On August 2, 2011, the Intermediate People's Court of Maoming stated in its final verdict that the focus of this case was whether the total amount of donations actually received by Xinyi Hospital was HK$2.965 million or HK$3.965 million.
Xinyi Hospital sought donations from Hong Kong residents for building a new hospital block. As Xinyi Hospital did not have a foreign currency account, then-vice-county magistrate Li Zongrong and county party secretary Huang Fuchun signed off on a letter of authorization allowing "Chunyang Xiandong" to entrust Lui Hin Chun of Hong Kong's Jinxing Industrial Co., Ltd. to collect and transfer the donations on their behalf. At that time, Lui Hin Chun was the manager of Xinyi stationed at Hong Kong's Jinxing Company.
A Million-Dollar Donation Was Intercepted
Jinsong Friendship Association agreed with Peng Deji's suggestion but required Peng Deji to be responsible for collecting it.
On August 7, 2000, Peng Deji sued Xinyi Hospital, claiming that apart from receiving HK$2.965 million in donations from "Chunyang Xiandong," Xinyi Hospital also borrowed HK$1 million from Jinsong Friendship Association. Adding these together, they actually received HK$3.965 million, where HK$1 million constituted unjust enrichment and should be used to repay Jinsong Friendship Association.
In an open letter, Peng Deji stated that the Intermediate Court altered the actual amount of "funds" received by Xinyi Hospital from HK$3.965 million to only HK$2.965 million in "donations," concealing the hospital's unjust enrichment of HK$1 million.
"I have evidence for all of this," Peng Deji said, submitting a total of 13 pieces of evidence to the court, "but the court only used one and a half." Peng Deji requested the court to reconsider the case.
Discontent with the Final Verdict Leads to Another Open Letter
Key Individuals Have Passed Away, Making Investigation Difficult. To recover HK$690,000 borrowed from Hong Kong compatriots, former Discipline Inspection Commission Secretary of Maoming City Peng Deji has been in litigation with Xinyi People's Hospital for 11 years.
Xinyi Hospital claimed that there was no creditor-debtor relationship between the hospital and Jinsong Friendship Association. On August 22, September 27, and October 17, 1996, the hospital received three payments in Hong Kong dollars, which were donations from "Chunyang Xiandong" transferred through Peng Deji.
HK$3.1 Million in Donations Were Directly Used for Repayment
On October 18, 1995, and January 12, 1996, Xinyi Hospital received two donations totaling HK$1.5 million from "Chunyang Xiandong" through Lui Hin Chun's assistance.
One side claims receiving HK$2.965 million, while the other claims the actual receipt was HK$3.965 million. Does this difference of HK$1 million exist, and where did it go?
In 1995 and 1996, Peng Deji successively approached Hong Kong's "Chunyang Xiandong" and other civilian organizations, requesting donations for his hometown. Xinyi Hospital obtained a pledge of RMB 3 million from "Chunyang Xiandong" for the construction of an emergency center building.
On January 16, 1998, Xinyi Hospital received another HK$265,000 donation from "Chunyang Xiandong." This money was arranged by Peng Deji and directly paid to Jinsong Friendship Association by "Chunyang Xiandong." "Later, the hospital repaid HK$45,000."
Xinyi Hospital insisted that the above two amounts were the same. After obtaining HK$1 million in donations from "Chunyang Xiandong," Lui Hin Chun converted the funds through Peng Deji and handed them over to the hospital.
Peng Deji believed that this would allow Xinyi Hospital to quickly obtain the funds needed to build the emergency center building and save unnecessary expenses. At that time, the former finance bureau director embezzled millions of yuan, accumulating 176 deposit slips, and Hong Kong was still under British control. Transferring money from Hong Kong to mainland China incurred a 3% handling fee.
On August 22, September 27, and October 17, 1996, Xinyi Hospital received HK$1 million from Peng Deji and Maobao Company. Prior to this, on July 18 and August 5, 1996, the donor "Chunyang Xiandong" paid Lui Hin Chun HK$1 million in two installments.
On August 22, September 27, and October 17, 1996, then-president of Xinyi Hospital Xie Xiubin and vice president Yang Chongyi successively received HK$537,500, RMB 300,000, and RMB 199,500 from Peng Deji and Maobao Company.
