Chapter 511: Advancing on Multiple Fronts
The individuals Bororay mentioned were his "black gloves," operatives who coordinated with lower-level enforcers to carry out threats against tax officers. As long as they were taken care of, the police would never be able to trace the attacks back to Bororay himself.
The butler bowed respectfully and reassured him:
"Rest assured, sir. They left France two days ago."
Elsewhere, Joseph reviewed a report from the tax bureau detailing recent arrests and killings of criminals involved in the attacks. A satisfied smile spread across his face.
Now this is starting to look like a proper French IRS.
After a moment of thought, Joseph called for Éman. "Bring the editor-in-chief of Le Journal de Paris, Denicot, to see me. The tax bureau's recent actions need to be leveraged effectively."
Joseph's plan was twofold:
To publicize the bravery of tax officers who, undeterred by threats, had taken bold action to crush criminal activity. This would help establish the tax bureau as a heroic institution, gain public support, and intimidate potential tax evaders.To highlight the benefits of abolishing the tax farming system for ordinary citizens. This would build goodwill and prepare the public for any potential challenges during the transition to direct taxation.
Éman left to carry out the order. Meanwhile, Joseph drafted a commendation for individuals and groups who had distinguished themselves, such as Chaumette, who had been the first to kill an attacker, and the Orléans tax bureau, which had swiftly dismantled a gang of criminals.
The message to tax officers was clear: Show courage and determination, and you will be rewarded.
An hour later, Denicot arrived at the second floor of the Tuileries Palace.
Joseph outlined the campaign to promote the tax officers' accomplishments and the abolition of the tax farming system. He then handed Denicot a dossier on Charles, including a copy of the banker's recent 1.2-million-franc low-interest loan agreement with Brienne.
Denicot was puzzled. "Your Highness, what is the purpose of this?"
"Arrange for one of your reporters to conduct an exclusive interview with Mr. Charles," Joseph said with a smile. "Focus on his enthusiastic support for the government's tax reforms and his generous low-interest loan to ease the government's fiscal burdens.
"Oh, and be sure to mention that Charles-Botten Bank has been designated as one of the trustee banks for the King's Fund."
This was a calculated move to maximize the impact of Charles' defection on the Tax Farmers' Association. On one hand, it would reveal Charles' allegiance to the government. On the other, it would subtly suggest that cooperation with the government came with significant rewards.
The King's Fund was central to France's agricultural development, with over 34 million francs in assets. Much of this came from old noble families investing to sustain their estates. The fund also held patents and authorizations for land management, agricultural tools, livestock, and production methods, ensuring its rapid growth and bright future.
Being named a trustee bank for the King's Fund—even with just a 10% share—meant managing a fortune and generating significant profits. For a bank, the size of its assets directly translated into earning potential.
This announcement would further fracture the Tax Farmers' Association.
After Denicot left, Joseph gazed at the loan agreement on his desk, lost in thought.
Even with Charles' contribution, next year's budget amounted to less than 40 million francs, and there were less than two months to secure the remaining funds.
If his strategy to divide the Tax Farmers' Association succeeded, more members might come forward to cooperate. But others might choose to redirect their funds elsewhere.
Joseph tapped his fingers on the desk, frowning slightly.
Governments had numerous tools to control capital. In extreme cases, they could pass laws prohibiting banks from transferring funds abroad. Capitalists would have little power to resist.
However, heavy-handed tactics could scare away other investors and destroy the domestic investment environment. A government known for seizing private assets arbitrarily would be avoided by all financiers.
Such dramatic moves—like a king's decree leading to the military confiscation of assets—belonged in fiction, not reality.
Even his recent actions against Charles were exceptional, relying on the banker's tenuous connection to the Brabant uprising to justify freezing his assets through the High Court. This ensured other investors viewed the case as unique and not a general policy, avoiding widespread panic.
Still, Joseph had only temporarily frozen Charles' assets. Any more aggressive action would have frightened other financiers.
The other leaders of the Tax Farmers' Association had no such vulnerabilities, so Joseph needed a legal and market-friendly solution.
He rubbed his temples wearily. For now, the best strategy seemed to be using the pretext of "banking reforms" to buy time.
Even a one-month delay would force substantial funds to remain in France, as large amounts of idle capital would generate significant losses. Many investments also needed to be finalized by the year's end, giving the government a slight advantage.
If, by the turn of the year, the necessary funds still weren't secured, Joseph would have no choice but to sharply raise interest rates to attract financiers—or turn to the Royal Insurance Company for funding.
Even with interest rates as high as 18%, the government's costs would still be far lower than the profits previously pocketed by tax farmers.
At Fulde's villa, headquarters of the Tax Farmers' Association.
More than a dozen association leaders sat around a long table, their expressions grim.
Fulde clasped his hands together and spoke in a low voice:
"You've all heard by now—Charles has betrayed us and submitted to the government."
Baron Morel hesitated. "I heard from Mr. Charles that he had no choice. He was implicated in the Southern Netherlands rebellion."
Since Charles had not attended the meeting, Morel's defense was the only one voiced.
The others responded with scorn.
An elderly man sneered, "He received a share of the King's Fund because of his connection to the rebels?"
"He's always been a coward. His defection to the government is no surprise."
"Exactly! I heard his 1.2-million-franc loan is earning him 14% interest from Brienne. That's not bad if he can't farm taxes anymore."
If Charles had heard this, he might have burst into tears. The actual interest on his loan was a mere 4.5%—practically a gift to the government.
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