Core Viewpoint - The Hong Kong Securities and Futures Commission (SFC) is seeking a disqualification order against three former directors of China Longtian Group Limited due to significant financial misstatements in the company's reports [1] Group 1: Legal Proceedings - The SFC has initiated legal proceedings under Section 214 of the Securities and Futures Ordinance against the three former directors of China Longtian, including former chairman Lin Shengxiong and former executive directors Zhang Hongwang and Huang Wanneng [1] - The legal action is based on investigations into the company's cash and cash equivalents being overstated by approximately RMB 198.9 million and RMB 302.4 million as of December 31, 2011, and June 30, 2012, respectively [1] Group 2: Financial Misstatements - The overstated amounts represent about 13.6% and 19.9% of China Longtian's net asset value as of the respective dates [1] - The annual reports for the years ending December 31, 2011, and December 31, 2012, as well as the interim report for the six months ending June 30, 2012, contained significant misstatements and failed to accurately reflect the company's financial condition [1] Group 3: Accountability of Directors - The SFC alleges that the involved former directors allowed or caused China Longtian to overstate its cash and cash equivalents in financial statements, leading to inflated net asset values [1] - The directors also failed to ensure timely, accurate, and complete disclosure of the findings from the auditors regarding the overstated amounts and other audit irregularities [1]