The company and all members of the board guarantee that the information disclosed is true, accurate, and complete, with no false records, misleading statements, or significant omissions.
Guangdong Cultural Great Wall Group Co., Ltd. (referred to as "the Company" or "Cultural Great Wall") hereby announces the progress of the court auction of the Company's assets and related litigation arbitration matters as follows:
I. Basic Situation and Progress of Important Litigation Matters
Case 1: Financial Loan Dispute between Cultural Great Wall and China Everbright Bank Co., Ltd. Shantou Branch
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Plaintiff: China Everbright Bank Co., Ltd. Shantou Branch
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Defendants: Cultural Great Wall, Chaozhou Great Wall Family Ceramics Co., Ltd., Cai Tingxiang, Wu Danzhu
Basic Situation: On March 4, 2022, the Company disclosed the "Progress Announcement on the Company's Litigation Matters" (Announcement No.: 2022-034), stating that the Company received the Execution Notice No. (2022) Yue 0511 Zhi 704 from the Jinping District People's Court of Shantou City (referred to as "Jinping Court"). The effective judgment of the loan contract dispute between the Company and China Everbright Bank Co., Ltd. Shantou Branch has legal effect; the applicant for enforcement, China Everbright Bank Co., Ltd. Shantou Branch, applied to the court for compulsory enforcement, and the court filed the case for enforcement on February 24, 2022. The court ordered the Company to fulfill all obligations determined by the effective judgment immediately upon receiving this notice and to bear corresponding late performance interest or penalties, otherwise, enforcement will be carried out according to the law.
On May 26, 2022, the Company disclosed the "Progress Announcement on the Company's Litigation Matters" (Announcement No.: 2022-125), stating that the Company received the Execution Notice No. (2022) Yue 0511 Zhi 311 from the Jinping Court, which ordered the Company to fulfill all obligations determined by the effective judgment immediately upon receiving this notice and to bear corresponding late performance interest or penalties, otherwise, enforcement will be carried out according to the law.
On June 12, 2023, the Company disclosed the "Progress Announcement on the Company's Litigation Arbitration Matters" (Announcement No.: 2023-158), stating that the Company received the Notice No. (2022) Yue 0511 Zhi 311 from the Jinping Court, which stated that the court made an enforcement ruling No. (2022) Yue 0511 Zhi 311-1 in the loan contract dispute case between the applicant for enforcement, China Everbright Bank Co., Ltd. Shantou Branch, and the defendants, Cultural Great Wall, Chaozhou Great Wall Family Ceramics Co., Ltd., Cai Tingxiang, and Wu Danzhu, ordering the auction of the state-owned land use right and its structures located in Caiwei Section, Cailong Village, Fengxi District, Chaozhou City, under Chaozhou Great Wall Family Ceramics Co., Ltd. [Certificate No.: Yue (2017) Chaozhou Real Estate No. 0000475, area 16,773.37 m²] and entrusted Shenzhen Tongzhicheng Land Real Estate Appraisal Consultant Co., Ltd. to evaluate the above-mentioned state-owned land use right and its structures. The assessed value of the above-mentioned state-owned land use right and its structures is RMB 92,612,590.00.
The court delivered the judicial evaluation report No. Shen Tong Cheng Ping Zi (2023C)03QC No. 002 issued by Shenzhen Tongzhicheng Land Real Estate Appraisal Consultant Co., Ltd. to the Company. If there are objections to the above evaluation report, they should be submitted to the court within five days from the receipt of this notice; otherwise, it will be deemed as no objection. The court will auction the above-mentioned state-owned land use right and its structures on Taobao.com.
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The court will reduce the initial auction reserve price by 30% from the assessed value of RMB 92,612,590.00, setting the first auction reserve price at RMB 64,828,813.00 on the Taobao online platform.
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If the first auction fails, the second auction reserve price will be set at RMB 51,863,050.40, which is a 20% reduction from the first auction reserve price.
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If the second auction also fails, the property will be sold at the second auction reserve price on the Taobao online platform.