Company: GURE
Filing Date: 2025-04-11
Form Type: 10-K
Source: 0001193805-25-000461
Chunk: 596

Company: GULF RESOURCES, INC.
Filing Date: 2025-04-11
Form: 10-K
Item: Item 8
Chunk 596
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385, (2019) Lu 0783 Xing Shen No. 389, (2019) Lu 0783 Xing Shen No. 390, (2019) Lu 0783 Xing Shen
No. 393, and (2019) Lu 0783 Xing Shen No. 394, respectively (together, the “Court Rulings”) were made by the Court in
favor of the Bureau. The Court orders, among other relief, to enforce each of the Written Decisions, to return each subject land to
its legal owners and demolish or confiscate the buildings and facilities thereon and restore the land to its original state within
10 days from the service of the Court Rulings on SCHC. The Court Rulings became enforceable immediately upon service on SCHC on May
5, 2019.

In the last twenty years, to the
Company’s knowledge, there were no government regulations requiring bromine manufacturers to obtain land use and planning approval
document. As such, the Company believes most of the bromine manufacturers in Shouguang City do not have land use and planning approval
documents and lease their land parcels from the village associations. They are facing the same issues in connection with land use and
planning as the Company. To the Company’s knowledge, the local government has submitted its plan to solve the issues to higher authority
and are waiting for approval from the higher authority.

The Company is in the process
of resolving the issues in connection with SCHC’s land use and planning diligently. The Company has been in discussions closely
with the local government authorities with the help from Shouguang City Bromine Association to seek reliefs and, based on verbal confirmation
by local government authorities, believes the administrative penalties imposed by the Bureau according to the Written Decisions are being
re-assessed by local government authorities and may be revoked. Pursuant to a Written Application dated October 28, 2019 addressed to
the Court by the Bureau, the Bureau withdrew its application for the enforcement proceedings regarding the administrative penalty imposed
on Factory No. 7, Factory No. 8 and Factory No.10. Pursuant to a written decisions of administrative ruling captioned (2019) Lu 0783 Xing
Shen No. 389 Zhi Yi, dated November 25, 2020, the Court orders to terminate the enforcement of the case captioned (2019) Lu 0783 Xing
Shen No