*ST Gaosheng (000971): Litigation Progress

Stock Code: 000971 securities short: *ST, Gao Sheng Announcement No.: 2020-10

Gaosheng Cmi Holdings Ltd's announcement on litigation progress

All members of the company and the board of Directors ensure that the contents of the announcement are true, accurate and complete, without false records, misleading statements or major omissions.

Gaosheng Cmi Holdings Ltd (hereinafter referred to as "Gaosheng Holdings" or "company") published in December 9, 2019 and January 2, 2020 in the designated information disclosure media, "the announcement of the civil judgment of the fourth intermediate people's Court of Beijing and the progress of the proceedings" (Bulletin number: 2019-119), and the announcement on the results of the civil ruling of the Guangdong Provincial Higher People's court and the progress of the proceedings (Bulletin number: 2019-133), and disclosed the progress of two cases involving the company. The company today received the relevant legal documents issued by the fourth intermediate people's Court of Beijing (hereinafter referred to as the "Beijing four middle court") and the Guangdong Shenzhen intermediate people's Court (hereinafter referred to as "Shenzhen intermediate court"). The relevant matters are hereby announced as follows:

First, China and Thailand

1, the basic situation of the case

In January 2018, Zhejiang Zhongtai Chuang Exhibition Enterprise Management Co., Ltd. (hereinafter referred to as "Zhongtai Chuang Exhibition") signed a loan contract with the company's shareholder blue Ting Industrial (Hubei) Co., Ltd. (hereinafter referred to as "blue tripod"), with the number of (2018) business word no. 001, with the agreed loan amount of 22 million 500 thousand yuan (hereinafter referred to as the "loan"). The term of the loan is 15 days from the date of the loan, the monthly interest rate is 1.5%, the interest rate is paid at once, the overdue interest is based on the principal and interest not paid, and the daily payment is 7/10000. Owing to the illegal use of the official seal by the chairman of the company, the company signed the third party unlimited joint liability guarantee without the consideration and approval of the board of directors and the general meeting of shareholders. See the public for details.

The announcement of the summons and related legal documents and proceedings made by the fourth intermediate people's Court of Beijing in May 9, 2019 (Bulletin number: 2019-50) was published in the designated information disclosure media. China and Thailand initiated the lawsuit against the company in the fourth middle court of Beijing because of the above-mentioned security contract dispute. The case was filed in April 26, 2019. According to the "civil judgment" No. 435 issued by Beijing No.4 Middle School in November 27, 2019 (2019) in Beijing and 04 early Republic of China, Gao Zhongsheng held a claim for unlimited joint guarantee liability for the Sino Thai company. The fourth chamber of Beijing did not support it. This judgment is a first instance decision.

2, litigation progress

In January 17, 2020, the company received the certificate of validity issued by Beijing NO.4 middle court, which shows that the plaintiffs' Sino Thai exhibition and the defendant LAN ding industry, Gaosheng holdings and other parties are now at the end of the trial. The 435 civil judgments issued by Beijing fourth central hospital in November 27, 2019 (2019) in Beijing, 04 and early Republic of China have been delivered to relevant parties such as the company and Zhongtai Exhibition on December 5, 2019 and 6 respectively. The judgment has come into effect in January 6, 2020.

3, the impact on the company

According to the "proof of validity" issued by Beijing NO.4 middle court, the civil judgment No. 435 (2019) Beijing 04 early Republic of China issued by the fourth Central Hospital of Beijing has entered into force, and the case has been closed. This lawsuit has no significant impact on company profits.

