The Fight for Shareholders’ Rights Continues

Since our last update, much has been accomplished by LKMforwawrd. We have met with legal counsel, The Seiden Group, and counsel drafted a letter to the Board and its Legal Counsel which set forth a reasonable and expeditious path to resolve this matter. After waiting the requisite 48 hours for a response from the Board or its counsel, we have not received a reply to our good faith proposal (see attached letter).

Despite this non-response by the Board proper or its counsel, we have received formal support from several Board members who recognize the reasonableness of our proposal and their respective fiduciary duties to all shareholders. We are gratified by this support, and continue to reach out to all Board members to join these members in upholding their fiduciary duties to all shareholders and quickly resolving this matter pursuant to our proposal. We should also note that our published share count does not include any board member shares.

While we continue to believe resolution at the Board level, as outlined in our letter, is the resolution that quickly ceases continued damage to the company and its shareholders; we are prepared to pursue shareholder requisition rights as discussed in the letter and our previous posts. We again call on the Board to evaluate its duties to all shareholders and resolve this matter before the necessity of further legal action is required.

Shareholder Demand Letter

2 thoughts on “The Fight for Shareholders’ Rights Continues”

  1. Here are 11 BOD members, how many is that ” we have received formal support from several Board members”?

    If that number does not exceed half of the members, then even there is a vote, we cannot force Vicent Shi out.

    1. There are nine, NOT 11 board members. The letter was sent to all nine current board members, plus the board secretary, and a ZZ representative, former board member, Ms. Yan Zhu. Further, board members cannot vote to remove other board members. That takes place at a shareholder vote. We are confident that we have enough shareholders vote to remove those directors that are not serving the company’s and the shareholders’ interests.

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