Progress of the dispute between Lake Electric and Goldman Sachs: The request for the invalidation of arbitration clauses in the "Guarantee Letter" was rejected by the court

On the evening of September 15th, Lake Electric (SH603355, stock price was 30.13 yuan, and a market value of 17.3 billion yuan) issued an announcement saying that the "Civil Ruling Book" from the Suzhou Intermediate People's Court (hereinafter referred to as Suzhou Central Court) in Jiangsu Province recently received The Suzhou Intermediate People's Court rejected Lake Electric's application.

Earlier, Lake Electric and Goldman Sachs had a dispute in the trading of Huiyan -derived financial product transactions in the long term. Lake Electric also asked the court to confirm the arbitration clauses in the "Guarantee Letter" issued by the company (including confirmation or not effective).

Disputes of disputes during the performance of derivative financial product transactions

The announcement of Lake Electric revealed that in early February 2018, Goldman (Asia) Co., Ltd. (ASIA) L.L.C.) (Hereinafter referred to as Goldman Sachs) personnel went to Lake Electric to promote long -term sales of Hui Dan financial products.

Based on the consideration of avoidance and prevention of exchange rate risks, in March 2018, Lake Electric's former wholly -owned subsidiary Lake Electric Hong Kong Co., Ltd. (hereinafter referred to as Lake Hong Kong) registered in Hong Kong, China. Framework main agreement for sales derivative financial products.

Later, Lake Electric asked the foreign exchange management department to ask the company to provide a guarantee for the guarantee of the company. However, in the end, the Suzhou Foreign Management Bureau did not agree to the filing, and the trading of Huiyan -derived financial product transactions in the long -term and sales of Huiyam was unable to unfold.

Since then, Goldman Sachs Asia has proposed a transaction plan in the form of payment deposit. Rick Hong Kong has paid $ 2.5 million each time, and based on this, it has traded for long -term sales and sale. After the performance of the two sides, there was a controversy in the process of performing. Goldman Sachs International signed the "International Definition and Derivative Tools Association (ISDA) Master Agreement (2002 Edition)" with Lake Hong Kong and the dispute that Rick Electric should bear the responsibility to Hong Kong International to Hong Kong International The arbitration center filed an application for arbitration.

Lake Electric believes that there is no guarantee contract between the company and Goldman Sachs International. The Hong Kong International Arbitration Center has no jurisdiction over the case, and the company should not bear any guarantee liability.

The Hong Kong International Arbitration Center issued a ruling, announcing that Lake Hong Kong and Lake Electric defaulted and compensated. On November 25, 2020, the listed company received the "Ruling" from the Hong Kong International Arbitration Center. At the same time, Lake Electric filed an expected liabilities of 40.342 million US dollars based on the amount of rulings, equivalent to RMB 265 million.

The arbitration clause in the "Guarantee Letter" was required, but it was rejected

However, the Lake Electric Announcement mentioned that the above -mentioned arbitration award was made by the Hong Kong International Arbitration Center, and it was only required to be acknowledged by the Mainland court to be implemented.

On April 20, 2021, Lake Electric received the "Notice of Response" from Suzhou Intermediate Court, and Goldman Sachs International applied for an arbitration award made by Suzhou Intermediate Court to recognize and enforce the Hong Kong International Arbitration Center.

In May 2021, Goldman Sachs International applied for property preservation from the Suzhou Intermediate People's Court, and the Suzhou Intermediate People's Court ruled that the bank deposits frozen Lake Electric 269 million yuan or other assets of the corresponding value were seized.

However, as of now, the Suzhou Intermediate People's Court has not ruling the recognition and implementation of the Hong Kong International Arbitration Center.

Lake Electric also filed a lawsuit against Goldman Sachs International and Goldman Sachs Asia in 2019, requesting the arbitration clause in the "Guarantee Letter" issued by the Suzhou Intermediate People's Court invalid (including confirmation of incompetent or ineffective).

Lake Electric believes that due to the failure of the guarantee plan, the signs of the guarantee letter did not sign and signed the date. The two parties have not reached a intention to the guarantee of the guarantee relationship or about no more than 40 million US dollars or other foreign currencies, and did not reach the arbitration agreement with Goldman Sachs Asia and Goldman Sachs International. Therefore, there is no arbitration agreement between the establishment or effect between the two parties.

Recently, the Suzhou Intermediate People's Court made a ruling and rejected Lake Electric's application.

Rick Electric said that the lawsuit was a case that applied for confirmation of the effectiveness of the arbitration agreement. If there was no amount involved, the lawsuit had no effect on the company's current profit.

Daily Economic News

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