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China Technology

HSBC Becomes First Foreign Bank To Launch Chinese Communist Party Committee (fortune.com) 83

One of the world's biggest banks, and Europe's second-largest lender, is showing that it's playing by China's rules. From a report: London-headquartered HSBC has become the first international bank to establish a Chinese Communist Party (CCP) committee, according to a new Financial Times report. China's companies law requires firms to set up CCP committees, but this rule has been loosely enforced among global financial institutions -- until now. HSBC's move could pave the path for other global lenders to follow suit, and underscores the delicate line that China-based foreign banks are now toeing between Beijing and the West. HSBC's China investment bank, known as HSBC Qianhai Securities, recently formed the CCP committee, as per the FT report that cited two people familiar with the decision. In China, company employees can initiate CCP committees, which are typically made up of three or more staff. The committees have two functions: to act as a workers' union, and to facilitate installing a party representative to a company's top ranks.
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HSBC Becomes First Foreign Bank To Launch Chinese Communist Party Committee

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  • by Eunomion ( 8640039 ) on Monday July 25, 2022 @11:48AM (#62732112)
    If they'd been in Germany in the '30s, they would have formed "racial purification committees" on the theory that they have an "obligation to observe local laws (sic)".
    • by saloomy ( 2817221 ) on Monday July 25, 2022 @12:17PM (#62732230)
      China is not communist. Communism is an economic doctrine whereby the state own the means of production and distributes the output accordingly. China has many free market principles with a heavy degree of regulation and a lack of free speech.

      What China is, is a fascist state, where the political ideology is dictated by authoritarian leaders, and there is no free marketplace of ideas, and all content and speech is regulated by the state. Whereas communism is an economic doctrine, fascism is a political one. The state ownership of the marketplace of ideas is fascism. They use the word communism to distract from this fact because communism is less repugnant. We have communist supporters like Bernie Sanders in our own senate, yet China and its sole political party adhere to almost none of the principles of communism. It is a fascist party.
      • by decep ( 137319 ) on Monday July 25, 2022 @12:27PM (#62732274)

        I read this in Dale Gribble's voice.

      • And that's relevant how? HSBC is bending a knee either way.

      • by mrex ( 25183 ) on Monday July 25, 2022 @12:46PM (#62732368)

        Isn't this just a "no true Communists" fallacy? In fact, the same one that leads to the meme whereby every single communist power in history is deemed not truly communist by people convinced that if can only be implemented purely enough, it will work next time?

        • by DarkOx ( 621550 ) on Monday July 25, 2022 @01:40PM (#62732558) Journal

          This is the thing you are both right in a way. For practical cases you mrex are correct, for purist theoretical arguments no nation state has really been setup as a collective.

          However its big world with a lot people and places in it and the lack of any Marxist workers paradises should tell us all we need to know. His theory is bullshit, because it ignores human nature and anything even remotely resembling the organization he imagined requires a great deal or coercive force over the public at large either by an autocrat or oligarchy of persons who are 'a little more equal' to achieve as sustain.

            Karl Marx was the academic wanker of his day, similar to the dipshits telling us there are 100s of genders now. he did not understand jack or shit, and the world has spent ENTIRELY to much time and blood on his ideas at this point. Its long past time to stop asking students to read the Communist Manifesto (even economics majors) and start treating like a stupid mid 19th century curiosity like phrenology and make footnote of it. The sooner we stop treating it like its worthy of discussion the sooner it will stop hurting people.

        • It's irrelevant that some very few claim "real communism hasn't been tried" because no one is making that claim in this conversation. Congratulations on getting in your tired licks though. Grandparent post isn't arguing that communism hasn't been tried, he's arguing that the current Chinese government isn't communist. And he's right. The only reasons to call the current Chinese government communist are to bolster its position by agreeing with its propaganda or to call up the Red Scare and get people to knee
          • by mrex ( 25183 )

            The only reasons to call the current Chinese government communist are to bolster its position by agreeing with its propaganda or to call up the Red Scare and get people to knee-jerk against it.

