has passed the national “AAA Standardization Good Practice” confirmation and Shandong Province Clean Production Audit and Acceptance, and passed ISO9001 quality management system, ISO14001 environmental management system and OHSAS18001 occupational health and safety management system Integrated certification, it is a Class A management enterprise of China Customs and a national first-class export production enterprise. [From the website of Shandong Hualong Textile Co., Ltd.]
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Previous reports: Employees were owed 4 months of wages And 52 months of unpaid social security!
On August 27, 2019, an employee left a message on the citizen hotline: [Mayor Hotline No. 190827085827551816] The caller reported that he was an employee of Hualong Textile, and the company had not paid his 52-month social security arrears, and The salary for 4 months has not been paid. Now the resignation has been processed. Please coordinate with the relevant departments. (The original order number is ZX20190808-0090. The textile company and the Bureau of Human Resources and Social Security responded: The company is actively raising funds and striving to pay wages and labor insurance as soon as possible.) We hope that wages will be paid as soon as possible.
Official reply from the Bureau of Human Resources and Social Security: After investigation, Shandong Hualong Textile Co., Ltd. has been affected by the market economy in the past two years. The unit has had funding problems and has owed workers March – Regarding the issue of wages in May, our bureau issued the “Labor and Social Security Supervision Order and Correction Instruction” (Lianren Social Supervision Order No. 16) to the unit in accordance with the procedures, ordering the unit to repay the arrears of wages within a time limit. The unit has now made up the payment. Salaries for March and April were paid. Regarding employee social security issues, the company stated that it will try its best to raise funds to pay insurance premiums, and promised to pay all the insurance premiums owed when employees retire. Insurance premiums for employees dismissed in May will be paid in full in August this year. Regarding the illegal behavior of this unit in arrears of wages to workers, our bureau will handle it in accordance with the procedures in the next step.
Latest report: Wulian County Hualong Textile faces bankruptcy! The official response to the issue of arrears of wages to employees!
[Mayor Hotline No. 200509091419603208] The caller reported: He is an employee of Hualong Textile Company in Wulian County. The company is currently facing bankruptcy and owes him 6 months of salary and more than 20 I haven’t paid my social security for three months, and I hope the government will investigate and deal with it.
Explanation on the hotline situation of textile company employees and mayors Mass Service Center:
1. Basic situation of textile companies and demands of the textile mayor hotline There are three main items: first, make up for the owed employee labor insurance;�The response to sudden changes is slow, numb, and there is no plan. It is regrettable that 90% of companies have closed down. Just take a look at the products. Most of them are woven carded cotton with a count of 21 to 32. Most of them are closed without any reason. On the surface, it seems that the excessive fluctuations in cotton prices have made business operations unsustainable. However, under the same conditions, many small businesses in Zhejiang are still surviving tenaciously. Although factories are closed, the proportion is relatively small. Although there is an impact on the same pure cotton products (available in all provinces), the profits are still huge. Looking abroad, more than 85% of industrial enterprises in Italy and Germany are small and medium-sized enterprises. Because they produce “special, new and different” products, they can still survive well, and some have a life span of more than a hundred years. Often some domestic enterprises have no respect for the market, and more of them blindly follow the market and are tired of coping. Therefore, as long as they cannot accurately connect with the global market and implement it, companies can only talk on paper.
Risk 4: The boss has the final say
The boss has strong abilities and mature experience in running a business. It may not be a problem for one person to have the final say, but there are no sages, so it may not be a problem. All are correct. Moreover, many operators are stubborn and rely on their own strength. If a major decision-making error occurs, it may cost the life of the company. A textile company that was closed down in Shandong was diversified into different industries. Whether it was engaged in real estate or rubber tires, it had bad luck. It seized the tail of the market and caused billions of losses. The lesson is profound. How many of our business owners can calm down and face the market properly, compare wisdom and ability, know themselves and the enemy, and understand the purpose, goals, methods, means, and measures of corporate competition? Who is the competition? How to lead the market and seize the market? Have you conducted serious research on foreign peer companies? Where is the difference? These companies can often only adapt to a smooth market and are vulnerable to slight fluctuations. However, there is a classic old saying that if you do not follow the laws of the market, you will inevitably be punished by the market!
Nowadays, the market is depressed and transaction risks are high. Production decision-makers should face this situation calmly and do not Blindly develop the market and ensure the stability of existing customers; strengthen self-immunity, guard against arrogance and impetuosity, maintain product quality internally, maintain market communication externally, and strengthen production and marketing concepts; be honest and trustworthy, do not agree easily, and will definitely do it when promised; Keep a broad mind, actively communicate and learn from each other’s strengths. Only in this way can the capital and human resources in our hands be truly transformed into productive forces that can cause our own transformation. </p
