Causes and Countermeasures: An Analysis of Sichuan Rural Cooperatives’ Overdue Loans Issue during the Republican Era

Abstract:

During the Republican era of China’s history, cooperative loans were very common in rural areas of Sichuan, as were overdue loans. The amount of overdue loans was large and accounted for a high proportion of total loans. On the one hand, credit loans did not effectively improve the rural economy. Many farmers were still in heavy debt, with limited ability to pay back. On the other hand, lack of supervision in the cooperative financial system resulted in malpractice on the part of some cooperative staff members who often misappropriated payments. The relevant authorities made policies to collect overdue loans, but these turned out to be inefficient, for cooperative members often applied for loan deferments.

Notes

Funding for this projection came from the China National Social Science Foundation Program “Studies of the Republican Era Sichuan Rural Cooperative Treasury System” (13CZS072) and the Central Higher Education Foundational Studies Program “Studies of the Republican Era Sichuan Rural Cooperative Treasury System” (skqy201314).

“Zhongguo Nongmin yinhang zongguanchu Chengdu zhihang, Shifang xian hezuo jinku guanyu pinren jianshi zhuxi, jiansong jingli huanren, yijiao zhiyuan, zhangce deng qingce, weijing susong buneng shouhui daikuan gujishu de han”(Letters of Farmers’ Bank of China General Management Bureau Chengdu Branch and Shifang County Cooperative Treasury regarding Appointing chief supervisors, Changing managers, Transferring staff, Ledgers, Inventories, and Estimates of Loans That Cannot Be Collected Without Lawsuits), Sichuansheng danganguan (Sichuan Provincial Archives), 71st collection, vol. 164.

Zhongyang yinhang jingji yanjiu chu (Central Bank of China Economic Research Division), ed., Zhongyang yinhang congkan—Zhongguo nongye jinrong gaiyao (Collection of the Central Bank of China—Overview of Agricultural Finance in China) (Shanghai: Shangwu yinshuguan, 1936), 66.

Zhongguo nongmin yinhang, Sichuansheng nongcun jingji diaochao weiyuanhui (Farmers’ Bank of China, Sichuan Province Rural Economic Survey Committee), “Sichuansheng nongcun jingji diaocha baogao “(Sichuan Province Rural Economic Survey Report), Sichuansheng nongye jinrong (Sichuan Province Agricultural Finance) no. 4 (1941): 3, 62.

Sichuansheng zhengfu tongjichu (Sichuan Provincial Government Statistics Bureau), ed., Sichuansheng tongji tiyao (Sichuan Province Statistical Summary) 1945, 59; Executive Yuan News Bureau, Zhongguo hezuo shiye (China’s Cooperative Enterprise) 1947, 27.

A 1941 survey of 14 counties and 170 credit cooperatives in Sichuan by the Joint Board of Four Banks revealed that the average loan amount taken out by cooperative members was only 81 yuan; see “Sanshi niandu Sihangju nongcun hezuoshe daikuan shu’e yongdu duixiang zhi fenxi”(1941 Four Banks Bureau Rural Cooperative Loan Amount Target Usage Analysis), Zhonghang nongxun (Bank of China Agricultural Bulletin) no. 11, 24. In the same year a survey on the loan amounts of 11 counties and 216 rural households by the Farmers’ Bank of China showed that average borrowing was 83.4 yuan; see Zhongguo nongmin yinhang, Sichuansheng nongcun jingji diaochao weiyuanhui, “Sichuansheng nongcun jingji diaocha baogao,” Sichuansheng nongye jinrong, 17.

Zhou Chun, Zhongguo kangri zhanzheng shiqi wujia shi (History of Commodity Prices during the War of Resistance against Japan) (Chengdu: Sichuan daxue chubanshe, 1998), 48.

Zhongguo nongmin yinhang, Sichuansheng nongcun jingji diaochao weiyuanhui, “Sichuansheng nongcun jingji diaocha baogao,” Sichuansheng nongye jinrong, 17, 24.

“Sichuansheng zhengfu, sheng hezuo jinku, Zhongguo nonghang Chengdu Chongqing zhihang guanyu hefang gongyong yewu daikuan, nongmin tongbi ji zhengdun banfa, jiaru hezuo jinku de wanglai han ji tiancheng daikuan shishi jihua” (Sichuan Provincial Government, Provincial Cooperative Treasury and Farmers’ Bank of China Chengdu and Chongqing Branch Plan regarding Provision of Public Affairs Loans, Farmer Fraud and Correction, Joining Cooperative Treasury Correspondence, and Plan to Implement Loans for Oranges), Sichuansheng danganguan, 88th collection, vol. 4425.