            How about this other one: because accepting that people follow the ideology they study and recite and claim to follow is basically the only logical choice.

            I think you'll find that communist theory is tightly engrained into Chinese society, including its education system, business culture, and entertainment media. In o

        • China stopped trying to be communist in the 80s after Deng Xiaoping came into power. He famously said, "It doesn't matter if the cat is black or white as long as it catches mice," meaning he didn't care about communist/capitalist ideology, he just wanted to grow the economy.

          In the last five years or so, after Xi Jinping came into power, there has been a slight movement back to communism, but only in the sense that they want to reduce inequality, and kind of spread the wealth around.

          Whether or not you consid

          • Re: (Score:2, Troll)

            by JeffOwl ( 2858633 )

            In the last five years or so, after Xi Jinping came into power, there has been a slight movement back to communism, but only in the sense that they want to reduce inequality, and kind of spread the wealth around.

            Yeah, reduce inequality, as long as you are ethnic Chinese and a loyal party member and not a Uyghur, for example.

          • by mrex ( 25183 )

            Whether or not you consider that communism depends entirely on how you define "communism."

            Whether or not any description applies obviously depends on the definition, but there has never been a pure ideological implementation because Marxism is naive and unworkable at scale, in practice. All we have are a graveyard littered with the corpses of failed imperfect attempts, and China shambling forward out of it, wearing an RGB LED wearable dance hall t-shirt saying "we are communists".

            • Sounds like you have an axe to grind. You have successfully ground it.

              Or maybe not. According to my definition, communism has been tried, tested, and implemented successfully. So you fail.

      • It all depends on the definitions. I would argue that communism is also a form of fascism. If we accept that a fascism is a political concept putting the interests of a group of people over the interests of an individual. Communism groups people by their social location in the society and the reward is the placement in the ranks of power. This placement is given by the party and can be revoked at any moment, which guarantees absolute obedience. This is all very fascist to me.
      • You are correct of course. There have not been any real communists in the Communist states since Lenin died at least. They are all just oligarchic dictatorships of some sort or other. Of course, since communism as defined by Marx was supposed to arise in a highly industrialized society, which none of these really are, it is not surprising.
      • You said:

        China is not communist. Communism is an economic doctrine whereby the state own the means of production and distributes the output accordingly.

        Then you said:

        What China is, is a fascist state, where the political ideology is dictated by authoritarian leaders

        Wait I thought you said they were not communists...

        In case you didn't get it, every single instance of communism has been fascism, it has to be because you can't "own all means of production" without rigid lockdown of the population preventing no

        • In case you didn't get it, every single instance of communism has been fascism, it has to be because you can't "own all means of production" without rigid lockdown of the population preventing non-state production or distribution.

          Jonah Goldberg strikes again! I've found that when it seemed that everyone before me in history misunderstood something, it was actually I who misunderstood. Seriously words mean things and Communism is not a specific variety of Fascism.

          • Seriously words mean things and Communism is not a specific variety of Fascism.

            As is usual with those who do not understand communism or fascism, you have things completely backwards.

            I did not say that Communism was a variety of Fascism. I said Communism cannot exist without Fascism, which is obvious are true if you think over every single foundational point of Communism.

            Fascism can exist without Communism, but not the other way around.

            • I did not say that Communism was a variety of Fascism. I said Communism cannot exist without Fascism, which is obvious are true if you think over every single foundational point of Communism.

              Fascism can exist without Communism, but not the other way around.

              I don't know whether you are confusing totalitarianism with Fascism, but you would probably benefit from starting with that assumption if you ever try to discover the root of your misunderstanding of this topic.

