Foreign Investors Ignore The Fact Appeal And ICA's Leading Shares Have Been Awarded Unfairly.

< p > leading shares issued a major arbitration notice today. The company entered an arbitration case because of the import of cotton by its agent customers. At present, because of the fact that the arbitrator ignored the facts, he deliberately misinterpreted the company as "the first buyer" and led the International Cotton Association (hereinafter referred to as "ICA") to indemnity the company for compensation of 6 million 376 thousand US dollars. It is worth mentioning that the company legal adviser and the China Cotton Association have analyzed the case from the legal and industrial practices, and agreed that the arbitral award is unfair and there are serious flaws in the arbitration procedure. Therefore, the leading shares will actively take measures to deal with it and propose to the parties concerned not to recognize and enforce the arbitration award. < /p >
< p > according to the announcement of the leading shares, the company's international trade department has imported 3000 tons of Brazil cotton in accordance with the requirements of the Shanghai Xianfeng cotton International Trade Co., Ltd. As the agent, the company signed a contract with the buyer, Xian Feng cotton, the seller (the foreign cotton trader ICT company) and the seller's agent. As the price of cotton in the international market has changed drastically, the buyer has not fulfilled the contract and has compensated the seller for 300 tons of cotton. The seller ICT has submitted an arbitration to the ICA of the International Cotton Association for the remaining 2700 tons contract. Subsequently, the ICA arbitral tribunal ruled that the leading shares should be priced at 2700 cents per pound and 118.5 ICT per pound, that is, the seller's ICT would be priced at a total of $6 million 376 thousand. < /p >
At present, the leading shares have submitted defense materials to the parties concerned, and have appealed against the above arbitration matters. P The company said that since the start of the contract negotiations, the leading shares have always been the agents of the buyers, and the three party contracts clearly stipulate the rights and obligations of the listed companies as agents. However, in order to obtain compensation, the seller misunderstands the facts and deliberately distorts the company as "the first buyer", and ICA accordingly serves as the basis for arbitration. < /p >
"P >, therefore, the Chinese Cotton Association and the company's legal adviser issued corresponding written opinions that the company should not be held responsible for" the first buyer ". First, the company is not a buyer, nor has it signed or sealed the contract of sale. Secondly, the company has not written a written agreement with the ICT company on the acceptance of ICA arbitration, that is, ICA should have no jurisdiction over the dispute between the company and the ICT company in the contract of International sale of goods. Third, after accepting the arbitration application submitted by ICT company, the ICA only assigns to the buyer arbitrator, does not assign to the leading share arbitrator, and does not allow the company to appoint its own independent arbitrator. There are some flaws in the arbitration procedure. < /p >
< p > leading shares said that after receiving the arbitration award, the company held an urgent discussion with the legal adviser and the China Cotton Association, and analyzed the case from the legal and trade practices, and agreed that the arbitration award was unfair and there were serious flaws in the arbitration procedure. Therefore, the company intends to respond in two ways: first, it will further discuss with the relevant legal experts in the near future, and study and decide which legal relief means should be applied. That is, in accordance with the British Arbitration Act, apply for cancellation of the ICA arbitral award to the court of state jurisdiction under the ICA, or in accordance with the relevant international conventions and Chinese laws, and refuse to recognize and enforce the arbitration award; two, the company will consult with the Buyer immediately, and request the buyer to provide corresponding guarantee measures to the company, and urge the buyer to reconcile with the ICT as soon as possible so as to completely solve the case from the source. Meanwhile, a special working group has been set up to sort out and check the relevant internal control systems and processes. < /p >
< p > on the impact of this arbitration on the company's current profits or subsequent profits, the announcement said that the arbitration result may exist or have risks for the company. At present, although the buyer has written promise to undertake all risks, the specific impact on the company's profits is still uncertain. < /p >