Document:

EXHIBIT 10.53

 

Deed of
Settlement

 

THIS DEED is made the 28th
day of October 2013

 

BETWEEN:

 

		(1)	China motion telecom international LIMITED, a
company incorporated in Bermuda with limited liability, the head office and principal place of business of which in Hong Kong is
at Rooms 3505-3506, 35th Floor, Edinburgh Tower, The Landmark, 15 Queen’s Road Central, Central, Hong Kong (“Listco”);

 

		(2)	china motion holdings limited, a company incorporated
in the British Virgin Islands with limited liability, the registered office of which is at P.O. Box 71, Craigmuir Chambers, Road
Town, Tortola, British Virgin Islands (“Holdings”);

 

		(3)	chinamotion infoservices limited, a company
incorporated in the British Virgin Islands with limited liability, the registered office of which is at P.O. Box 957, Offshore
Incorporations Centre, Road Town, Tortola, British Virgin Islands (“CMInfo”);

 

		(4)	velatel global communications, inc., a company
incorporated in the United States, the registered office of which is at 5950 La Place Court, Suite 160, Carlsbad, CA, 92008, USA
(“VelaTel”); and

 

		(5)	gulfstream capital partners ltd., a company
incorporated in Seychelles with limited liability, the registered office of which is at 1st Floor, #5 DEKK House, De
Zippora Street, P.O. Box 456, Povidence Industrial Estate, Mahe, Republic of Seychelles (“Buyer”).

 

WHEREAS:

 

		(A)	China Motion Telecom (HK) Limited (“CMTHK”) is a company incorporated in Hong Kong
with limited liability. As at the date hereof, CMTHK has an authorised share capital of HK$390,000,000.00 divided into 390,000,000
ordinary shares of HK$1.00 each (each a “CMTHK Share”), of which 378,467,031 CMTHK Shares have been issued
and are fully paid up or credited as fully paid. CMTHK became a wholly-owned subsidiary of Buyer as from 1 March 2013.

 

		(B)	CMInfo is a 95% subsidiary of Holdings.

 

		(C)	Holdings is a wholly-owned subsidiary of Listco, the issued shares of which are listed on the Main
Board of the Stock Exchange.

 

		(D)	Buyer is a wholly-owned subsidiary of VelaTel.

 

		(E)	On 27 November 2012, Listco, Holdings and CMInfo on the one part, and Buyer on the other part, entered
into the SPA for the purchase of 100% of the stock of CMTHK (the “Sale Shares”). On the same day, the Corporate
Guaranty was executed by VelaTel in favour of Holdings and CMInfo (collectively, the “Sellers”) guaranteeing
each and every obligation of the Buyer under the SPA. The SPA and the Corporate Guaranty were subsequently varied and amended by
the First Amendment and the Second Amendment.

 

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		(F)	The First Amendment dated 4 February 2013 was entered into among, inter alios, (a) Listco; (b) the
Sellers; (c) the Buyer; and (d) VelaTel to the effect that the Outside Closing Date (as defined in the SPA) was extended to 28
February 2013 at the request of Buyer and VelaTel for additional time for them to raise sufficient fund to close the transaction
of the sale and purchase of the Sale Shares. In consideration of the aforesaid extension, it was agreed by the parties to the First
Amendment that the purchase price for the Sale Shares was increased from HK$45,000,000 to HK$45,405,000 and a further deposit of
the sum of HK$1,170,000 in escrow was payable by the Buyer to the Sellers.

 

		(G)	The Buyer and VelaTel failed to timely make payment to close the transaction under the First Amendment.
Upon the request of the Buyer and VelaTel, the parties entered into a Second Amendment.

 

		(H)	The Second Amendment dated 3 March 2013 which took effect on 1 March 2013 was entered into among,
inter alios, (a) Listco; (b) the Sellers; (c) the Buyer; and (d) VelaTel. It was agreed by the parties to the Second Amendment
that the total purchase price for the Sale Shares was further increased to HK$49,500,000 which comprised of (a) HK$4,646,862.55
held in escrow by the agreed escrow agent; (b) HK$7,362,500 paid as further down payment at closing of the SPA (as amended by the
First Amendment and the Second Amendment); and (c) HK$37,490,637.45 being a part of a promissory note in the amount of HK$38,990,637.45
issued by VelaTel.

