Free Web NovelI knew exactly what Kim Hakgwon had expected of me. But this was a catastrophe no one could stop.
“The foreign exchange crisis that grew like a snowball around the world has finally brought this disaster. Because of the financial crisis, governments everywhere lowered interest rates, and the liquidity created then began chasing the illusion of IT. That flood of money poured into the stock markets and inevitably created a bubble.”
Every event had a cause. And there had been more than one chance to prevent a disaster like this bubble.
If the FRB had raised interest rates to redirect the money surging into stocks?
If the world had proactively stepped in to help resolve the global financial crisis?
But all of that was just a fantasy. Regretting what had already happened was pointless.
“Still, for our country, we’re somewhat fortunate. Because we already went through the foreign exchange crisis, we’ve built up resistance. There’s no need to worry too much.”
“Mm...”
A groan slipped from Kim Hakgwon’s lips, and I smiled faintly.
“This isn’t just Korea. It’s a global phenomenon. Now that it’s begun, the only option is to leave it to the market economy.”
After frowning for a long while, Kim Hakgwon finally nodded.
“Still, I called you just in case. All I want is to stabilize this situation somehow. I thought maybe you’d have a way.”
“Even if the FRB steps in now, it’s already too late. All we can do is wait for time to solve it.”
I understood his feelings. He had called me grasping at straws. But this was not something a human could prevent.
“Mr. President, there’s only one thing you must do. Hold accountable those who are responsible for this mess. If you do only that, you’ve done all you can.”
The end of America’s boom had immediately triggered recession, and Korea, heavily reliant on exports to the U.S., could not escape the impact.
“Your thoughts differ completely from those of my economic advisors.”
At that, I couldn’t help but smirk. Their thinking was obvious.
“They must have said something absurd like—harsh punishments will shrink the confidence of business operators.”
“Exactly.”
A bitter smile appeared on Kim Hakgwon’s face.
“They’re just afraid of being held responsible themselves.”
Kim Hakgwon nodded in agreement and sighed again. His expression was heavy with concern.
“This is a good chance to clean out the stagnant water, Mr. President.”
With a pained look, Kim Hakgwon pressed his temples with his fingers.
It was too much of a burden to hold them all responsible.
“Ilseong has requested meetings with me multiple times. Since I refused, they’ve even put out articles about my flaws.”
“Wasn’t that expected? Just ignore it.”
“Do we really need to destroy them? If it’s only about taking management control, I can lend you strength.”
It was an unexpected and surprising offer. But I couldn’t accept it so easily.
“There will definitely be backlash. And I won’t be satisfied with just seizing control.”
“If Ilseong collapses, the economy of our country will fall into chaos. Many companies collapsed during the foreign exchange crisis, and that continues even now.”
So many conglomerates had gone under during the foreign exchange crisis that people said if they collapsed, Korea itself would collapse.
“If a group like Ilseong falls, the aftermath will be enormous. I don’t even want to imagine it.”
But far from collapse, the market was running smoothly according to its principles.
And even if Ilseong fell, I already had alternatives prepared, so I wasn’t afraid at all.
“There won’t be such a huge impact. I promise. I intend to make Joongwoo Group fill Ilseong’s vacancy. Just watch. There’s nothing to gain from jumping into the fight yourself.”
Even if Kim Hakgwon gave me his full backing, the risks outweighed the benefits.
For now, staying neutral was the best way he could help me.
“How are relations with the Japanese government?”
“Japan? Better than under the last administration, though they’ve cooled again over the recent Dokdo remarks.”
Japan and Korea could never truly be friendly. Japan’s brazen attitude only provoked anti-Japanese sentiment among Koreans.
“Japan can’t be trusted. They promised never to raise the Dokdo issue again, and yet here it is.”
In diplomacy, there may be best options, but no correct answers. Even so, the situation seemed worse than expected.
“Why do you suddenly ask about Japan?”
“Ilseong Electronics seems to be trying to acquire Japanese semiconductor companies. But apparently, they were refused negotiations just for being a Korean company.”
“Now that you mention it, I did hear something like that.”
At my explanation, Kim Hakgwon nodded, recalling the matter.
“Not long ago, negotiations were completely blocked. But now I hear Ilseong is the most likely acquirer.”
In Japan I had no connections prepared, so it was difficult to interfere in negotiations or take Japanese companies myself.
“If Ilseong Electronics closes that deal, it will be troublesome. That’s why I asked, in case relations with Japan were good enough that I could request help.”
“You mean there’s a high chance Ilseong Electronics will acquire a ◈ Nоvеlіgһт ◈ (Continue reading) Japanese semiconductor company?”
Excitement tinged Kim Hakgwon’s voice—clearly news he hadn’t heard before.
“Most likely. Though I intend to stop it.”
“Mm... Is there really a need to stop it?”
I understood his regret. But I could not allow Ilseong to buy Japanese companies.
“I misspoke. What I meant is, Joongwoo Electronics will be the one to acquire those companies. So don’t feel regret. I’ll make Joongwoo Electronics into the world’s top semiconductor company.”
“Is that really possible?”
To Kim Hakgwon’s doubtful face, I answered with confidence.
“Of course. Because I intend to make it so.”
* * *
Eva arrived at the appointed place to meet Toda Katsuyuki of Nomura Securities.
