Lotus Health Group Company(600186) : Lotus Health Group Company(600186) announcement on receiving notice of case acceptance

Securities code: Lotus Health Group Company(600186) securities abbreviation: Lotus Health Group Company(600186) Announcement No.: 2022008 Lotus Health Group Company(600186)

Announcement on receiving the notice of case acceptance

The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents.

Important content tips:

The litigation stage of the case: filing and examination

The party status of the listed company: the person subjected to execution

Amount involved: RMB 10168691286 (as of September 20, 2006)

Whether it will have a negative impact on the profits and losses of listed companies: it is uncertain

1、 Basic information of this case

Lotus Health Group Company(600186) (hereinafter referred to as ” Lotus Health Group Company(600186) ” or “the company”) recently received the notice of case acceptance (2022) supreme law enforcement supervision No. 121 from the Supreme People’s Court of the people’s Republic of China (hereinafter referred to as “the Supreme People’s court”). The case of dispute over the execution of loan contracts between China Development Bank Henan Branch (hereinafter referred to as “CDB Henan Branch”) and Lotus Health Group Company(600186) , Henan Lianhua monosodium glutamate Group Co., Ltd. (hereinafter referred to as “Lianhua Group”), The Henan Branch of CDB appealed to the Supreme People’s court against the execution ruling (2021) Yu Zhi Fu No. 339 made by the Henan Higher People’s Court (hereinafter referred to as “Henan high court”), and the Supreme People’s court has filed a case for review. The relevant information of this case is as follows:

In 2006, the case of dispute over the loan contract between CDB Henan branch and Lotus Health Group Company(600186) and Lianhua Group was tried by Zhoukou intermediate people’s Court of Henan Province (hereinafter referred to as “Zhoukou intermediate people’s court”), and made a civil judgment (2006) zhouminchu Zi No. 107, which ruled that Lotus Health Group Company(600186) repaid the principal of CDB Henan Branch of 9957790947 yuan and the interest of 134972703 yuan, The liquidated damages are 75927636 yuan. Lianhua Group shall be jointly and severally liable.

According to the inquiry of the company’s files, during the execution of this case, the two parties reached an oral implementation settlement agreement under the coordination of Zhoukou Municipal People’s Government: Lotus Health Group Company(600186) repay 30 million yuan to Henan Branch of CDB. The execution of this case was terminated and the creditor’s rights and debts were eliminated. On November 18, 2009, Henan Branch of CDB issued the request for instructions on resolving non-performing loans of Henan Lianhua monosodium glutamate Co., Ltd. to the head office, and the branch suggested to agree with the opinions put forward by Zhoukou Municipal People’s government. On December 4, 2009, the head office approved the plan proposed by Henan branch with the reply on the implementation plan of the loan dispute case of Henan Lianhua monosodium glutamate Co., Ltd. From December 21 to 22, 2009, the company repaid CDB Henan Branch 30 million yuan. On December 24, 2009, Zhoukou intermediate people’s court made a ruling (2007) Zhou FA Zhi Zi No. 46-8, ruling that the execution procedure of this case was terminated.

On March 12, 2021, the company received the notice of resumption of execution (yu16 Zhihui No. 20, 2021) from Zhoukou intermediate people’s court, The main contents are as follows: “on December 24, 2009, the court made (2007) Zhou FA Zhi Zi No. 46-8 enforcement ruling to terminate the case of the dispute over the loan contract between Henan Branch of China Development Bank and Lotus Health Group Company(600186) , Henan Lianhua monosodium glutamate Group Co., Ltd. now, due to the application of the executor for resumption of enforcement, it is in accordance with the provisions of the Supreme People’s court According to paragraph 3 of Article 6 of the opinions on Several Issues concerning the filing and closing of cases, the court decided to resume the execution of (2006) Zhou minchu Zi No. 107 Civil Judgment. ” For details, please refer to the announcement of the company on receiving the notice of resumption of execution (Announcement No.: 2021002) disclosed by the company in the designated information disclosure media on March 15, 2021.

After receiving the notice of resumption of execution No. (2021) Yu 16 Zhi Hui No. 20 from Zhoukou intermediate people’s court, the company applied to Zhoukou intermediate people’s court for an objection to the execution, requesting a ruling to revoke the notice of resumption of execution No. (2021) Yu 16 Zhi Hui No. 20 and terminate the execution procedure.

On April 22, 2021, the company received Zhoukou intermediate people’s Court (2021) Yu 16 Zhi Yi No. 40 execution ruling, which ruled as follows: “revoke the court’s (2021) Yu 16 Zhi Hui No. 20 notice of resumption of execution. If you disagree with this ruling, you can apply to the higher people’s Court of Henan Province for reconsideration within 10 days from the date of service of this ruling.” The company received the subpoena (2021) yzf No. 339 from Henan Provincial High Court on May 21, 2021. Due to the reconsideration proposed by Henan Branch of CDB, Henan Provincial High Court notified the company to arrive at Henan Provincial High Court on May 25, 2021 to participate in the reconsideration hearing.

On June 4, 2021, the company received the execution ruling (2021) yuzhifu No. 339 issued by Henan Provincial High Court. The ruling is as follows: “reject the application for reconsideration of Henan Branch of China Development Bank and maintain the objection ruling (2021) yu16zhiyi No. 40 issued by Zhoukou intermediate people’s Court of Henan Province. This ruling is final.” concrete content

For details, please refer to the announcement of the company on receiving the reconsideration execution ruling (Announcement No.: 2021026) disclosed by the company in the designated information disclosure media on June 5, 2021.

2、 Progress of this case

The company believes that the creditor’s rights of CDB Henan Branch have been paid off through settlement under the organization and coordination of Zhoukou Municipal People’s government, and CDB Henan branch should not enjoy any creditor’s rights to the company according to law. Meanwhile, under the auspices of Zhoukou intermediate people’s court, the company has uniformly paid off and handled the historical creditor’s rights and debts through bankruptcy reorganization in 2019. During the bankruptcy reorganization, CDB Henan branch did not declare its creditor’s rights to the manager. The above-mentioned case of resumption of execution has been concluded by the Henan Provincial High Court, and the final ruling rejected the application for resumption of execution of Henan Branch of China Development Bank.

CDB Henan Branch appealed to the Supreme People’s court against the execution ruling (2021) yuzhifu No. 339 made by Henan Provincial High Court, and the Supreme People’s court has filed a case for review.

3、 Impact of this case on the company

The company will actively respond to the review of the case and safeguard the legitimate rights and interests of listed companies according to law. At present, the result of the case review is uncertain, and the impact of the matter on the company is uncertain. The company will continue to pay attention to the progress of the matter and timely perform the obligation of information disclosure in accordance with relevant regulations. Please pay attention to investment risks.

It is hereby announced.

Lotus Health Group Company(600186) board of directors March 12, 2022

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