 

		(I)	Pursuant to the Second Amendment, a promissory note dated 1 March 2013 (the “Promissory Note”)
for a total sum of HK$38,990,637.45 was issued by VelaTel in favour of the Sellers by which VelaTel promised to pay to the order
of the Sellers the principal sum of HK$37,490,637.45 being partial consideration of the Sale Shares, plus interest accrued thereon
in an aggregate sum of HK$1,500,000, of which HK$4,650,000 to be paid on or before 31 May 2013 and the balance of HK$34,340,637.45
on or before 31 August 2013 on the terms contained in the Promissory Note.

 

		(J)	In further pursuance of the Second Amendment, a Stock Pledge Deed and Stock Escrow Agreement dated
3 March 2013 (which took effect as from 1 March 2013) (the “Stock Pledge Agreement”) was executed between the
Sellers and the Buyer whereby, among other things, the Buyer has pledged an aggregate of 378,467,031 ordinary shares of HK$1.00
each in the issued capital of CMTHK to the Sellers as security for the due and punctual payment of the Promissory Note and all
obligations of the Buyer under the Stock Pledge Agreement. The Stock Pledge Agreement was agreed by the parties to take effect
as from 1 March 2013.

 

		(K)	Upon the non-payment of the HK$4,650,000 on or before 31 May 2013, the Sellers issued a default notice
to the Buyer and VelaTel on 1 June 2013, and the Sellers eventually received the said sum of HK$4,650,000 before 28 June 2013.

 

	 	 	 

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		(L)	Both the Buyer and VelaTel have failed to pay to the Sellers the balance of HK$34,340,637.45 (the
“Outstanding Amount”) or any part thereof on or before 31 August 2013 or at all, which the Sellers assert is
in breach of the SPA (as varied and amended by the First Amendment and the Second Amendment), the Corporate Guaranty and the Stock
Pledge Agreement or in accordance with the terms of the Promissory Note (the “Default”).

 

		(M)	On 5 September 2013, Statutory Demands in respect of the Outstanding Amount due by VelaTel to the
Sellers (the “Statutory Demands”) were duly served on VelaTel and its President, Mr. Colin Tay.

 

		(N)	On the same day, the Sellers delivered to the Buyer and VelaTel the Default Notice (as defined in
the Stock Pledge Agreement) in respect of the Default.

 

		(O)	Up to the date of this Deed, both the Buyer and VelaTel still fail to pay to the Sellers the Outstanding
Amount or any part thereof or at all.

 

		(P)	On 20 July 2013, VelaTel and the Buyer as claimants instituted arbitration proceedings in the Hong
Kong International Arbitration Centre (“HKIAC”) intituled HKIAC/PA 13105 (the “Arbitration Proceedings”)
against Listco and the Sellers in relation to alleged breaches by Listco and the Sellers of the SPA (as varied and amended by the
First Amendment and the Second Amendment) and claimed in its Notice of Arbitration for, inter alia, specific performance of the
SPA (as varied and amended by the First Amendment and the Second Amendment) and loss and damages allegedly suffered by VelaTel
and the Buyer.

 

		(Q)	On 26 August 2013, Listco and the Sellers have submitted their Response to the Notice of Arbitration
denying any alleged breaches on their part of the SPA (as varied and amended by the First Amendment and the Second Amendment) and
any relief claimed by VelaTel and/or the Buyer.

 

		(R)	In consideration of the mutual undertakings, covenants and agreements hereinafter set out and without
prejudice to the rights and remedies available to the Sellers under the SPA (as varied and amended by the First Amendment and Second
Amendment to the SPA), the Corporate Guaranty, the Stock Pledge Agreement and the Promissory Note, Listco, the Sellers, the Buyer
and VelaTel have entered into this Deed to resolve the aforesaid matters and disputes subject to and upon the terms and conditions
herein contained.

