And now, China Halts Bank Cash Transfers

[dixiegrrrrl]

Due to the system maintenance of People’s Bank of China, Domestic RMB Fund Transfer through Citibank (China) Online and Citi Mobile will be delayed during January 30th 2014, 16:00pm to February 2nd 2014, 18:30pm.
As to the fund availability at the receiving bank, it depends on the processing requirements and turnaround time of the receiving bank
During Spring Festival, Foreign Currency Transfer Transaction through Citibank (China) Online and Citi Mobile will be temporally not available from January 30, 2014 18:00pm to February 7, 2014 09:00am. We apologize for any inconvenience caused.

http://www.forbes.com/sites/gordonchang/2014/01/26/china-halts-bank-cash-transfers-2/

a clue to what is going on may be in this related story:
Mega Default In China Scheduled For January 31

On Friday, Chinese state media reported that China Credit Trust Co. warned investors that they may not be repaid when one of its wealth management products matures on January 31, the first day of the Year of the Horse.
The Industrial and Commercial Bank of China sold the China Credit Trust product to its customers in inland Shanxi province. This bank, the world’s largest by assets, on Thursday suggested it will not compensate investors, stating in a phone interview with Reuters that “a situation completely does not exist in which ICBC will assume the main responsibility.”

http://www.forbes.com/sites/gordonchang/2014/01/19/mega-default-in-china-scheduled-for-january-31/

ya gotta love that double speak explanation

further reading shows the bank make a very large loan to a mining outfit that has been in legal trouble....
sort of a sub-prime loan to a Madoff type character.

[Renew Deal]

1. Is there any connection to the HSBC halt?

[dixiegrrrrl]

3. other than a pattern, ya mean?

Zero Hedge just chimed in and said the Forbes article is mis-leading, that is was normal for China to not do banking during its 7 Day National holiday.
taht's interesting..how does a nation that large celebrate a major week long holiday with no banking?
Citibank is also telling customers that Foreign Currency Transfers are "temporarily" blocked..
"temporarily" being Jan. 30 to Feb. 7th.

[davidpdx]

2. I won't defend the banks in China

I've dealt with them and they are crap (ICBC in particular). It is worth noting though there is in fact a holiday in both China and Korea this week. In Korea, Lunar New Year is the 30th and 31st. Not sure of the exact days in China. We have a few DUers over there who might chime in.

[dixiegrrrrl]

4. Jan. 30 to Feb. 7th is the China Holiday

according to the 2nd article.

[davidpdx]

5. They always get a longer holiday than we do here in Korea

With the weekend we get 4 days. Of course people in China have to travel pretty long distances across country to see relatives.

[LittleBlue]

6. Mega default? Nah that's fearmongering

Chinese holidays are observed.

I wouldn't post anything by Gordon Chang. He is completely discredited.

The Coming Collapse of China
by Gordon Cheng

Publication Date: September 15, 2001

http://www.amazon.com/Coming-Collapse-China-Gordon-Chang/dp/0812977564

He's been predicting the collapse of China since 2001 lol. I'm surprised anyone still publishes him.