The Princeling of Nanjing (10 page)

“How many companies do you want information on?”

“There are four, and I have account numbers, addresses, and whatever else Felix will need.”

“Why am I not surprised?”

“Do you have a pen handy?”

“Go ahead.”

She named AKG, Shell, Mother of Pearl, and New Age, and then provided their banking details.

“What do you want to know about them?” Johnny asked.

“The usual kind of thing. How long have they been bank customers? What types of business are they in? What’s their creditworthiness? The names of company principals and signing authorities. And it would be great if we could get some business references.”

“You want to know who they’re doing business with?”

“Yes.”

“That could be tough if you’re looking for any real detail.”

“I don’t expect them to give us any confidential information. The name of a company would be enough. We’ll take it from there.”

“That could work,” Johnny said.

“It will work.”

“And I assume, as usual, that you want me to jump right on this?”

“Please.”

“Just a second,” he said, and his line went quiet as he put her on hold.

She waited several minutes and began to wonder what Johnny was up to.

“Felix is in his office already,” Johnny finally said. “I’ll pay him a visit in a while.”

“I would like my name kept out of this,” Ava said.

“He may ask which of our customers wants to do these bank checks.”

“I’m sure you have lots of existing customers who are already doing business in Asia.”

“Yeah. I’ll find a name just in case he insists on one.”

“And you’ll get him to work fast?”

“He owes me a couple of favours.”

“And I’ll owe you another one.”

“Do you have more business to send to me?”

“I’ll find something,” Ava said.

“You normally do,” he said. “Now, how do you want to get this information?”

“You can email me.”

“Given the time difference, he won’t get a response from any of the Chinese banks for a minimum of twelve hours, and I expect it will be a lot longer than that.”

“Just so it gets to me as soon as he has it.”

“You’re always in such a rush.”

“My former partner used to say that people who are content to let life come to them never have a life worth mentioning.”

Ava went online and booked a business-class seat on the Cathay Pacific flight to Hong Kong and a room at the Mandarin Oriental in Central. She couldn’t help but feel it was a bit like the old days, when the hunt for money often sent her careering from city to city and country to country.

She arranged for a wake-up call and then packed her bags with everything except her travelling clothes and toilet kit. She was about to take a shower when the room phone rang.

“This is Feng.”

“Hi. I was going to call you later. I’m leaving for Hong Kong first thing tomorrow morning. Is there any chance you could drop off two copies of the spreadsheet before eight?”

“I don’t see why not. My people are working on it now.”

“Great, and I’m trying to run down more information on AKG, Shell, Mother of Pearl, and New Age through a law firm in Hong Kong and a North American bank.”

“That’s the reason I’m calling.”

“What do you mean?”

“Have you ever heard the term
gaizhi
?”

“No.”

“It’s the Chinese government’s way of introducing capitalism, or at least private ownership, into the economic structure,” he said. “The term is loosely translated as ‘changing the system.’ It’s vague enough to mean just about anything, and that’s the way they want it. No one wants to use the word ‘capitalism.’”

“What does this have to do with our project?”

“One of my accountants was going through your notes and thought the name New Age looked familiar.”

“In what way?”

“About two years ago, he was working as a trainee at one of the local Shanghai banks and became part of an internal team that was investigating the possibility of acquiring an appliance manufacturer.”

“For New Age?”

“No, for themselves. The provincial government needed money at the time and was disposing of some non-essential and non-political assets that they thought — correctly — could do better in private hands. The bank was one of the bidders.”

“And the bank lost?”

“It did.”

“And New Age won?”

“Here’s where it gets murky,” Feng said. “As far as my guy remembers, the company that took over the manufacturer was set up just to make that acquisition. The appliance maker was named Kitchen Giant. The winning bidder was called KGS, and he thinks that meant Kitchen Giant Syndicate.”

“Not exactly subtle.”

“Maybe not, but it was effective.”

“How much did they pay?”

“He doesn’t know, but he remembers the bank was livid because they thought they’d been set up to lose.”

“Why did they think that?”

