HLSY(SZ:000622) Zheng Quan Zhi Xing·2025-07-08 16:19Core Viewpoint - The company, Hengli Industrial Development Group Co., Ltd., is facing legal challenges related to construction contract disputes, which may impact its financial performance in the future [1][4]. Summary by Sections 1. Basic Information of the Lawsuit - The company and its wholly-owned subsidiary, Yueyang Hengli Auto Parts Co., Ltd., were sued by Hunan Fangyuan Architectural Engineering Design Co., Ltd. and Hunan Pioneer Construction Engineering Co., Ltd. due to construction contract disputes [1]. 2. Judgment Details - Case One: The court ordered the subsidiary to pay design fees of 459,246.15 yuan and overdue payment penalties based on the Loan Prime Rate (LPR) from September 27, 2024, until payment is made. The subsidiary must also pay engineering fees totaling 37,645,448.5 yuan, with the design company having priority in claims against the project [1][2]. - Case Two: The company is required to refund a deposit of 5,500,000 yuan and associated costs, with interest calculated at an annual rate of 12% from December 16, 2021, until actual payment is made [2][3]. 3. Financial Implications - The company acknowledges that the ongoing litigation may have uncertain impacts on its current and future profits, pending the outcome of the appeals process [4]. 4. Other Legal Matters - As of the announcement date, there are no undisclosed litigation or arbitration matters involving the company or its subsidiary [3]. 5. Stock Market Status - The company's stock entered a delisting preparation period on June 25, 2025, with the last trading date expected to be July 15, 2025, after which the stock will be delisted [4].