“Xindu, Wenjiang, Mianyang deng xian ji hezuo jinku diaocha baogao, biao ji Nongmin yinhang Chengdu zhihang de han”(Xindu, Wenjiang, Mianyang Counties and Cooperative Treasury Survey Reports and Forms, and Farmers’ Bank Chengdu Branch Letters), Sichuansheng danganguan, 71st collection, vol. 131.

Guoli Sichuan daxue nongye jingji xuehui (National Sichuan University Agricultural Economics Association), ed., Nongye jingji jikan (Agricultural Economics Quarterly) 1, no. 2 (1945): 20.

Zhongguo nongmin yinhang, Sichuansheng nongcun jingji diaochao weiyuanhui, “Sichuansheng nongcun jingji diaocha baogao,” Sichuansheng nongye jinrong, 17.

Ibid, 49.

Guo Yiqiao, “Sichuan hezuo shiye jincheng zhong de jige banmasuo,” Sichuansheng hezuo tongxun (Sichuan Province Cooperative Bulletin) 2, no. 4 (1938): 2.

Wang Zhaoxin, “Nongye jinrong de jijie bianhua,” Nongben 31 (1939): 16.

Sichuansheng hezuo jinku (Sichuan Provincial Cooperative Treasury), Ershiba niandu Sichuansheng hezuo jinrong nianjian (1939 Sichuan Provincial Cooperative Financial Yearbook) (Chengdu: Xinan yinshuju, 1940), 52–53.

"Sichuansheng zhengfu, sheng hezuo jinku, Zhongguo nonghang Chengdu Chongqing zhihang guanyu hefang gongyong yewu daikuan, nongmin tongbi ji zhengdun banfa, jiaru hezuo jinku de wanglai han ji tiancheng daikuan shishi jihua,” Sichuansheng danganguan, 88th collection, vol. 4425.

Ouyang Pin, “Gailiang nongye hezuo jinrong chuyi,” Sichuan hezuo jinrong jikan (Sichuan Cooperative Finance Quarterly) 1, no. 6–7 (1942): 25.

“Sichuansheng zhengfu, sheng hezuo jinku, Zhongguo nongmin yinhang Chengdu fenhang guanyu hefang gongyong yewu daikuan, nongdai tongbi ji zhengdun banfa, jiaru hezuo jinku de wanglai han ji tiancheng daikuan shishi jihua” (Sichuan Provincial Government, Provincial Cooperative Treasury and Farmers’ Bank of China Chengdu Branch Plan Concerning Provision of Public Affairs Loans, Rural Loan Fraud and Correction, Joining Cooperative Treasury Correspondence, and Plan to Implement Loans for Oranges), Sichuansheng danganguan, 88th collection, vol. 4425.

“Zhongguo nonghang Chengdu, Chongqing fenhang mianhua zengchan daikuan jihua, nongdai yewu gaikuang baogao, fushe hezuo jinku, hezuoshe qingxing deng yewu cailiao, Guanxian yaocai hezuoshe daikuan biao” (Materials on the Farmers’ Bank of China Chengdu and Chongqing Branches’ Loan Plan for Increased Cotton Production, Report on the Agricultural Loan Situation, Auxiliary Cooperative Treasuries, Cooperative Affairs, and Forms on Guan County Drug Ingredient Cooperative Loans), Sichuansheng danganguan, 71st collection, vol. 408.

“Sichuansheng Meishanxian hezuo jinku guanyu daifang hezuo shekuan, hejian daikuan, chayu daifang hezuo shekuan, hejian daikuan, chachu lishi zhuxi guaiyong kuan qiantao an, jiansong yewuyuan diaocha baogao de wanglai han, sheng nongcun hezuoshe zhiling” (Sichuan Province Meishan County Cooperative Treasury Case Regarding Cooperative Loans, Audits, Investigations, Audits, and Council Chair Absconding with Funds; Letters with Investigative Staff Reports; and Provincial Rural Cooperative Instructions), Sichuansheng danganguan, 88th collection, vol. 4398.

“Sichuansheng Renshouxian zhengfu, hezuo jinku guanyu daikuan, jiekuan, hezuoshe wubi ji zhengdun banfa, jiansong Ma’naoke chanxiao hezuoshe diaocha baogao, sheyuan mingce de xunling, han” (Sichuan Province Renshou County Government and Cooperative Treasury Plan regarding Loans, Borrowing, Cooperative Fraud and Correction, Investigative Report on Ma’naoke Production and Marketing Cooperative, Instructions and Letters on Member Rosters), Sichuansheng danganguan, 88th collection, vol. 186.

