The local government of the Chinese Communist Party is facing a financial crisis, with defaulting on debts becoming routine. Recently, the Agriculture Bureau of Shanghe County in Shandong Province has been hanging in debt for three years without paying it back. A video circulating online shows a drone carrying a red banner that reads: “Shanghe County Agriculture Bureau: It’s been three years, pay up!” The related video has sparked attention on the internet.
The video reveals that the business involved is Shandong Junshen Hydrocarbon Bio-technology Co., Ltd. (“Junshen Company”), which won the bid for the “one spray three prevention” wheat project of Shanghe County government procurement in May 2023, with an amount exceeding 1.2 million yuan.
According to Mr. Gao, the relevant person in charge of Junshen Company, in an interview with Upstream News on May 26, 2023, the company won the bid and undertook the wheat “one spray three prevention” project in Shanghe County in 2023. They were responsible for spraying pesticides on nearly 600,000 acres of wheat, and the project funds were special funds allocated by the Ministry of Agriculture and Rural Affairs.
Mr. Gao said the work was completed in 7 days, but the payment has been delayed. In 2024, the project leader of the Shanghe County Agriculture Bureau informed him that the money has been diverted by the government and cannot be settled.
A repayment agreement signed by both parties provided by Mr. Gao shows that the total project cost is 3.6849 million yuan, with the Agriculture and Rural Department already paying 270,000 yuan and still owing 3.4149 million yuan. They agreed to settle the remaining amount in three installments, but as of now, the company has only received 550,000 yuan, with over 2.8 million yuan still outstanding.
Mr. Gao explained that only 400,000 yuan was credited in the first installment, 1.5 million yuan in the second installment only received 100,000 yuan, and the third installment of 1.4149 million yuan only paid 50,000 yuan.
“Each time they don’t comply with the agreement,” Mr. Gao complained. Some of the company’s workers have family difficulties, elderly family members with illnesses, and the long-term arrears have affected normal operations. “We had no choice but to release that video.”
According to information from the national public resource trading platform, the winning bidder for the 2023 Shanghe County wheat “one spray three prevention” service procurement project was indeed Junshen Company, with the Shanghe County Agriculture and Rural Bureau as the bidding party. The project covered the pest control services in six townships including Longsangsi, Shahe, Zhenglu, Sunji, Han Temple, and Yinxian Townships.
Netizens expressed their opinions, “Even the drones spraying pesticides are forced to hang banners for debt collection. Where is the integrity of the Agriculture Bureau?” “No bottom line!” “Shanghe owes too much in wages to migrant workers around this area. Many migrant workers have not been paid in a timely manner.” “They dare to divert special funds? Well, they are not far from eating rice with chopsticks. Investigate rigorously and punish severely.” “That’s how the town government behaves.”
Under public pressure, on the afternoon of the 26th, a person in charge of the Shanghe County Agriculture and Rural Bureau responded, saying that they have contacted Mr. Gao and are negotiating a resolution with him.