Defendant first mortgagee Donggang has a ship mortgage on the ship owned by Wanxiang in respect of the debt owed by Defendants FANG Qineng, CHEN Youwei and Wanxiang, amounting to 3.7 million yuan and interest, and Donggang applied for enforcement. Plaintiff second mortgagee Mintai, also had a ship mortgage on the ship owned by Wanxiang in respect of the debt of 1.4 million yuan and interest owed by FANG Qineng, CHEN Youwei and Wanxiang, and applied for enforcement. The court, in the process of enforcement, seized the ship of Wanxiang, and started the ship evaluation, auction program. ZHOU Ping, Outsider, remitted 2.15 million yuan and 0.75 million yuan to the account of Donggang, with a note stating that “ZHOU Ping on behalf of FANG Qineng, returned the principal of the loan of Wanxiang Shipping” and “ZHOU Ping on behalf of FANG Qineng, returned the ship principal of the loan of Wanxiang Shipping”. The ship after the auction, Donggang declared to the court with the claim amount of 3.7 million yuan principal, interest, lawyer fee, totaling 4,532,728 yuan. Mintai Bank filed a written objection before the court for that to ZHOU Ping on behalf of FANG Qineng, returned 2.9 million yuan of principal to Donggang, which should be deducted in Donggang’s declaration of the claim of the 2.9 million yuan of principal, but Donggang insisted on the full amount of declared claims, so Mintai Bank filed an distribution program objection before the court. The court held that the 2.9 million yuan remitted by ZHOU Ping to Donggang should be deducted from the 3.7 million yuan of the principal amount of the claim distribution amount declared by Donggang because (1) according to the remarks in the two bank statements, ZHOU Ping returned the principal amount of the loan owed to Donggang on behalf of FANG Qi-neng, and FANG Qi-neng recognized that the amount was the return of the principal amount of the loan by ZHOU Ping on behalf of him; (2) the money was remitted to the account of the creditor with the ship mortgage, which would directly affect the legal rights and interests of other creditors after the order of distribution; (3) ZHOU Ping claimed that the money was for the purpose of buying the ship, but the court announced the auction information of the ship on the judicial auction platform, ZHOU Ping could buy the ship through public auction, and the owner of the ship was not Donggang, after the court announced the auction of the ship, it was not in line with the common sense to remit money to Donggang for the purchase of the ship.