 

IT IS HEREBY AGREED:

 

		1.	INTERPRETATION

 

		1.1	In this Deed (including the Recitals and Schedules), unless the context otherwise requires or permits,
the following words and expressions shall have the meanings ascribed to each of them respectively below:

 

	“associates”	has the meaning ascribed to this term under the Listing Rules
	 	 
	“Business
Day”	a day (other than a Saturday, Sunday or public holiday) on which licensed banks are open for business in Hong Kong
throughout their normal business hours

 

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	“Buyer
Parties”	together the Buyer and VelaTel
	 	 
	“Corporate
Guaranty”	the corporate guaranty dated 27 November 2012 and executed by VelaTel in favour of Holdings and CMInfo, a copy
of which is exhibited hereto as Exhibit “B” and for the purpose of this Deed, if the context requires, shall mean the
Corporate Guaranty as varied and amended by the First Amendment and the Second Amendment
	 	 
	“First
Amendment”	the first amendment to the stock purchase agreement, escrow agreement and corporate guaranty dated 4 February
2013 among (a) Listco; (b) the Sellers; (c) the Buyer; and (d) VelaTel in relation to, among others, the variation and amendments
to certain terms of the SPA and the Corporate Guaranty and a copy of which is exhibited hereto as Exhibit “C”
	 	 
	“Hong
Kong”	the Hong Kong Special Administrative Region of the PRC
	 	 
	“Listing
Rules”	the Rules Governing the Listing of Securities on the Stock Exchange
	 	 
	“Listco
Group”	together Listco, Holdings, CMInfo and their respective subsidiaries and “member of the Listco Group”
shall be interpreted accordingly
	 	 
	“Parties”	the parties to this Deed; and a “Party” means any one of the Parties
	 	 
	“Second
Amendment”	the second amendment to the stock purchase agreement and corporate guaranty dated 3 March 2013 (which took
effect on 1 March 2013) among (a) Listco; (b) the Sellers; (c) the Buyer; and (d) VelaTel in relation to, among others, the variation
and amendments to certain terms of the SPA and the Corporate Guaranty and a copy of which is exhibited hereto as Exhibit “D”
	 	 
	“SPA”	 the agreement dated 27 November 2012 among (a) Listco, (b) Holdings; (c) CMInfo; and (d) the Buyer in relation to the purchase of 100% of the stock of CMTHK, a copy of which is exhibited hereto as Exhibit “A” and for the purpose of this Deed, if the context requires, shall mean the SPA as varied and amended by the First Amendment and the Second Amendment
	 	 
	“Stock Exchange”	The
Stock Exchange of Hong Kong Limited
	 	 
	“this Deed”	this
settlement deed, as amended from time to time
	 	 
	“Transaction
Documents”	the SPA, the Corporate Guaranty, the First Amendment, the Second Amendment, the Stock Pledge Agreement, the Promissory Note and any ancillary documents in relation to the aforesaid documents

 

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	“Warranties”	the
representations, warranties and undertakings set out herein and all other representations, undertakings and warranties provided
by the Buyer or VelaTel under this Deed
	 	 
	“HK$”	Hong Kong dollars, the lawful currency of Hong Kong
	 	 
	“US$”	United States dollars, the lawful currency of the United States of America

 

		1.2	The headings of this Deed are inserted for convenience only and shall be ignored in construing this
Deed. Unless the context otherwise requires, references in this Deed to the singular shall be deemed to include references to the
plural and vice versa; references to one gender shall include all genders and references to any person shall include an individual,
firm, body corporate or unincorporate.

 

		1.3	References to any statute or statutory provision shall include any statute or statutory provision
which amends or replaces or has amended or replaced it and shall include any subordinate legislation made under the relevant statute.

 

		1.4	References in this Deed to clauses and schedules are references to clauses of and schedules to, this
Deed and references to sub-clauses and paragraphs are unless otherwise stated, references to sub-clauses and paragraphs of the
clause, sub-clause or, as appropriate, the schedule in which the reference appears.

 

		1.5	In this Agreement, any reference to a document in the “approved form” is to a form of
the relevant document which is in form and substance satisfactory to Listco.

