Since 2003, CAO, controlled by Chen Jiulin, has been engaged in oil derivatives option trading with the approval of the board of directors, with little initial results. However, due to international emergencies such as the US attack on Iraq, the trend of international oil futures prices has changed. When the price of oil futures rose rapidly at the end of 2004, trader Girard made a wrong judgment and sold a large number of call options (so-called bulls), which eventually led to a huge loss of 550 million US dollars. In the face of huge losses, CAO and its parent company, CAO Group, made every effort to turn the tide. In June, 2004, 5438+ 10, China Aviation Oil Group decided to transfer 15% of its 75% shares of listed companies to institutional investors at a discount, and raised 1. 1 1 000 million dollars to make up the position in secret (which was widely criticized as the parent).

However, as the international oil price is still rising, the loss is expanding. Since June 26, 2004 10, CAO Group ordered CAO to lighten all its positions at a high level, and the loss of 550 million US dollars became a reality. On June 30, 2004, CAO sought debt restructuring from the local court.

After the incident was exposed, public opinion in China and Singapore attached great importance to it. In Singapore, Cao incident is considered to be the most serious financial incident since the bankruptcy of 1994 Bahrain Bank, which has once again triggered a debate on whether Singapore's financial control authorities have neglected their duties in supervision. In China, the incident once again exposed the management system of state-owned enterprises.

Recently, Chen Jiulin, who lost $550 million to Cao, changed his name to Chen Jiulin and became the vice president of Gezhouba International Company, a large central enterprise. Talented netizens wrote a pair of couplets: Part I: Nobody must surf the Internet with his real name; Downward: well-known criminals can be renamed officials; Horizontal criticism: China features On June 9, 2005, five senior officials of China Aviation Oil Company, including Chen Jiulin, were formally charged. Chen Jiulin faces a number of charges, including not publishing information truthfully and being suspected of insider trading. The maximum penalty is 94 years imprisonment and a fine of S $250,000. A few days later, Chen Jiulin was released on bail after raising S $2 million (US$ 654.38+200,000). On March 2 1 2006, the Singapore Basic Court sentenced Chen Jiulin that Chen Jiulin had to serve four years and three months in prison and fined S $335,000.

Business magazines and other media have written that Chen Jiulin is a pawn, which is similar to "losing a pawn to protect a car" in chess. Chen Jiulin, who spent 1035 days in a Singaporean prison, experienced multiple disasters and re-entered the "team" of SASAC enterprises in a curved way.

According to Caijing.com, 49-year-old Chen Jiulin is currently the deputy general manager of China Gezhouba International Engineering Co., Ltd. Like CAO, the "maiden" of his new owner Gezhouba International Company is SASAC.

Chen Jiulin's return to work in central enterprises has aroused widespread concern from all walks of life. Some people have quoted the relevant provisions of the Company Law and the State-owned Assets Law of Enterprises to question the legality of Chen Jiulin's re-appointment as a senior executive of central enterprises: Article 147, paragraph 2 1 of the Company Law stipulates that a natural person who has been sentenced for committing corruption, bribery, misappropriation of property, misappropriation of property or disrupting the order of the socialist market economy may not take up a company post. In addition, paragraph 1 of Article 23 of the Law on State-owned Assets of Enterprises also stipulates that "the directors, supervisors and senior management personnel appointed or to be appointed by the institution that performs the responsibilities of the investor shall meet the following conditions: (1) Good conduct; (2) Having professional knowledge and working ability that meet the requirements of the post; (3) Having physical conditions capable of performing their duties normally; (4) Other conditions stipulated by laws and administrative regulations. "

In response to questions, Professor Ma Junju, a master of civil and commercial law in China and a doctoral tutor, said that Chen Jiulin's comeback was not illegal at all. Professor Ma Junju said that the key to judge the legality of Chen Jiulin's re-appointment lies in whether he was punished in Singapore and whether his re-appointment in China violated the above provisions. It depends on the legal effect of Chen Jiulin's punishment in Singapore in Chinese mainland. The Criminal Law does not clearly stipulate the domestic legal effect of the punishment suffered by China citizens abroad. According to the principle of sovereignty, a judgment made by a Singapore court on Chen Jiulin's behavior in Singapore according to its domestic law may not have direct effect in China. From this point of view, Chen's behavior in Singapore has not been recognized as a crime through China's criminal procedure, and naturally it cannot be recognized as a crime stipulated in China's criminal law. Therefore, there is no legal obstacle to Chen Jiulin's reappointment, nor does it violate the above provisions of the Company Law and the State-owned Assets Law of Enterprises. Therefore, according to the judgment made by the Singaporean court, it cannot be concluded that there are legal defects in Chen Jiulin's return to China.

Some media also questioned why Chen Jiulin, who caused particularly heavy losses of state-owned assets, should not serve as a director, supervisor and senior manager of state-owned companies for life. In fact, these media did not accurately interpret Article 73 of the Law on State-owned Assets of Enterprises. Article 73 of the Law on State-owned Assets of Enterprises stipulates: "If a director, supervisor or senior manager of a wholly state-owned enterprise, a wholly state-owned company or a state-owned capital holding company violates the provisions of this Law and causes heavy losses to state-owned assets, he shall not serve as a director, supervisor or senior manager of a wholly state-owned enterprise, a wholly state-owned company or a state-owned capital holding company within five years from the date of dismissal; Those who cause particularly heavy losses to state-owned assets, or who are sentenced to punishment for corruption, bribery, embezzlement of property, misappropriation of property or disruption of the socialist market economic order, shall not serve as directors, supervisors and senior managers of wholly state-owned enterprises, wholly state-owned companies and state-owned capital holding companies for life. " Article 3 of the Company Law stipulates: "A company is an enterprise legal person, which has independent legal person property and enjoys independent legal person property rights". Accordingly, although China Gezhouba Group Company is a central enterprise, the legal nature of its capital invested in China Gezhouba Group International Engineering Co., Ltd. is enterprise capital rather than state-owned capital. Therefore, China Gezhouba Group International Engineering Co., Ltd., where Chen Jiulin works, is not a state-owned capital holding company, nor a wholly state-owned enterprise or company, and the provisions of Article 73 of the State-owned Assets Law of Enterprises are not applicable.

20110 Chen Jiulin was employed as an adjunct professor of MBA in Anhui University Business School. Chen Jiulin is honored to be employed as an adjunct professor of MBA in Anhui University. He hopes to take this opportunity to share his understanding and experience of business with his classmates, become a part-time professor of MBA, and cultivate more business elites.

At the first appointment ceremony of Business School of Anhui University, Chen Jiulin expressed his views on how China's economy can "avoid repeating the mistakes of shortsightedness syndrome". It also reviews the successful and failed capital operation cases of CAO (Singapore) Co., Ltd., and makes an objective summary and vivid comments on this storm.