Company: JL
Filing Date: 2025-07-28
Form Type: 20-F
Source: 0001213900-25-068049
Chunk: 31

Company: J-Long Group Ltd
Filing Date: 2025-07-28
Form: 20-F
Item: Item 3
Chunk 31
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 will be costly and time consuming and will distract our management
from developing our growth. If such allegations are not proven to be groundless, we and our business operations will be severely affected
and you could sustain a significant decline in the value of our shares.

To
the extent cash or assets in the business is in our Hong Kong Operating Subsidiary, the funds or assets may not be available to
fund operations or for other use outside of the PRC or Hong Kong due to oversight on or the imposition by the PRC government of
restrictions and limitations on our ability and the ability of our subsidiaries to transfer cash or assets.

As
of the date of this Annual Report, there are no restrictions or limitations imposed by the Hong Kong government on the transfer
of capital within, into and out of Hong Kong (including funds from Hong Kong to our subsidiaries), except for the transfer
of funds involving money laundering and criminal activities. However, there is no guarantee that the Hong Kong government will not
promulgate new laws or regulations that may impose such restrictions in the future.

As a result of the above,
to the extent cash or assets in our business is in the PRC or Hong Kong or in our HK Operating Subsidiary, the funds or assets may
not be available to fund operations or for other use outside of the PRC or Hong Kong due to oversight on or the imposition by the
PRC government of restrictions and limitations on our ability and the ability of our subsidiaries to transfer cash or assets.

If
the Chinese government chooses to exert greater oversight and control over offerings that are conducted overseas and/or foreign investment
in China based issuers, such action could significantly limit or completely hinder our ability to offer or continue to offer securities
to overseas investors and cause such securities to significantly decline in value or to be worthless.

Although
we do not conduct any operations in mainland China, recent statements by the Chinese government have indicated an intent to exert more
oversight and control over offerings that are conducted overseas and/or foreign investments in China based issuers. Effective February
15, 2022, the PRC adopted rules that require companies collecting or holding large amounts of data to undergo a cybersecurity review
prior to listing in foreign countries, a move that significantly tightens oversight over China based Internet giants. Pursuant to Article
7 of the Measures for Cybersecurity Review (2021 Version), companies holding data on more than 1 million users must now apply for cybersecurity
approval when seeking listings in other nations due