Second shareholder shelling St heavy Board

Smoke smell again in the St Heavy (000736.SZ) board site. August 25, 2010, St The fifth session of the Board of Directors held at the 19th meeting, despite the two shareholder Hunan Huaxia Technology Investment Development Company (hereinafter: Huaxia Technology) actual controller Zhongfei as director of the vote, but 8 votes still escort board passed the "long Sha to sign <　　Relocation work Supplementary Agreement > and advance the new relocation compensation funds. According to the above motion, because Changsha Furong government request St Heavy Real holding subsidiary-Changsha trillion Jia separately undertakes the demolition compensation fund 49.63 million yuan, in Changsha Zhao Jia original shareholder Huaxia Technology refuses to bear the above expense the circumstance, the long Sha decision will advance the above funds,　　Through various legal means to China's science and technology recourse to advance funds and losses. Huaxia Science and technology, the Board to the Director of the information provided by the "lack of the most core content", that is, the October 24, 2008 Huaxia Technology and St heavy shareholders in real estate to sign the "supplemental Agreement" has not been provided to the participating directors, and the board of directors to the Board to provide information is not comprehensive　　It is clear that directors cannot make the right judgments. But the ST is not completely denied the information provided by the Board.　　St of the Securities Department August 31 to our correspondent said that the board of Directors to provide all the information is "comprehensive and complete", other matters have been announced now inconvenient to comment.　　Long Sha of the doubt Huaxia technology this choice to St heavy real board of directors against a new cost of demolition. August 17, 2010, a Sha from the subsidiary of the "Emergency report" sent to the hands of St heavy Real executives.　　The above-mentioned "emergency report" said, Changsha Furong government officials on the day of the appointment of Changsha Zhao Jia related officials, told the long Sha due to slow project development, land idle time is too long, land has been recovered risk.　　The previous July 2010, the Seremban District government has sent letters to the long Sha, proposed because of the improvement of the compensation standards, resulting in the increase in the cost of land expropriation, as a result of the implementation of land requisition compensation agreement in the special circumstances, the request of Changsha Zhao Jia compensation fund 49.63 million yuan.　　Obviously, the new relocation cost of 49.63 million yuan is closely related to the slow progress of Changsha Zhao Jia project. As an important real estate platform for St Changsha,　　Changsha Zhao Jia owns the Changsha core zone of the land of 828.45 acres, of which Changsha People's road north of 135 acres, demolition work on May 31, 2007 has been completed and handled the formal transfer of land formalities, and the people's Road to the south of the land of about 694 acres of demolition and resettlement work has been slow to complete. "All this is attributable to the omission of the property in China." "China's top technology people said that the Sino-residential real estate from the Chinese technology to acquire Changsha Zhao Jia Control (note: May 31, 2007), the People's Road south of 694 acres of land related to 221 farmers housing demolition compensation has just begun,The original relocation and resettlement work has been responsible for the Chinese science and technology, the November 14, 2008 Huaxia Technology in the relocation of the transfer to the long Sha, only 16 of the remaining relocation and resettlement. But when the clock was fixed to the end of August 2010, the long Sha completed only 9 compensation and resettlement, still 7 households did not sign the relocation compensation agreement.　　Changsha Zhao Jia said, because of the September 2009 demolition funds gap need to make up, it caused the demolition work has been shelved. "Why does St-heavy say the handover work was completed on February 11, 2009?" This is because based on the help of the real estate stationed long Sha of the relevant people familiar with the purpose of the business, Huaxia technology people on February 11, 2009 before the withdrawal of long Sha. "Huaxia technology high-level personage said, even if according to February 11, 2009 This time point, a clear efficiency comparison also appears in the world before, that is the Chinese technology demolition use 18 months, completed more than 90% of demolition work, transfer demolition work to Long Sha, in 18 months time,　　Changsha Zhao Jia only completed the demolition of 9 households, "more importantly, the relocation of these 9 households compensation for the main work, in the Chinese technology transfer has been basically completed."　　Chinese science and technology high-level Personage thinks, after taking over the real estate, Changsha trillion Jia management layer has been constantly changing, in the relocation and resettlement of the farmers and Changsha Furong District also not smooth, which leads to the long Sha in the relocation and resettlement work basically did not obtain the actual progress. 49.63 million yuan new costs belong to that who will be the new 49.63 million yuan demolition costs?　　Is Changsha Zhao Jia, or Huaxia technology, or in the real estate, all this only leave time to give the answer. Changsha Zhao Jia thought, in accordance with the Sino-residential real estate and Huaxia Science and Technology signed May 31, 2007, "Capital transfer, capital increase and cooperation agreement", should be by the Chinese science and technology to 250 million yuan "contract" to ensure that Changsha Zhao Jia completed the demolition of the site of the follow-up work,　　More than 250 million yuan demolition costs by the Chinese science and technology to bear, so the new 49.63 million yuan in excess of 250 million yuan in the scope of the case, should be the sole responsibility of China science and technology.　　But China's science and technology clearly believe that the truth is not without this, and to fight for it. "We have received long Sha's letter of attorney, we believe that litigation is unavoidable, but the new 49.63 million yuan fee should not be from the Chinese technology, nor should be from Changsha trillion Jia out!"　　"China's top technology people will pay the bills to live in real estate." Huaxia Science and Technology believes that if St heavy real directors can see that not submitted to the Directors of the supplementary Agreement, I believe will be "fault in the real estate or in China's science and technology has a clear judgment." Because of the above "Supplementary agreement", from December 1, 2008 onwards, Changsha trillion Jia Project land demolition work by the Chinese technology transfer to long Sha, from Changsha Zhao Jia continue to complete, in the Huaxia technology to Changsha Zhao Jia handover work fashion not relocated, Huaxia Science and technology per household 50,000 yuanStandard reserve for demolition work.　　The above "supplementary agreement" also shows that China's science and technology special hint, please live real estate must speed up the development of the project land, in order to avoid to the company and shareholders caused losses, otherwise the real estate will bear the consequences.　　The complicated shareholder infighting may be making long Sha feel headache, and long Sha just like a microcosm, concentrated in the real estate in the St after the heavy project of the slow progress of the fate. 2008-2009 consecutive two fiscal years, as a result of residential real estate loaded St Heavy project development slow, plus st Heavy executives frequent change, which directly resulted in two consecutive years of St heavy performance is far lower than in the real estate performance commitment. To this end, China-Hong Kong property has not been two times to the small and medium shareholders to recover shares, while the real estate loan Shell St Financial advisers-Wanguo also two times publicly apologized.