Zhitong Finance App, Guohua (00370) issued an announcement. On June 14, 2023, the Group filed a civil complaint against Fang Zhuoyuan, Yang Feng (the ultimate beneficial owner of Fenglei) and Li Enqiang (the ultimate beneficial owner of Shijiahao) with the Shenzhen Luohu District People's Court, requesting reimbursement of the outstanding amounts and related late fees (“civil complaint relating to wind and thunder”); and against Luo Cunjiachun (the ultimate beneficial owner of Wu Fengying) and Li Enqiang (Shijiahao's ultimate beneficial owner) (The ultimate beneficial owner of Hao) submitted to the People's Court of Yantian District, Shenzhen Seven civil complaints requesting reimbursement of outstanding amounts due to Wu Fengying and related late fees under seven sales contracts (“Civil Complaints relating to Wu Fengying”). The People's Court of Luohu District of Shenzhen and the People's Court of Yantian District of Shenzhen have received the relevant civil complaints on July 20, 2023 and October 23, 2023, respectively.

As far as the civil complaint relating to wind and thunder is concerned, the case was first tried in the Luohu District People's Court of Shenzhen in September 2023. The Group received a civil ruling on October 20, 2023, ruling that the Group won the lawsuit. Fang Zhuoyuan and Yang Feng must repay the unrepaid balance of about RMB 23.7 million and related late fees to the Group within 7 days from the effective date of the civil ruling; and Lee En-keung must be jointly and severally liable for the repayment of the unrepaid amounts and late fees due to the above storm and thunder, with a maximum limit of about RMB 24 million. On December 12, 2023, the Group and its Chinese legal advisers confirmed that the relevant courts had not received any appeals from the defendants against the judgment within the prescribed period, and that the judgment came into effect on November 16, 2023. As of the date of this announcement, the Group has not received any repayment from the defendant.

As far as the civil complaint against Wu Fengying is concerned, the case will be first tried in the Yantian District People's Court of Shenzhen on December 19, 2023. The company will publish a separate announcement in due course on the progress of court actions brought against defaulters in accordance with the requirements of the listing rules.

Considering the opinions of the Group's China legal advisers, even if the Group wins the civil lawsuit, the recoverability of the amounts owed by the defaulter mainly depends on whether the assets or assets of the defendant can be traced and enforced; and the Group has confirmed in the Group's consolidated financial statements for the year ended March 31, 2023, impairment losses totaling approximately RMB 157 million, and all impairment losses will remain unchanged in the Group's consolidated financial statements for the six months ended September 30, 2023, the Board of Directors believes that the above lawsuit will not affect the Group's overall business , any further significant adverse effects on operations or financial performance.