The Chuang’s China Group owns an effective 69% interests in a property development project in Changsha and the total investment costs was about HK$24.5 million (including shareholder’s loan of about HK$3.5 million) as at 30 September 2020. The Chuang’s China Group has obtained a court ruling for winding up of the PRC project company. Recently the execution division (執行庭) of the court at Changsha ruled that the winding up should be implemented by the shareholders of the PRC project company instead of by them. The Chuang’s China Group has filed an appeal against this ruling on the ground that the winding up was approved by the court at Hunan because the minority shareholder of the PRC project company could not agree to voluntary liquidation. It is therefore impractical to effect the ruling of the execution division (執行庭) of the court at Changsha. The civil complaint by the minority shareholder of the PRC project company against Chuang’s China and an executive director of Chuang’s China was heard by the court in Hunan in July 2020 and August 2020. Further announcement(s) about the legal proceedings will be made by Chuang’s China as and when appropriate.