Qin Liufang, “Shiwu daifang de qiantu,” Zhongguo nongcun (Rural China) 8, no. 2 (1942): 1.

“Shouxian hezuo jinku. Xianfu youguan xinshe jiedaikuan, fangkuan hezhun tongzhishu, zhengmu hanyi, zhuihuan daikuan, zhiyuan diaopai, anzhuang dianhua, juti wubi renyuan jiaona suo tun daikuan de wanglai hanjian” (Renshou County Cooperative Treasury. County Government Letters Regarding Credit Cooperative Loans, Loan Provision Authorization Notices, Collecting Winter Clothes, Pursuing Loan Repayment, Employee Assignments, Installing Telephones, Arresting Corrupt Staff to Repay Loans), Sichuansheng danganguan, 88th collection, vol. 4845.

“Wenjiangxian zhengfu, xian hezuo jinku guanyu songjian yinjian, banli daikuan zhanqi, benxi qingchang, chatui biaoju deng zhi xian hezuo jinku de zhi, xunling, han” (Wenjiang County Government and County Treasury Instructions and Letters Regarding Inspection Stamps, Processing Loan Extensions, Repayment of Principal and Interest, and Form Records to the Country Cooperative Treasury), Sichuansheng danganguan, 88th collection, vol. 22.

“Zhongguo nongmin yinhang Chengdu zhihang, Mianyang banshichu, Mianyang hezuo shiyanqu deng guanyu daikuan huanqi huankuan, cuishou nongdai zhuyi shixiang, jiansong nianzhong jiesuan shu, biao, pinren guquan daibiao de han” (Farmers’ Bank of China Chengdu Branch, Mianyang Office, and Mianyang Cooperative Experimental District on Loan Extensions, Notes on Collecting Agricultural Loan Payments, Papers and Forms on Year-end Settlements, and Letters on Appointing Equity Representatives), Sichuansheng danganguan, 88th collection, vol. 37.

Guo, “Sichuan hezuo shiye jincheng zhong de jige banmasuo,” Sichuansheng hezuo tongxun, 4.

“Nongmin yinhang Chengdu zhihang, Mianyang banshichu guanyu heku jinsuo fangkuan yewu yuanze, nongdai jihua, baogao gangyao, hezuoshe tuijin banfa, sheng nongye jinrong cujin weiyuanhui zuzhi tongze de han, daidian” (Farmers’ Bank Chengdu Branch and Mianyang Office Letters and Telegrams on Cooperative Treasury Loan Tightening Principles, Agricultural Loan Plan, Report Overview, Cooperative Progress Plan, and Provincial Agricultural Finance Encouraging Council Organization), Sichuansheng danganguan, 88th collection, vol. 2236.

“Zhongguo Nongmin yinhang zongguanchu Chengdu zhihang, Shifang xian hezuo jinku guanyu pinren jianshi zhuxi, jiansong jingli huanren, yijiao zhiyuan, zhangce deng qingce, weijing susong buneng shouhui daikuan gujishu de han,” Sichuansheng danganguan, 71st collection, vol. 164.

“Hezuo zhidaoshi, Huayuanxiang hezuoshe zhangcheng, jueyi, jiekuan shenqingshu” (Cooperative Advisory Office and Huayuan Village Cooperative Constitution, Resolutions, and Loan Applications), Santaixian danganguan (Santai County Archives), 10th collection, cat. no. 13, vol. 270.

Zhongguo dier lishi danganguan (Second Historical Archives of China), ed., Zhonghua Minguoshi dang’an ziliao huibian (Compiled Materials on the History of the Republic of China), vol. 5, part 2, Caizheng jingji 4 (Finance and Economics, book 4) (Nanjing: Jiangsu guji chubanshe, 1997), 154.

“Zhongguo nongmin yinhang Chengdu fenhang, Zitongxian hezuo jinku guanyu renyuan diaopai, tiaoxun, qingjia, chufen, hezuoshe daibiao konggao jingli an deng hanjian” (Farmers’ Bank of China Chengdu Branch and Zitong County Cooperative Treasury Letters on Employee Assignments, Training, Vacation, Discipline, and the Case of a Cooperative Representative Suing a Manager), Sichuansheng danganguan, 71st collection, vol. 202.

