Core Viewpoint - The Securities and Futures Commission (SFC) is seeking to disqualify four former directors of Banyu International Energy (08132) due to their failure to properly supervise the company's major operating subsidiaries in mainland China, leading to significant financial losses for the company [1] Summary by Relevant Sections - **Legal Proceedings** The SFC is applying to the High Court of the Hong Kong Special Administrative Region for disqualification orders against four former directors under Section 214 of the Securities and Futures Ordinance [1] - **Loss of Control** The investigation by the SFC was prompted by the company's loss of control over four major operating subsidiaries in mainland China, which have not been consolidated into the company's accounts since January 1, 2019, resulting in a loss of approximately HKD 184 million for the fiscal year ending March 31, 2019 [1] - **Director Accountability** The former directors are accused of failing to adequately supervise the subsidiaries and not acting in the best interests of the company, leading to the inability to consolidate these subsidiaries and incurring substantial financial losses [1] - **Previous Misrepresentation** Three of the former directors are also held responsible for inaccuracies in a circular issued by the company in 2014, which contained misleading information regarding one of its operating subsidiaries in mainland China [1] - **Impact on Operations** As of the date of the announcement, the legal proceedings have not had a significant adverse impact on the company's operations or those of its subsidiaries, according to the current board of directors [1]