L&L Energy Produces Documentation to Repudiate Short-Seller Allegations
SEATTLE, Sept. 24, 2013
SEATTLE, Sept. 24, 2013 /PRNewswire/ -- L & L Energy, Inc. (NASDAQ: "LLEN")
("L&L" or the "Company"), a U.S.-based company with a track record of
profitable energy (coal) operations in China, announced today that management
has produced key documents to the special committee of independent directors
to repudiate the short seller allegations posted by GeoInvesting.
The GeoInvesting report alleges that L&L does not own the LuoZhou and LaShu
mines. The claim hinges on the fact that the mines are owned by an entity not
named "L&L Energy." In the company's SEC Form 10-K report for the year ended
July 31, 2013, the company clearly states that it acquired the mines by
purchasing equity interests in Union Energy subsidiaries. The Company
completed the acquisition by obtaining a 95% equity interest in two entities,
"Guizhou Union Energy Shun Da Inventory and Transport Corporation", the owner
of LuoZhou Coal Mine and "Guizhou Union Energy WuZhou Energy Development
Corporation", the owner of LaShu Coal mine. The Company supplied to its
independent board committee the following documents: the equity acquisition
agreement; a supplement that explains the deal structure; a Proof of Purchase
Status document stating that L&L fulfilled its payment obligations under the
agreement; and a legal opinion from DaCheng Law Offices that confirms L & L's
controlling interest in the LuoZhou and LaShu mines. Similarly, allegation 7
purports that SAIC filings show that neither Union Energy nor L&L own the
DaPing mine and ZoneLin Coking Plant. The Company has provided to its
committee both the original and translated versions of the Acquisition
Agreement of DaPing Coal Mine, and an original copy of the ZoneLin Acquisition
The Company is still collecting all relevant documents and is making progress
in delivering evidence to the committee of independent board members. The
committee is to examine all information with a critical eye and formulate
their independent opinion to the public in due time.
For more information, please contact:
L&L Energy, Inc.
+1 (206) 264-8065
SOURCE L & L Energy, Inc.
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