Police confirmed Wu Changjiang detention BDO said integration barrier removal

The latest progress of events has been NVC. In December 16, 2014, NVC founder Wu Changjiang on suspicion of misappropriation of funds, has been Huizhou police detention law. 17 am, Guangdong Huizhou Public Security Bureau, said the person in charge of the news, the news is conclusive, but refused to disclose further details.

Now, as Wu Changjiang has been formally released, with NVC equity disputes around Elec-Tech has come to an end. In this regard, Elec-Tech an insider told reporters bluntly, "it can be said that the biggest obstacle to the integration of the two companies has been removed, the future resource integration of the road is estimated to be much more smoothly. "

As of now, Elec-Tech NVC holds 845 million 740 thousand shares of ordinary shares, accounting for 27.03% of the outstanding common stock, as the largest shareholder. Chongqing NVC for NVC indirect holding 100% wholly owned subsidiary.

Wu Changjiang was arrested in fortune

According to the aforementioned Elec-Tech insiders, Chongqing NVC in Huizhou chose to report, mainly on account of Wu Changjiang although Chongqing, but his account has landed in Huizhou, therefore, the report can choose to report on its hukou. What's more, Huizhou is also the starting point of its development, the development of the base camp. It can be said that the local authorities should understand the situation.

"Moreover, there is no choice to report in Chongqing, there is our concern. Because Wu Changjiang is a native of China, coupled with a successful career, back to Chongqing two years ago to invest. To some extent, the choice of off-site reporting can exclude judicial interference suspects. The person said.

The major risk issues shares of the company issued in November 7th Elec-Tech notice that Wu Changjiang Chongqing NVC management of illegal use of bank deposits for Chongqing NVC Chongqing Huabian Lamp Manufacturing Co. Ltd., Chongqing Jiang surface treatment Co. Ltd., Chongqing Lei Lijie Industry Development Co., Ltd. real promise Chongqing Real Estate Development Company Limited four company to the bank loan guarantee huge collateral security.

After investigation, the legal representative of a company without people love Wu is the wife of Wu Changjiang, is an affiliate of Wu Changjiang; the relationship between Huabiao company, Jiang Lei Lijie company and Wu Changjiang company, pending further investigation. At present, the four companies to bank loan funds unaccounted for, Chongqing NVC has been related to forced banks to fulfill the responsibilities of large joint guarantee. As of now, NVC Wu Changjiang 548 million 560 thousand yuan of illegal guarantee to fulfill the joint liability guarantee.

The source said, according to equity ratio calculation, companies face the biggest losses of about 148 million 280 thousand yuan, will have a negative impact on the company's performance for the year 2014.

Due to the above acts have violated the law Chinese Wu Changjiang and others suspected of economic crimes, Chongqing NVC has been to the Huizhou City Public Security Bureau, Huizhou Municipal Public Security Bureau has filed in October 22, 2014 to conduct the investigation, to find out the facts of the crime of Wu Changjiang et al. Wu Changjiang was under criminal detention according to law, indicating that the public security departments have fully mastered the evidence of their alleged crimes. After the expiration of the criminal detention, the next step will be transferred to prosecutors, issued a formal arrest warrant. "The Elec-Tech insiders said.

Integrated obstacle removal

Previously, because the two sides exposed the disputes led to the integration of assets and Elec-Tech companies NVC also had to stop. "In mid October of this year, the company has basically completed the audit of the underlying asset and the estimated work, and on the basis of negotiations with NVC board of directors, the company originally planned to the two sides signed a framework agreement immediately after the meeting of the board of directors, the announcement and the resumption of trading plan. In this regard, insiders said the elec-tech. "In the meantime, in the process of planning major matters of the company, the company have received the NVC board bulletin, told Wu Changjiang there are significant violations of security matters in the bank. This leads to a significant obstacle to the integration of assets. "

In accordance with the original plan Elec-Tech company, intends to sell all the business related to the LED lighting business assets and liabilities to NVC, NVC will be fully paid in cash on the price. The sale of assets to solve the problem with the competition with the NVC company, is conducive to both the standardized operation of listed companies. In order to ensure the integrity of the sale of the business and assets, the company intends to deal with the two subsidiaries of the integrated management of assets and liabilities in the selected, and eventually to the other 100% stake in the company as the delivery of the subject, the overall implementation of LED lighting business transactions.

However, until November 14th, Elec-Tech released the termination of planning major events, due to significant violations of security matters to Wu Changjiang in a number of banks, banks were forced to deduct Chongqing NVC 395 million yuan, plus the previous Chinese in bank guarantee is actually deducted 154 million yuan delimits, a total of 549 million yuan bank compulsory deduction. In addition, the NVC board verification, Chongqing NVC Construction Bank, bank deposits 53 million 848 thousand and 100 yuan by the judicial freeze, is also due to security breaches caused by similar Wu Changjiang. The above matters to reduce the carrying amount of cash and NVC, has seriously affected the asset integration ability to pay.

The company said, considering NVC's production is recovering, affected by the violation of security matters, the decline of its cash reserves, and also do not have the additional shares of the time window, so that the current is not the integration of the assets implementation matters when appropriate