      • "China is not communist." - CCP - China Communist Party - It's right there in their name you ass hat. Pooh's calling, he heeds a foot rub Ivan.
      • by gweihir ( 88907 )

        Well, China is not fully fascist. Fascist ideology requires you to conduct warfare in order to make the people stronger. All the rest is pretty much there though. Agree on the rest.

        • Give it time. The only reason that's the case is that they can't get to anywhere they want to invade by land.

          They've invaded and conquered other nations (Tibet) within living memory. They've all but announced their intention to do so with Taiwan, they just lack the naval ASW and sealift capacity to invade across the strait of Formosa if contested by a submarine force. And they've been trying to muscle in on both the Spratley and Senkaku island chains for a while.

          • by gweihir ( 88907 )

            Yeah, probably. Well, with climate change getting more noticeable and starting to become a real problem, hopefully doing wars will get a lot harder.

      • The CCP isn't communist in the same way that Catholics aren't Christian from the viewpoint of some protestants. Sure, you can make some valid points that they have have a lot in common with fascists, but that's not surprising considering the similar intellectual roots that Marxism and fascism share. After all, Mussolini was a socialist before he became a fascist. What can't be obfuscated, is that China got to where it is by way of a unwavering belief in communism. If you've ever lived in China, you'll proba
      • Every time Communism does something stupid, itâ(TM)s ânot real communismâ(TM). China is Communist, and has been since Mao. The only reason they had some semblance of free market is because they were using the Westsâ(TM) attempt to effectively buy them out to strengthen themselves. Now that they are almost ready to face off against the West, the mask is coming off.
      • by jonadab ( 583620 )
        "The creatures outside looked from pig to man, and from man to pig, and from pig to man again; but already it was impossible to say which was which."
    • by shanen ( 462549 )

      It's the greed, but sadly on target FP. HSBC coldly calculated that this "compliance" will lead to more money. Even worse if other greedy bankers follow the lead just because they don't have to go first now.

      Citation to IBM and the Holocaust about the sad power of greed. However it's actually a rather poor book because the author doesn't understand the relationship between data and algorithms. Fundamental in such a situation where the algorithms were mostly in the heads of people massaging stacks of punch

      • And not even particularly smart greed. I don't suppose it occurred to HSBC that Beijing's growing insistence on symbolic obedience shows increasing disorder and incompetence in the state they're kowtowing to.
        • by shanen ( 462549 )

          I've been trying to figure out where the idea of "smart greed" got into it. Not in my intention, but your use of the phrase made me think of "enlightened self interest", which is usually a disguise for chicanery. HSBC already has a bad track record for chicanery.

          However I think I disagree with you on several aspects of your sentiments towards China. You see it as pressure from desperation on the side of Chinese leadership whereas I see it as more purely economic pressure from Chinese economic policies that

          • Chinese economic policies that are basically working dangerously well.

            Not sure where you're getting that from. Chinese banks are shutting down left and right due to the costs of zero-covid shutdowns, and the national policy of diverting national resources into speculative real estate development projects hasn't really slowed much. Unemployment is spiking and, ironically, there is no real safety net in an allegedly Communist country. Meanwhile the closing noose of sanctions against Russia and its accomplices has Beijing increasingly reactionary and paranoid about its level

            • by shanen ( 462549 )

              You sound quite irrational and biased to the edge of racism, and therefore I see no reason to continue the discussion.

              Insofar as I can remember your identity, I'll try hard to ignore your comments in the future, and I'll thank you to reciprocate. Too bad your handle is so meaningless and forgettable.

  • This is the future (Score:2, Insightful)

    by UpAndAtom ( 9809046 )
    The Chinese are already winning the next war. before a shot has been fired. They won't need an army to conquer the world.

    Feel free to mod my comment down using your Chinese phones and your Chinese computers.
    • That's evidence of a third-world country taking over the world?