“Because there were two rounds of bidding, with only the top three bids from the first round moving on to the second round. The bank bid one hundred and fifty million and made it through. The head of the bank then — according to my guy — got a phone call from a contact in Nanjing telling him that if they bid the same amount again, they’d win. They did and they lost. They were sure the process was rigged so that KGS would win.”

“But Feng, I still don’t see the connection to New Age.”

“The bank looked into who was behind the syndicate and came up with a list of nondescript names. But two of them were listed as officers of New Age Capital. The bank then assumed KGS was a front for New Age.”

“Was Tsai one of the officers?”

“No, my guy remembers that much. But there were rumours that a U.S. bank was aligned with New Age in the bid.”

“Does he remember the name of the bank?”

“California something.”

“Great,” Ava sighed.

“I know, but it’s the best he can do.”

“It’s still interesting.”

“I thought so.”

“What’s the appliance manufacturer called now?”

“It’s still Kitchen Giant. I looked it up before calling you. I also looked at the list of officers and didn’t see any names I recognized.”

“It’s still a private company?”

“Yes, so they don’t have to publish financial reports or identify shareholders.”

“And New Age seems to be private as well.”

“It is.”

“But a California bank probably won’t be.”

“You would know that better than me.”

“It is worth investigating.”

“My guy has offered to make some calls.”

“We have to be discreet. I’ll look into it and be in touch if I have something worth telling you,” Ava said.

She went online as soon as she hung up. Kitchen Giant had an impressive website. Its products seemed to be available in every town in Jiangsu, and it had a decent presence in most of China’s major cities.

She went to the contacts page. Under “Corporate Information” only the names of the marketing director and the finance director were listed. She wrote them down in her notebook and reached for the phone.

“Ava, I haven’t even had a chance to leave my office yet,” Johnny Yan said.

“Sorry, I’m not being pushy. I just have another detail I’d like explored when Felix is looking for information.”

“I’m listening.”

“I’m told that New Age Capital bought a Chinese appliance company called Kitchen Giant through a company named KGS. I’d like that confirmed, if possible. If they did, I’d like to know who the shareholders are in KGS.”

“We can ask, but there’s no guarantee we’ll get answers.”

“I know,” Ava said. “And I was told there was a U.S. bank involved in the deal. I’d appreciate it if Felix would ask New Age’s Chinese bank if the company has any existing Canadian or American bank ties.”

“That’s a pretty standard question for us to ask when we’re looking for new business. I don’t think it will be a problem.”

“Great, and Johnny, although I gave you four company names, could you ask Felix to chase down New Age first? I want to know what he finds the moment he finds it. He needn’t wait to get information on all the companies before giving it you.”

“Will do.”

Ava sat back and glanced at the computer screen again. She might have found where some of the Tsai money had settled. She began to write the name Kitchen Giant on her chart and then stopped. It was way too early to start making assumptions, no matter how strongly she felt the assumption was correct.

The envelope from Feng slid under her suite door at seven thirty the next morning. Ava was already dressed, had finished two coffees and read the
New York Times
, and had just opened her computer to check her email. She had hoped that Johnny Yan would have something for her, but the only messages from Toronto were from Maria and her mother.

Maria wrote that she was still waiting to hear about her extension and that she hoped Ava wasn’t doing anything dangerous.
Call me or email me as soon as you’re able,
she concluded.

There were two emails from Jennie Lee, both sent from her phone. The first said:
I’m on my way to Fallsview Casino in Niagara Falls with Cindy. She talked me into it, though she didn’t have to try that hard. I’ve banked the money for the trips, so don’t worry about that. It’s just that we’re on a roll and it seemed a shame to waste it. Love, Mummy.

The second had been sent four hours later. It read:
I’m up 15, 000 and heading for dinner.

Ava replied:
I’m leaving for Hong Kong in a few hours. I’ll be there for at least a few days. I’m travelling with Amanda and will see Michael. I’ll also call Daddy and try to arrange a lunch. Do me a favour and don’t email me again until you’re at home. I don’t need or want gambling updates. I find it very stressful. Love, Ava.

She hesitated and then sent it.

