Hong Kong Stock Move | RONGTA TECH (09881) Falls Over 10% as Claim Amount Increases to Approximately 975 Million

Stock News
10/21

RONGTA TECH (09881) has seen a decline of over 10%, currently down 10.08% to HKD 9.90, with a trading volume of HKD 1.886 million as of the time of reporting. On the evening of October 20, RONGTA TECH announced that it has received a civil ruling from the Intermediate Court regarding a dispute. The plaintiff has applied to the court to include the Group's executive director, chairman, and controlling shareholder, Xu Kaiming, as co-defendants in the civil lawsuit. Additionally, the claimed damages against the Group and Mr. A have surged from the original amount of approximately RMB 200 million to a total of approximately RMB 975 million, with Xu Kaiming bearing joint liability for RMB 965 million. The announcement indicated that, given the status of the dispute, the civil ruling and the new claim amount are unlikely to significantly adversely affect the Group's business, financial condition, and operating performance for the fiscal year ending December 31. The controlling shareholder will compensate the Group for amounts exceeding RMB 9.4 million, and the Group has made sufficient provisions regarding the civil ruling. The Intermediate Court ruled that since the claim amount has now exceeded RMB 200 million, the dispute will be transferred to the Fujian Provincial High Court for processing.

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