WM CEO Shen Hui becomes a Lao Lai! 10,000 40 can't be taken out, and the car-making entity is restricted from consumption

WM Motor, it may really not work.

The founder, Shen Hui, has just been exposed as Lao Lai - the court issued a consumption restriction order against him.

The entity legal person of WM Motor Company has also become the object of enforcement:

WM was in trouble last year, and there were constant legal disputes, basically financial disputes - WM owed a lot of money to many people.

But the details of Shen Hui's own case are incredible:

He was sued for arrears of $14,000 in wages.

When the scenery was good, Weima, one of the "four little dragons" who built cars with Wei Xiaoli, is now struggling, and even a decent end is difficult.

What happened?

Shen Hui became a lai because of the turmoil of Weima's arrears of salary, which directly burned to the boss.

Just now, a consumption restriction order issued by the Shanghai Qingpu District People's Court was exposed, targeting WM boss Shen Hui:

In this case, there are several important points. First, the defendant, WM Automobile Manufacturing Entity, was taken further measures because it refused to perform the notice of enforcement of the arbitration.

At the same time, WM and Shen Hui were clearly listed as "untrustworthy executors", which is often referred to as "Lao Lai".

In the case of the "executed person" in the previous step of "Lao Lai", WM also carried several on his back.

Second, Shen Hui, as the legal representative of WM, is actually the actual controller of WM and is restricted from consumption.

The third point is that the amount of this case is only 14,065.40 yuan, which is probably the salary of this former WM employee for a month.

People can't help but wonder: Today's WM really can't even get 10,000 yuan in salary?

Shen Hui publicly acknowledged on Weibo at the end of last year that WM was in business difficulties, but said that he was actively resuming work and production:

However, under this Weibo, it has long been occupied by angry messages from various salary-seeking employees.

WM's Huanggang factory was even filled with banners for employees asking for wages:

However, looking for clues from public judgments and legal documents, it was found that WM was not yet "insolvent".

According to the information collected by the enterprise investigation, the majority of the 576 legal proceedings related to the main body of WM Company are defendants, and almost all of them are contract breach and labor arbitration, that is, they owe suppliers money and arrears of employees' wages.

However, it is worth noting that after the Qoros that fell before, the court determined that "there is no enforceable property" after on-site investigation, and the mountains and rivers are really exhausted.

In Weima, the court listed the company and legal person Shen Hui as the direct reason for the old lai, which was more than 10,000 yuan in salary, which "had the ability to perform but refused to perform."

To put it bluntly, there is money, but it just doesn't pay it back.

WM has been building cars for 8 years, with high-light moments, but in the end, it became a chicken feather.

WM, it may really not work

The last time WM "returned to the light" was 6 months ago.

At that time, WM was in the midst of a crisis vortex: sales fell off a cliff, dealers withdrew from the network in large numbers, it was exposed that all employees cut salaries, and several shocks went public...

However, in January this year, Apollo Smart Mobility Company (unrelated to Baidu Apollo) planned to acquire a subsidiary of WM for US$2.023 billion (about 13.669 billion yuan), and the two parties reached a strategic merger and acquisition, realizing the listing of Hong Kong stocks.

WM is a reverse backdoor listing, with a transaction valuation of about US$2.51 billion (about RMB 16.959 billion), which is already a difference from Wei Xiaoli, who started in the same period.

And WM itself has to transfer the technology and team resources of car manufacturing to Apollo Smart Mobility.

But in any case, everyone thought that WM had finally found a way to continue his life.

On June 1, WM finally submitted its form to the Hong Kong Stock Exchange and began the listing approval stage.

But from the financial data, WM has reached the most dangerous moment:

As of December 31, 2021, WM's cash and cash equivalents were $4,156 million

In 2022, the entire industry is trudging through the cold winter, and WM's performance is even less satisfactory, with sales of less than 30,000 throughout the year.

So now WM's 4.156 billion may have been left for a long time.

Shen Hui's only hope now may be that the Hong Kong Stock Exchange will be successfully listed and raise a sum of money to continue his life.

Before that, it is likely that you will see more news of WM's "Lao Lai".

However, with the operating conditions of WM, even if it is successfully listed, what means is there to attract funds in the secondary market?

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