She retrieved the envelope from the door and opened it at the desk. Feng’s people had done a very neat job of compressing and collating the information. She scanned the sheet quickly, looking for any mention of a company with the word “California” in it. She found it under Evergreen Trading. A firm called California Asian Trust had made two deposits of $100,000 more than two years ago, one month apart. She cross-referenced the money flowing from Evergreen. Fifteen days after each deposit had cleared at the bank, the entire amount had been sent to AKG Consulting. She blinked in surprise. She had expected to see the money move to New Age.

She entered California Asian Trust into a search engine. There were no results, and that sparked her curiosity even more. If access to the name was unavailable in China, there was a reason for it.

It was the middle of the evening in Toronto and Johnny Yan would be at home. Ava called his cell.

“Hello,” he said, the noise of clattering dishes and voices in the background.

“Johnny, it’s Ava. My apologies for disturbing you at home.”

“I’m in a restaurant with my parents and my wife and kids, but the apology is accepted anyway,” he said. “Felix doesn’t have any information yet.”

“That’s not why I’m calling.”

“Then what is it?”

“I mentioned to you that there might be a U.S. bank connected to New Age Capital. Well, I have a name — California Asian Trust — but it seems to be involved with one of the other companies, AKG Consulting. I don’t know if California Trust is a U.S.-based business or one that’s set up in China to do business here. Whichever it is, I can’t find anything about it on the local Internet. Could you do a search for me, or ask Felix to?”

“Sure,” Johnny said, and then paused. “Under one condition.”

“What’s that?”

“When this is over, you tell me what the hell this is about. I get involved in these cases of yours and never know what you’re really up to.”

“I promise I’ll tell you,” Ava said.

“Okay, I’ll see what I can find tonight. Felix contacted all the Chinese banks, so one way or another you should hear from me when I get into the office tomorrow morning.”

“I’ll be in Hong Kong, but you can reach me by email or mobile phone.”

“Do you ever stay in one place for more than a few days?”

“I had my butt parked in Toronto for months.”

“And you never called me?”

“You know how it is when you’re at home.”

“I most certainly do. I didn’t think you did.”

Ava laughed. “I’ll speak to you tomorrow.”

Ava hung up and saw it was time to meet Amanda.

Both Amanda and Ava referred to each other as “sister-in-law,” but the truth was a bit more complicated. Ava was the second child of the second wife of Marcus Lee. He had never divorced the first, Elizabeth, and in fact still lived with her. It was a common enough situation for wealthy men in Hong Kong, and Marcus had taken it one step further, with a third wife who now lived in Australia with two more of his children.

Amanda was married to Michael Lee, Marcus and Elizabeth Lee’s oldest son. Ava had met Michael the previous year when his business ran into trouble and he needed her help. During that process, she had met Amanda and developed a relationship with her — aided by the fact that Ava and Uncle had twice assisted Amanda’s father, Jack Yee, by recovering money that had been stolen from him. To outsiders, it all seemed very complicated. To Ava, this was normal life. Her father lived in Hong Kong with Wife Number One and their four sons. Her mother lived in Canada with Ava and her sister, Marian. Marcus called every day, visited once a year for two weeks, and paid all the bills. Ava was sure his third wife in Australia and her children received the same treatment.

The events that brought Ava into direct contact with Michael had been extraordinary. He had put the entire family’s future at financial risk. Ava had extricated Michael from an attempted extortion and saved the family’s fortune. Even Elizabeth Lee had willingly and gratefully acknowledged Ava’s efforts, by publicly welcoming her at Amanda and Michael’s wedding.

But even without the family connection, Ava would have been pleased to have Amanda as a friend. She was smart and witty, and during the crisis with Michael she had displayed tremendous loyalty and courage. Ava enjoyed her company almost as much as she did May Ling’s, but she felt the age gap more keenly. Amanda was in her late twenties and had more in common with Chi-Tze and the Pos.

When Ava arrived in the hotel lobby, Amanda was standing near the entrance with an enormous Louis Vuitton suitcase by her side. She was dressed in blue jeans and a plain white cotton blouse, but Ava had no doubt that the clothes were from high-end designers. Ava walked over to her and they hugged. Amanda had her hair pulled back in a ponytail and wasn’t wearing any makeup.