“Zhongguo nongmin yinhang zongguanchu Chengdu zhihang, Shifang xian hezuo jinku guanyu pinren jianshi zhuxi, jiansong jingli huanren, yijiao zhiyuan, zhangce deng qingce, weijing susong buneng shouhui daikuan gujishu de han,” Sichuansheng danganguan, 71st collection, vol. 164.

"Sichuansheng zhengfu, sheng hezuo jinku, Zhongguo nongmin yinhang Chengdu fenhang guanyu hefang gongyong yewu daikuan, nongdai tongbi ji zhengdun banfa, jiaru hezuo jinku de wanglai han ji tiancheng daikuan shishi jihua,” Sichuansheng danganguan, 88th collection, vol. 4425.

“Chuansheng Yibinxian hezuo jinku guanyu daikuan, cuishou daikuan gongzuo baogao, chengban nuoyong wubi zhiyuan de wanglaidian” (Sichuan Province Yibin County Cooperative Treasury Report on Loans and Loan Collection, Telegraph Correspondence on Disciplinary Action Against Embezzlement and Fraud among Staff), Sichuansheng danganguan, 88th collection, vol. 1596.

“Nonghang zongguanchu, Chengdu zhihang, Guanxian banshichu deng banli bofu heku zijin, shoudai baogao, renyuan paiqian, baohe chailüfei deng han, dan, biao” (Farmers’ Bank of China General Management Bureau, Chengdu Branch, Guan County Office Letters, Lists, and Forms on Processing Appropriation of Cooperative Treasury Funds, Receipt of Loan Reports, Dispatch of Employees, and Verification of Business Travel Expenses), Sichuansheng danganguan, 71st collection, vol. 200.

“Zhongguo nongmin yinhang Chengdu zhihang, Mianyang banshichu, Mianyang hezuo shiyanqu deng guanyu daikuan huanqi huankuan, cuishou nongdai zhuyi shixiang, jiansong nianzhong jiesuan shu, biao, pinren guquan daibiao de han,” Sichuansheng danganguan, 88th collection, vol. 37.

“Jintang hezuo jinku, Huaizhou fenlichu guanyu zhuanfen tuixing geji hezuo zuzhi ying zhuyi shixiang, jiaru xianku zanxing banfa, yewu zhidao yuanze ji banli daikuan, lieshen bachi kuan qingxing de han, jian” (Jintang Cooperative Treasury and Huaizhou Office Letters and Documents on Items to Note in Implementing Cooperative Organizations, Provisional Plan on Joining the County Treasury, Advisory Principles, Processing Loans, and the Domination of Funds by Unscrupulous Gentry), Sichuansheng danganguan, 88th collection, vol. 4942.

“Zhongguo nongmin yinhang Chengdu zhihang, Jintangxian hezuo jinku guanyu cuishou daikuan, yudai ji guoqi fangkuan mingxibiao, juti chengchu wubi zhiyuan de han, cheng” (Farmers’ Bank of China Chengdu Branch and Jintang County Cooperative Treasury Letters and Petitions on Loan Collection, Schedule of Overdue Loans, Arrest and Disciplinary Action Against Employee Fraud), Sichuansheng danganguan, 88th collection, vol. 1580.

Sichuansheng danganguan, 71st collection, vol. 202; 88th collection vols. 37, 4435, 4495, 4852.

“Zhongguo nonghang guanyu banli nongmin geren jiekuan shouxu banfa, hezuo jinku jinsuo fangkuan yewu yuanze deng nongdai yewu fagui” (Farmers’ Bank of China Plan on Processing Farmers’ Personal Loans and Regulations on Principles of Tightening the Provision of Cooperative Treasury Loans and Other Agricultural Loan Affairs), Sichuansheng danganguan, 71st collection, vol. 500.

“Hezuo tonghan, fagui huibian, nongdai deng zajuan” (Cooperative Letters, Compilation of Regulations, and Miscellany on Agricultural Loans, etc.), Sichuansheng danganguan, 71st collection, vol. 209.

“Caizhengbu, Chengduqu yinhang jianliguan bangongchu” (Ministry of Finance and Chengdu District Bank Supervisory Council Office), Sichuansheng danganguan, 74th collection, vol. 65.

“Xinduxian zhengfu. Hezuo jinku guanyu xianfu jiaojie, banli nongdai fangzhen, lilü, tongji hezuo kuisun chuli, yuqi qingchang banfa, weihuandai sheming de xunling, cheng, qingdan” (Xindu County Government. Cooperative Treasury Instructions, Petitions, and Lists on Government Relations, Guidelines on Processing Agricultural Loans, Interest Rates, Statistics on Dealing with Cooperative Losses, Plan for Overdue Payments, and Names of Cooperatives with Unpaid Loans), Sichuansheng danganguan, 88th collection, vol. 4112.

