Company: MASK
Filing Date: 2025-06-24
Form Type: F-1
Source: 0001185185-25-000685
Chunk: 96

Company: 3 E Network Technology Group Ltd
Filing Date: 2025-06-24
Form: F-1
Chunk 96
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 the approval from governmental authorities and limitation of amount, or we may make additional capital contributions
to our wholly foreign-owned subsidiaries in mainland China.

Any loans to our wholly foreign-owned subsidiaries
in mainland China, which are treated as foreign-invested enterprises under PRC law, are subject to PRC regulations and foreign exchange
loan registrations. For example, loans by us to our wholly foreign-owned subsidiaries in mainland China to finance their activities must
be registered with the local counterpart of SAFE. In addition, a foreign invested enterprise shall use its capital pursuant to the
principle of authenticity and self-use within its business scope. The capital of a foreign invested enterprise shall not be used for the
following purposes: (i) directly or indirectly used for payment beyond the business scope of the enterprises or the payment prohibited
by relevant laws and regulations; (ii) directly or indirectly used for investment in securities or investments other than banks’
principal-secured products unless otherwise provided by relevant laws and regulations; (iii) the granting of loans to non-affiliated
enterprises, except where it is expressly permitted in the business license; and (iv) paying the expenses related to the purchase
of real estate that is not for self-use (except for the foreign-invested real estate enterprises).

SAFE promulgated the Notice of the State Administration
of Foreign Exchange on Reforming the Administration of Foreign Exchange Settlement of Capital of Foreign-invested Enterprises, or SAFE
Circular 19, effective June 2015, in replacement of the Circular on the Relevant Operating Issues Concerning the Improvement
of the Administration of the Payment and Settlement of Foreign Currency Capital of Foreign-Invested Enterprises, the Notice from the State
Administration of Foreign Exchange on Relevant Issues Concerning Strengthening the Administration of Foreign Exchange Businesses, and
the Circular on Further Clarification and Regulation of the Issues Concerning the Administration of Certain Capital Account Foreign Exchange
Businesses. According to SAFE Circular 19, the flow and use of the RMB capital converted from foreign currency-denominated registered
capital of a foreign-invested company is regulated such that RMB capital may not be used for the issuance of RMB entrusted loans, the
repayment of inter-enterprise loans or the repayment of banks loans that have been transferred to a third party. Although SAFE Circular
19 allows RMB capital converted from foreign currency-denominated registered capital of a foreign-invested enterprise to be used for equity
investments within mainland China, it also reiterates the principle that RMB