Two. Junfeng fund case

1, the basic situation of the case

The company acquired 99.997% stake in Beijing Hua Qi Communication Technology Co., Ltd. (hereinafter referred to as "Hua Qi communications"), and approved by the China Securities Regulatory Commission to issue shares and raise matching funds to pay the transfer price of shares. In June 12, 2018, Dongcheng Branch of the Beijing Administration for Industry and Commerce approved the change of shareholders of Hua Qi communications. The 99.997% stake in Hua Qi communications, which was held by Hua Qi communications's original shareholder, has been transferred to the company's name. Due to the failure to implement the company's fund-raising funds

Cash is partially delayed. The original shareholder of Shenzhen Huayu Venture Capital Investment Management Co., Ltd. (representing the Feng Hua Yi emerging industries investment fund) (hereinafter referred to as the "Junfeng fund") applied to the Shenzhen intermediate people's court in December 2018 to freeze the account of the company's subsidiary Beijing Gaosheng Data System Co., Ltd. (hereinafter referred to as the "Beijing high number"), freezing the capital of 79 million 990 thousand yuan, and freezing the period from December 25, 2018 to December 24, 2019, the case number is (2018) 03 yuan 03.

In April 22, 2019, the company received the "Notice of respondent" and the relevant legal documents issued by the Shenzhen intermediate people's Court (2019) in Guangdong 03 early Republic of China, and the relevant legal documents were issued by the Junfeng fund. The company and the Beijing high number were jointly accused by the company to handle the share transfer fund and the corresponding interest, and the Beijing high number was jointly liable for all the debts of the company and all the litigation costs of the company's debts. "831" The company and the Beijing High Court filed a lawsuit against the jurisdiction of the case. The Shenzhen intermediate people's Court issued (2019) 831 civil code No. 831 of the Guangdong Province and the early Republic of China: the first is to reject Gao Sheng's objection to the jurisdiction of the case.

Two, dissenting the objection raised by Beijing high number to the jurisdiction of this case.

The company and the Beijing high number refused to accept the ruling of the Shenzhen intermediate people's court, and appealed to the Guangdong Provincial Higher People's court. The higher people's Court of Guangdong has issued a civil order No. 2019 (No. 319) of the Guangdong Provincial People's court No. 319, which has been issued as follows: first, maintain the first instance of the court of first instance of the Shenzhen intermediate people's Court (2019), No. 831 of Guangdong Province, 03 early Republic of China, that is, "dissenting the objection raised by the Gaosheng holding company to the jurisdiction of this case"; two, withdraw the 831 original verdict of the Shenzhen intermediate people's Court (2019) in Guangdong Province and 03 early Republic of China, second, that is, "dismiss the objection raised by Beijing Gaosheng company to the jurisdiction of this case", and reject the prosecution of Shenzhen Junfeng Venture Capital Management Co., Ltd. to Beijing Gao Sheng Data System Co., Ltd. The ruling was final and the plaintiff's fund was dismissed against the company's Beijing high. As of December 25, 2019, Beijing's senior account was frozen thawed by the Junfeng fund, which was used to pay for the transfer of the original share ownership of Hua Qi communications, such as Junfeng fund.

2, litigation progress

In January 17, 2020, the company received the "civil ruling" issued by the Shenzhen intermediate people's Court (2019), one of the 831 of Guangdong 03 early Republic of China, which showed that the plaintiff's Fung Fung fund filed an application for withdrawal from the Shenzhen intermediate people's Court on January 2020 9, and applied for cancellation of the company's lawsuit on the transfer of shares. The Shenzhen intermediate people's court decided to allow the plaintiff and the Junfeng fund to withdraw the case, and the case fee was reduced by half to 405874.20 yuan, which was borne by the plaintiff Junfeng fund.

3, the impact on the company

According to the "civil ruling" issued by the Shenzhen intermediate people's Court (2019), 831 of the 03 early Republic of Guangdong, the first instance procedure of the case has been terminated because of the withdrawal of the Junfeng fund. This lawsuit has no significant impact on company profits.

The company will continue to pay attention to the progress of the above matters and fulfill the obligation of information disclosure in accordance with relevant regulations. The information disclosure media designated by the company are China Securities Daily, Shanghai Securities Daily, securities times, securities daily and www.cninfo.com.cn. All the information of the company is based on the announcement made by the company in the above media.

We invite investors to pay close attention to investment risks.

Notice hereby

Gaosheng Cmi Holdings Ltd board of directors

Two O two O January 17th