As she entered through the swinging door, Toda Katsuyuki sprang up from his seat.
“Director Eva, it’s been a while.”
Seeing his obsequious face, Eva greeted him with a radiant smile.
“It has been a while.”
“I reached out as soon as I heard you’d entered Japan, yet it’s so hard to meet you in person.”
“I was busy. Please, sit.”
“Yes, Director.”
Sitting before Eva, Toda Katsuyuki was a strong candidate to be the next president of Nomura Securities.
The face usually brimming with confidence now looked impatient.
“When do you intend to settle the contracts we made with you?”
He was desperate. Because of the contracts signed with this woman, Nomura Securities was suffering astronomical losses.
“I have no intention of settling yet. Why should I? Have you forgotten how much money we burned because of those deals? Back then, you treated me like a fool, and now you want me to clear them?”
“That is...”
At her sharp words, Toda Katsuyuki shut his mouth. When Eva had first approached Nomura, her contract was rejected instantly.
But as the head of management at the time, Toda thought differently.
After reviewing with his staff, he believed it feasible and persuaded the executives to sign forward contracts tied to the Nasdaq index and individual stocks.
Unlike exchange-traded futures, these private forward contracts had no limit.
“You had no problem when you were earning $100 million a month. Why so desperate now?”
Toda could only sit in silence like a mute.
Eva’s bright smile widened.
“We haven’t even really started yet. You don’t still take me for a fool, do you?”
At her words, Toda’s face stiffened. At this rate, he’d lose not just the presidency but his entire career.
“Our losses are already too great. At this pace, we may really go bankrupt. If that happens, it’ll be hard for you to get paid.”
Eva’s smile vanished. Her face went cold, her voice as icy.
“You’re underestimating me. I already know Nomura’s solvency.”
“This market crash has hit us hard too. But with our contract as well...”
Eva cut him off with a sneer.
“You accepted it yourself. I didn’t force you.”
Indeed, he had pushed the deal through over cautious executives. Left speechless, he stared down at the floor.
“And it was you who introduced me to insurers and investment banks, wasn’t it? Thanks to that, I earned a lot of money. I’m grateful.”
“...That’s why I’m asking you to at least spare us.”
“Let me ask the opposite. If the situation were reversed, what would you have done?”
In the derivative markets, like a battlefield without guns, wherever there was a winner, there was a loser.
Unlike futures, which had exchanges and clearinghouses, these options were privately negotiated, and settlement was entirely dependent on the parties.
“You would’ve pushed Peregrine until collapse, wouldn’t you? Am I wrong? We took losses too, but we endured.”
“If Nomura falls, Japan’s economy will fall. The impact will strike the whole world.”
Eva gave a mocking laugh, as if to say, what does that matter?
“And what has that to do with us? That’s your country’s problem. Besides, you didn’t foresee this, did you?”
“What do you mean?”
“That such a crash would come so fast. That’s why you accepted these contracts.”
The contracts Eva had made with Nomura and other Japanese securities firms and insurers were nearly identical.
The more the Nasdaq plunged, the more they owed Eva—snowballing beyond imagination.
“There’s no escape. Even if Nomura collapses. Of course, the Japanese government won’t just stand by.”
“....”
The more she spoke, the paler Toda’s face grew.
She smiled coldly, like a devil, and indeed, it was he who had gladly accepted the devil’s contract.
Eva glanced at her watch and stood.
“I have other meetings, so I’ll take my leave.”
“Director!”
Toda leapt up, urgently calling after her.
“When will you settle?”
At the door, Eva turned at his question.
“That depends on you, doesn’t it?”
“What should I do?”
“Well, that’s for you to figure out. Think about what I want, and what you can do.”
Her last words before leaving were maddeningly vague.
Toda stood staring blankly at the door she had exited.
Still staring, he muttered into the empty air. ƒrēewebnoѵёl.cσm
“She’s gone. You may come in.”
A moment later, the door opened and a man entered.
“You heard everything?”
The man, called Information Officer, nodded calmly.
“Toda-san, at this rate Nomura will really go bankrupt.”
“Sit down first.”
The officer gestured as he took a seat.
Toda quickly obeyed.
“Eva Zhu. Head of Future Investment, owner of Peregrine in Hong Kong. Connected in some way to Korea’s Kim Muhyuk...” freёwebnovel.com
Muttering to himself, the officer then addressed Toda.
“This case is under attention from the Cabinet Intelligence Office. How did you let things get this bad?”
“...I’m sorry.”
At his flat reproach, Toda bowed his head deeply.
“It hasn’t even been a few years since we were humiliated by Wall Street’s hounds. And now you mean to let foreign capital make Japan kneel again?”
“...No one expected this. It isn’t our fault.”
Raising his head again, Toda spoke defiantly.
“And anyway, arguing fault isn’t what matters right now. You know what will happen if Nomura collapses.”
“What the...”
The officer glared at him in disbelief. But Toda’s shameless words kept coming.
“The Cabinet must intervene.”
“You expect us to clean up your mess? Are you sane?”
“There’s no choice. The Cabinet Intelligence Office knows exactly what they want. Please negotiate.”
“...Damn it!”
The trap Kim Muhyuk had prepared was airtight.
The sweet bait had become a noose, and now it was tightening around Japan’s Cabinet.
