LeTV Sports business license revoked

According to Qichacha, a business registration information reference website, the business license for LeTV Sports Culture Develop (Beijing) Co. has been revoked.

Revoking the business license of a company is a punitive administrative measure implemented by the Administration of Industry and Commerce on law-breaking business entities. Once the business license is revoked, the company should enter into the liquidation process. The enterprise legal person will cease to exist only after the liquidation has been completed , and the company has cancelled registration with the Administration of Industry and Commerce.

LeTV Sports are now involved in multiple arbitration and lawsuit cases and it is unclear how the revoking of their business license will affect these cases. LeTV Sports published an announcement on their website on May 15, revealing the ruling by the Beijing Arbitration Commission that LeEco need to pay their shareholder Qianhai Situo for share repurchase. The announcement also revealed that 14 shareholders, including Qianhai Situo, had launched arbitration requests against the company, and that the arbitration was still under way for the other 13 shareholders. Internal estimates by LeEco concluded that the maximum payment for the share repurchase could reach over RMB 11 billion.

Reference: The Beijing News

Proofread by Raymond Fitzpatrick