      I'll skip the part where I accuse you of being a Chinese concern troll. You've done all the work.
  • by Sesostris III ( 730910 ) on Monday July 25, 2022 @12:04PM (#62732172)
    Given that "HSBC" is derived from "Hongkong and Shanghai Banking Corporation", and that HSBC has a branch listing on the Hong Kong Stock Exchange (among others), this is probably not surprising.
    • by ksw_92 ( 5249207 )

      HSBC has its roots in the old colonial Hong Kong and the opium trade and is pretty British through and through. The bank was originally founded in HK and moved into a UK holding company before the transition of HK to CCP rule. They have lots of subsidiaries now, including the 90%-HSBC owned "Qianhai Securities" and have to bend to a lot of different cultural and political desires where they operate. This is not the CCP getting to stick its nose into the center of HSBC; it's just regional politics. I'd assum

      • No matter how well it's firewalled, the CCP now has a toehold in HSBC.

        Whatever this "committee" proposes should be considered suspect by all. And even if any of the committee members, in their capacity as HSBC staff proposes anything, it should also be considered as suspect.

        And last I checked, these "committees" in other organisations can push the organisation to do things that they want. Or do business in a manner that they want.

        So I consider this whole HSBC sub as suspect, and any dealing they are doing i

    • by _merlin ( 160982 )

      The old HSBC was effectively taken over by the Midland Bank decades ago. It's a UK company.

  • They were only the largest bank to ever launder billions in cartel money with a slap on the wrist. White collar crime pays well. We should have dismantled that firm when we had the chance. https://en.wikipedia.org/wiki/... [wikipedia.org]
    • They were only the largest bank to ever launder billions in cartel money with a slap on the wrist. White collar crime pays well. We should have dismantled that firm when we had the chance.
      https://en.wikipedia.org/wiki/... [wikipedia.org]

      No surprise there HSBC started out bank for the British to put their drug money that the British East India Company had from selling their Indian opium as a financial offset form their Chinese exports. It was a mob bank and continues to be mob bank. it just happens to be a 'respectable' mob bank.

  • by Gravis Zero ( 934156 ) on Monday July 25, 2022 @12:10PM (#62732206)

    This means HSBC has decided to become a national security threat for all other governments. They should be treated accordingly.

  • HSBC has become the first international bank to establish a Chinese Communist Party (CCP) committee, ...

    Aren't banks and Communism antithetical (directly opposed), as "there is no government or private property or currency, and the wealth is divided among citizens equally or according to individual need." [from Google] /ya-right

    • The CCP has decided to allow it to exist in a sandbox. So long as they control all the systems outside of the sandbox, they aren't threatened.

    • CCP is just an organization name; the past meaning may have aligned with the name but not now. The differences between what they were and fascism are only a few extreme opposing positions some of which are shifting.

      Just look at today's GOP which stands for nothing (Guns Over People?) and appears desperate to have a god-chosen king (the opposite of the definition of republic.)

    • There's a difference between private property and personal property...

    • by jonadab ( 583620 )
      In practice, sometimes it works out more along the lines of "banking is so heavily regulated that all the banks are _essentially_ state-owned and state-run, even though they nominally have private owners or stock holders." Except it isn't just banking, of course: any company or organization big enough to be noticed by the central government, ends up being *run* by the central government, or else it gets shut down entirely. Huawei and Tencent and Bytedance are all, not on paper but in practical terms, run
  • Obvious (Score:5, Funny)

    by mrex ( 25183 ) on Monday July 25, 2022 @12:44PM (#62732356)

    I, for one, welcome our n... wait, whaaat?!? COMMUNISTS? Like, actual Chairman Mao communists?

    Guys, I've welcomed a lot of new overlords in my day, but I have to draw the line here.

    I do NOT welcome these new, communist overlords.

  • In 2017, HSBC was told to pay $1.9bn (£1.4bn) to settle a money-laundering probe by US authorities - the largest penalty of its kind ever paid by a bank. The investigation found Europe's largest bank failed to prevent Mexican drug cartels from washing hundreds of millions of dollars.

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