DFCT D F China Technology (MM)

DF China Technology Announces The Former CEO Was Under Arrest Order HONG KONG, Oct. 31 /PRNewswire-FirstCall/ -- Mr. Aaron Zhu Xiaojun, Executive Director and Chief Financial Officer of DF China Technology, Inc. announces that an affiliate of the company, Good Value Holdings Limited, informed the management of DF China Technology of the following as quoted below: 'To: Good Value Holdings Limited With regard to the case, which your Company reported to the Police, in connection with Miss Cheung Kam Wa, chief executive of DF China Technology Inc. and Xu Hongxiang, general manager of Guangzhou Dransfield Paper Ltd, who sold- off a parcel of land unlawfully, it is now determined as embezzlement on duties. The case is now under investigation and the two persons are under arrest order. These two persons fled from the city and are being pursued by the police. The Investigation Team of Economic Crime, Security Bureau, Conghua City October 29, 2003' Miss Cheung was the former chief executive officer of the company for the period May 17, 2002 to April 30, 2003 and was removed as the executive director and the chief executive officer of the company on April 30. 2003 and Mr. Xu was the general manager of the company for the period September 17, 2002 to April 30, 2003. The Police Station mentioned above is situated in the same City of Conghua, the PRC, where the principal place of business of the company is situated. The management of the company cannot assess whether the incident will cause any negative impact to the company. Mr. Zhu has noticed of the recent fluctuation of the price and trading volume of the shares of the company after our announcement of the 2003 financial results published on October 23, 2003. There is a net loss of HK$101.7 million (US$13.0 million) for the fiscal year ended March 31, 2003 mainly as a result of the significant asset written-off from HK$133.5 million (US$17 million) to HK$33.7 million (US$4.3 million) reflecting the HK$97.8 million (US$12.5 million) provision against fixed assets, reducing the net asset value per share to HK$0.79 (US$0.10). Mr. Zhu wishes to urge shareholders of the company and potential investors to exercise extreme caution in dealing in the shares of the company. DATASOURCE: DF China Technology, Inc. CONTACT: Aaron Zhu Xiaojun, Executive Director and Chief Financial Officer of DF China Technology, Inc., +86-139-238-33851

Copyright