 

		2.	ACKNOWLEDGMENT

 

		2.1	Each of Parties to this Deed hereby acknowledges and confirms that the matters set out in the Recitals
above are true and correct.

 

		3.	Terms of Settlement

 

		3.1	The Buyer Parties hereby confirm and acknowledge that as at date of this Deed, both the Buyer and
VelaTel have failed to pay to the Sellers the Outstanding Amount or any part thereof or at all.

 

		3.2	In consideration of the Sellers’ forbearance to sue and to initiate legal proceedings against
the Buyer and/or VelaTel for the Default and to recover the Outstanding Amount with interest accrued thereon and/or claims for
damages for breach of the terms of the Transaction Documents, the Buyer agrees to pay to the Sellers a sum of HK$34,340,637.25
by way of one or more banker’s drafts and/or wire transfers issued by a licensed bank(s) in Hong Kong in favour of the Sellers
(the “Settlement Sum”) forthwith upon the signing of this Deed to the following account:

 

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	Bank	Account holder	Account number	
        Currency

         

	The Hong Kong and Shanghai Banking Corporation Limited	China Motion Holdings Limited	026-272005-001	
        HKD

 

		3.3	All payments made or to be made by the Buyer Parties under this Deed shall be made in cleared funds,
without any deduction and free and clear of and without deduction for or on account of any taxes, levies, imports, duties, charges,
fees and withholdings of any nature now or hereafter imposed by any governmental or other authority.

 

		3.4	Upon the execution of this Deed, the Listco Group (including their shareholders, employees, directors
(including the director(s) of CMTHK nominated by the Listco Group) and advisors) shall be released and discharged absolutely without
any recourse by VelaTel and the Buyer from, and VelaTel and the Buyer shall waive and forgo, any or all past, present or future,
actual or contingent, liabilities, obligations, claims, demands, actions, suits, proceedings, costs, expenses, or fees of whatsoever
nature or howsoever arising out of or related to any or all claims that the Buyer and VelaTel and/or their respective associates
have or may have against the Listco Group (including their shareholders, employees, directors and advisors) under or otherwise
in relation to or in connection with any of the Transaction Documents and/or any transactions contemplated thereunder, including
but not limited the Arbitration Proceedings.

 

		3.5	The Buyer and VelaTel shall within 7 days from the date of the execution of this Deed discontinue
the Arbitration Proceedings with no order as to costs, and shall pay any administrative or other fees imposed by HKIAC in connection
with the Arbitration Proceedings on any of the parties to the Arbitration Proceedings and provide such written evidence to Listco
and the Sellers in relation to the discontinuance to the satisfaction of Listco and the Sellers. 

 

		3.6	The Sellers shall within 7 days from the date of the execution of this Deed authorise its director
representative of CMTHK to sign on the written resolutions of the Board of Directors of CMTHK in substantially the form as Annexure
1 hereto to change the bank mandates.

 

		3.7	The Buyer Parties shall deliver to Listco and the Sellers:

 

	 	(a)	written
evidence to the satisfaction of Listco and the Sellers that the Settlement Sum has been duly paid upon execution of this Deed;
and
	 	 	 
	 	(b)	written
evidence to the satisfaction of Listco and the Sellers that the Arbitration Proceedings has been discontinued within 7 days from
the date of execution of this Deed.

 

		3.8	Mutual execution of this Deed shall constitute confirmation by each of the Buyer Parties that there
is no breach of the terms of any of the Transaction Documents (including but not limited to any warranties and representations)
on the part of the Listco Group and the Buyer Parties will not make any claim or otherwise allow any third party to make any claim
against any member of the Listco Group (including their shareholders, employees, directors and advisors) in respect of any matters
or issues arising out of or in connection with or incidental to any of the Transaction Documents and/or any disputes, claims, actions,
proceedings or suits of any nature whatsoever or howsoever arising (whether under common law, equity or statute or otherwise and
whether in Hong Kong or elsewhere), whether past, present or future, actual or contingent.

