09:29 WEALTHMARK INTL<00039>-Announcement&Resumption of Trading(5) commenced. As at the date hereof, objectives (1) to (3), (6) and (7) have been implemented/commenced. The Independent Committee is, with the assistance of HLB, tracking the prior flow of funds of the Group. No results can yet be announced as these processes have not fully completed. The Company has already prepared an Internal Control and Accounting Manual for adoption by the Group. This manual was prepared by the Accounts Manager of the Company in conjunction with its legal advisers. HLB Hodgson Impey Cheng was appointed on 19th January, 2005 to review, supervise and monitor its implementation and to see whether there are any compliance shortcomings and to advise the independent board committee accordingly. The Internal Control and Accounting Manual is a set of best practices developed by the Company in relation to internal financial control systems and regulation. The areas covered include accounting controls and administrative controls. Administrative controls deal with the operations of the business and internal controls deal with accounting for such operations. By implementing this Internal Control and Accounting Manual, the Company can thereby ascertain whether there are any weaknesses and/or loopholes in the Group's internal control systems. It is currently expected that the implementation and review process and the investigation by the independent board committee will take approximately 3 months. A further announcement on the results of the implementation and any findings will be made as soon as possible after its completion. However, as at the date hereof, HLB Hodgson Impey Cheng has conducted a financial due diligence at the factories in Hui Zhou and no evidence of misappropriation of funds has yet been found. HLB is currently conducting a "walk-through" of the business cycles of the Group including repurchase cycles, sales cycles, payment cycles, cash cycles and fixed assets cycles with the Group to determine shortcomings (if any) in the systems and controls of the Group. The Board hereby announces that Mr. Wong Chor Sang and Mr. Danny Kwok Kee Ho have been appointed as authorised representatives of the Company with effect from 25th January, 2005. Save for claims made by creditor banks of the Group as mentioned herein and a writ issued by Banco Delta Asia S.A.R.I. on 7th February, 2005 against the Company in the amount of approximately HK$610,000, the Group is not subject to any material litigation or claims. The Company had, on 18th February, 2005, filed an acknowledgment of receipt of the writ and intends to defend the action. SUSPENSION AND RESUMPTION At the direction of the Stock Exchange, trading in the Shares was suspended with effect from 9:30 a.m. on Tuesday, 23rd November, 2004 in light of the Incident. Application has been made to the Stock Exchange for resumption of trading in the Shares with effect from 9:30 a.m. on Wednesday, 23rd February, 2005. Shareholders and potential investors in the Company should exercise caution when dealing in the Shares. DEFINITIONS "Board" the board of Directors, including all independent non executive Directors "Company" Wealthmark International (Holdings) Limited, a company whose shares are listed on The Stock Exchange of Hong Kong Limited (stock code: 039) "Director(s)" the director(s) of the Company "HK$" Hong Kong dollars, the lawful currency of Hong Kong "Hong Kong" Hong Kong Special Administrative Region of the People's Republic of China "ICAC" the Independent Commission Against Corruption "ICAC Press Release" the press release published by the ICAC on 24th November, 2004 "Incident" the incident alleged and reported in the ICAC Press Release and/or the Press Reports "Listing Rules" the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited "Mr. Wong" Mr. Wong Chor Wo, the former chairman of the Company "Mr. Yue" Mr. Yue Kwai Wa, Ken