“Sichuansheng Wenchuanxian hezuo jinku, Zhongguo nonghang Chengdu zhihang guanyu daifang jiekuan, guoqi lixi shu’e, chuli heku zhidao renyuan nuoyong gongkuan de han, cheng, shubiao, hetong” (Sichuan Province Wenchuan County Cooperative Treasury and Farmers’ Bank of China Chengdu Branch Letters, Petitions, Forms, and Contracts on Loans, Overdue Interest Amounts, and Dealing with Cooperative Treasury Advisors’ Embezzlement of Public Funds), Sichuansheng danganguan, 88th collection, vol. 4302.

“Nonghang zongguanchu, Chengdu zhihang, Guanxian banshichu deng banli bofu heku zijin, shoudai baogao, renyuan paiqian, baohe chailüfei deng han, dan, biao,” Sichuansheng danganguan, 71st collection, vol. 200.

“Zhongguo nonghang Chengdu Ya’an zhihang, Sichuansheng Mingshan hezuo jinku guanyu jiansong daibiao dahui, lishihui jilu, huiyi jiaojie qingce, Guanshan, Qiantangkan hezuoshe huankuan, yizhuan, daishou daikuan de han” (Farmers’ Bank of China Chengdu Ya’an Branch and Sichuan Province Mingshan Cooperative Treasury Letters on General Meetings of Representatives, Records on Council Meetings, Inventory of Meeting Junctures, Guanshan and Qiantangkan Cooperatives’ Repayments, Transfers, and Proxy Receipts of Loans), Sichuansheng danganguan, 71st collection, vol. 155.

“Silian zongchu zhongguo nonghang Chengdu fenhang, Wenjiangxian hezuo jinku deng banli nongdai, huikuan ji zhiyuan chailüfei baohe deng hanbiao” (Joint Board of Four Banks Farmers’ Bank of China Branch and Wenjiang County Cooperative Treasury Letters on Processing Agricultural Loans, Remittances, and Reporting Employee Travel Expenses), Sichuansheng danganguan, 71st collection, vol. 381.

“Mianzhuxian hezuo jinku shoucun nongbenju zhu Chongqing zhuanyuan banshichu guanyu nongdai shishi xize, hezuoshe jianfang banfa, nongchanpin pifa jiage diaochabiao tianbao xuzhi deng de tonghan” (Mianzhu County Cooperative Treasury Letters from the Office of the Agricultural Bureau Commissioner Stationed in Chongqing on Agricultural Loan Bylaws, Cooperative Supervision Plans, Instructions on Filling Out Agricultural Product Wholesale Price Survey Forms, etc.), Sichuansheng danganguan, 88th collection, vol. 869.

“Shifangxian hezuo jinku, gexinyong hezuoshe youguan qingchang, heding, zhanqi, zhuihuan chachu, wubi, daikuan deng xiang de wanglai han” (Shifang County Cooperative Treasury Correspondence with Various Credit Cooperatives regarding Repayment, Audit, Extenstions, Recovery Investigations, Fraud, Loans, etc.), Sichuansheng danganguan, 88th collection, vol. 4803.

Ibid.

“Wenjiangxian zhengfu Yongquanxiang nonghui guanyu Gongpingxiang di 4 bao hezuoshe huanhuan daikuan benxi, junwei jiguan xuexiao hezuoshe jiandu kaohe banfa, duchi yinqian hangzhuang zuzhi tongye gonghui de xunling, han” (Wenjiang County Government Yongquan Village Farmers’ Association Instructions and Letters regarding Gongping Village 4th Protective Cooperative’s Postponed Loan Principal and Interest Repayment, the Military Commission School Plan for Regulating and Evaluating Cooperatives, and Directory Banking Industry Associations), Sichuansheng danganguan, 88th collection, vol. 63.

“Zhongguo nongmin yinhang Chengdu zhihang, Mianyang banshichu, Mianyang hezuo shiyanqu deng guanyu daikuan huanqi huankuan, cuishou nongdai zhuyi shixiang, jiansong nianzhong jiesuan shu, biao, pinren guquan daibiao de han,” Sichuansheng danganguan, 88th collection, vol. 37.

Additional information

Notes on contributors

Cheng Gongwei

Cheng Gongwei is an associate professor in the School of History and Culture at Sichuan University. His research interests include early modern and modern Chinese history.