“You look like a teenager,” Ava said.

“I wish I felt like one.”

“Another late night?”

“Chi-Tze and Gillian joined Elsa and me for dinner last night, and then Gillian insisted we go to a club. Elsa was game and I felt obliged to go along.”

“Has the photo shoot started?”

“Today.”

“And did you answer all the questions that Lane Crawford had?”

“We did it late yesterday, although I ended up editing some of Clark’s replies. He can go on forever about design elements and I thought some of it was way off topic.”

“Who will follow up?”

“We asked Laura from Lane Crawford to email Gillian and Chi-Tze. They’re the ones running the business.”

“Together, it appears.”

“It has evolved that way, and I have to say I couldn’t be happier to see the way the two of them co-operate and support each other.”

The doorman hailed a taxi and helped to load their luggage into the trunk.

“The traffic going in the direction of the airport is really bad this morning,” the driver said.

“Are you suggesting a shortcut?” Amanda said.

“There isn’t any. I just thought you should know.”

“Thanks.”

As the taxi eased into traffic, Ava turned on her cellphone and placed it on her lap.

They rode quietly for several minutes, the traffic not nearly as heavy as anticipated. As they left Shanghai and crossed the Huangpu River and entered Pudong, Amanda said, “Ava, would you mind telling me about Xu?”

“What?” Ava said, startled.

“I know he had something to do with helping us out in Borneo, and I heard from someone that he was a friend of Uncle’s, but other than that I don’t know much.”

“Why do you ask?”

“When our people went to the factory where we’re going to make our clothes, they were blown away by the reception they got.”

“Was that so unusual?”

“They thought so. There wasn’t a request they made that wasn’t responded to positively, and some of those requests involved the factory making substantial investments in equipment.”

“They sound eager to get our business.”

“The plant manager went out of his way to tell Gillian that they’d do anything else we wanted, and on the way out of the building, he asked her to make sure that her bosses told Mr. Xu how co-operative they were.”

Ava started to reply and then stopped. Amanda was still looking out the window, but Ava saw that her jaw was tightly set.

“Do you remember the rather large infusion of working capital we got a few months back?” Ava said.

“Of course. It financed Suki’s expansion and the Po business.”

“The money came from Xu.”

“Oh. I thought it had come from you and May.”

“It came from Xu. He was a friend to Uncle and now he’s a friend to me,” Ava said. “There are no strings attached to the money and no ownership participation. It’s an investment that he hopes returns a profit. That’s all. We should have told you sooner.”

“I understand.”

“Is there anything else you want to ask?”

Amanda hesitated, and Ava braced herself for a question about how Xu had acquired so much money.

“No,” Amanda said.

“Good. Now let me ask you something,” Ava said. “Has anything been going on between May and Xu?”

Amanda’s eyebrows arched and her mouth flew open. “What do you mean?”

“He’s single. He’s handsome. She’s on her own in Shanghai and is still damn attractive. And I couldn’t help but notice that she was kind of flirting with him the other night at the reception.”

“The only time I saw him was the other night. I didn’t pick up on any flirting. And I’ve seen May every day since she’s been here, and most nights too. She’s always been alone.”

“It must be my imagination,” Ava said.

“Would it bother you if something was going on?”

“It would worry me rather than bother me,” Ava said. “They’re both friends, and nothing can complicate a friendship quicker than sex.”

“Or lack of it.”

“What?”

Amanda reached for Ava’s hand. “Michael and I have both been travelling a lot on business and, just speaking for myself, when I get home I’m tired and don’t always feel like having sex. He doesn’t like it when I’m not all eager. Living with someone isn’t everything it’s cracked up to be.”

Ava pressed her head against the back of the seat. Amanda couldn’t possibly know about her dilemma with Maria, could she?

“We’re going at the speed limit,” Amanda said. “We’ll be at the airport in no time. I don’t know why the driver was fussing.”

“He was creating low expectations,” Ava said, glad for the subject change. “That’s often a smart thing to do, in business and in life.”