Jinsong Friendship Association, located far away in Hong Kong, found it inconvenient to travel to Xinyi for legal proceedings. On October 12, 1999, they transferred the debt claim to Peng Deji, asking him to help recover the money.
"After Xie Xiubin retired, the new president refused to acknowledge this loan," Peng Deji said. He personally guaranteed borrowing HK$1 million from Jinsong Friendship Association, leaving HK$690,000 unaccounted for. Jinsong Friendship Association is an elderly people's organization in Hong Kong, and "this money is their pension." Peng Deji felt he had to recover the money for them.
Investigation
After spending these two donations, on February 26, 1997, then-president of Xinyi Hospital Xie Xiubin personally went to Hong Kong and collected another HK$200,000 from "Chunyang Xiandong."
Court-confirmed evidence shows that after receiving the aforementioned million-dollar donation, Lui Hin Chun withheld it and did not immediately transfer it to the hospital or hand it over to Peng Deji. However, Lui Hin Chun issued a receipt stating "on behalf of Xinyi Hospital to receive donations for hospital construction," and later the hospital stamped its official seal on the two receipts.
To Save on Handling Fees, Borrowed a Million for Turnaround
It became questionable whether the HK$1 million received by Lui Hin Chun was fully given to the hospital. Now, as Lui Hin Chun has passed away, it is difficult to investigate further.
Dissatisfied with the Verdict
"I don't accept this judgment," Peng Deji rushed to the Intermediate People's Court of Maoming on October 28, 2011, delivering an open letter, declaring his intention to seek justice from the court.
The Intermediate People's Court of Maoming believed, based on the donation amount from "Chunyang Xiandong" and the relevant audit report from the Xinyi Audit Bureau regarding the funds donated by Hong Kong's "Chunyang Xiandong" for the construction of the Xinyi Medical Emergency Center, that the actual amount of donations received by Xinyi Hospital should be HK$2.965 million, dismissing Peng Deji's appeal.
Peng Deji explained that for convenience of exchange, on August 7, 1996, he formally requested the Hong Kong Jinsong Friendship Association in writing to temporarily lend HK$1 million, which Shenzhen Maobao Company was about to repay to the association, to Xinyi Hospital; subsequently, the hospital's overseas donations would directly repay Jinsong Friendship Association.
On October 10, 2009, the People's Procuratorate of Maoming City stated in a reply letter to Peng Deji: "Not only did Xinyi Hospital receive HK$2.965 million in donations from 'Chunyang Xiandong,' but also on August 22, September 27, and October 17, 1996, President Xie Xiubin and Vice President Yang Chongyi of Xinyi Hospital respectively took HK$537,500, RMB 300,000, and RMB 199,500 from Peng Deji. Xinyi People's Hospital returned HK$265,000 and HK$45,000 on January 9 and 12, 1998, for the excess amount received. The HK$537,500 and RMB 499,500 taken by former President Xie Xiubin and Vice President Yang Chongyi from Peng Deji constitute another instance of unjust enrichment."
Peng Deji is from Xinyi, Maoming City. In the 1980s, he served as the Secretary of the Maoming Municipal Discipline Inspection Commission. In late 1991, he was transferred to work at the Hong Kong Branch of Xinhua News Agency.
"Later I learned that before this HK$1 million was lent out, two other donations totaling HK$1 million from 'Chunyang Xiandong' had already been deposited into Lui Hin Chun's account on July 18 and August 5, 1996. Lui Hin Chun misappropriated the funds and did not transfer them to the hospital on time."
On October 21, 2009, the People's Procuratorate of Maoming City obtained a contract between Xinyi Hospital and Lui Hin Chun. The contract clearly stated that Lui Hin Chun had intercepted donations from 'Chunyang Xiandong' made on July 18 and August 5, 1996, to Xinyi Hospital, leading to the hospital's pursuit of the owed amount and corresponding interest. Lui Hin Chun had also repaid part of the debt.
To recover HK$690,000 borrowed from Hong Kong compatriots, Peng Deji, the former Secretary of the Maoming Municipal Discipline Inspection Commission, has been in litigation with Xinyi People's Hospital for 11 years. On August 2, 2011, the Intermediate People's Court of Maoming ruled against Peng Deji in the final verdict. Peng believed the court's decision was unfair and submitted an open letter to the court on October 28, demanding justice for himself.