 

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		3.9	Mutual execution of this Deed, subject to the delivery of the documents by the Buyer Parties in accordance
with Clause 3.7 above, shall constitute confirmation from the Sellers that:

 

	 	(a)	the Statutory
Demands and the Default Notice are withdrawn; and
	 	 	 
	 	(b)	the collateral
security under the Stock Pledge Agreement is released.

 

		3.10	Notwithstanding any provisions contained in any of the Transaction Documents, each of the Buyer Parties
hereby confirms and declares that any and all representations, warranties and/or undertakings of any of the Listco and/or the Sellers
under any of the Transaction Documents are deemed to have duly expired on 31 August 2013. Each of the Buyer Parties hereby further
confirms and declares that there has been no breach of any of the terms and conditions of any of the Transaction Documents (including
but not limited to any warranties and representations) on the part of the Listco Group and each of the Buyer Parties shall not
make any claim or otherwise allow any third party to make any claim against any member of the Listco Group (including their shareholders,
employees, directors and advisors) in respect of any matters or issues arising out of or in connection with or incidental to any
of the Transaction Documents and/or any disputes, claims, actions, proceedings or suits of any nature whatsoever or howsoever arising
(whether under common law, equity or statute or otherwise and whether in Hong Kong or elsewhere), whether past, present or future,
actual or contingent. For the avoidance of doubt, neither the Listco nor the Sellers shall be deemed to have given any representations
and/or warranties regarding CMTHK under this Deed and none of the clauses of this Deed shall be deemed as any representations and/or
warranties made by any of the Listco Group in respect of any matters in relation to or otherwise in connection with CMTHK.

 

		4.	Full and final settlement

 

The terms set out
herein are full and final settlement of all the Parties’ actual or contingent claims, whether past, present and /or future,
against each other in connection with or incidental to any of the Transaction Documents and/or any disputes, claims, actions, proceedings
or suits of any nature whatsoever or howsoever arising (whether under common law, equity or statute or otherwise and whether in
Hong Kong or elsewhere) in relation thereto and none of the parties shall be entitled to make any claim or bring any legal proceedings
against each other in relation thereto in the future.

 

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		5.	EVENTS OF DEFAULT

 

		5.1	Without prejudice to the terms set out in this Deed, there shall be an event of default (an “Event
of Default”) if any one of the following events shall have occurred or is continuing:

 

	 	(a)	the
Buyer Parties fail to duly perform or observe any of its obligations under this Deed;
	 	 	 
	 	(b)	any
of the representations or Warranties by any of the Buyer Parties contained in this Deed or made pursuant hereto or thereto proves
to have been untrue or incorrect when made or deemed to have been made;
	 	 	 
	 	(c)	the
Buyer Parties fail to pay in accordance with the terms of this Deed any sums hereunder when they fall due;
	 	 	 
	 	(d)	any
decree or order is made by any competent court adjudging any of the Buyer Parties insolvent or bankrupt under the insolvency or
bankruptcy laws of any jurisdiction to which it may be subject or any order or application is made for the appointment of any liquidator,
receiver, trustee, curator or sequestrator or other similar official of any of the Buyer Parties in respect of all or a substantial
part of its assets;
	 	 	 
	 	(e)	prior
to or within 90 days following payment of the Settlement Sum to the Sellers, any of the Buyer Parties becomes insolvent, is unable
to, or shall admit inability to pay its debts as they fall due; stops payment to creditors generally; disposes or threatens to
dispose of all or a substantial part of its assets; proposes or takes any action for readjustment, rescheduling, deferral or a
moratorium of all or part of his/her/its debts; proposes or enters into any composition, arrangements with or any assignment for
the benefit of its creditors generally;
	 	 	 
	 	(f)	prior
to or within 90 days following payment of the Settlement Sum to the Sellers, a distress, attachment, execution or other legal process
is levied, enforced or sued out on or against all or any part of the assets of any of the Buyer Parties;
	 	 	 
	 	(g)	all
necessary consent, approval and authorisation of any governmental and/or regulatory authorities thereof required for or in connection
with the execution, delivery, performance, legality, validity, enforceabililty or admissibility in evidence of this Deed is revoked
or withheld or materially modified or otherwise ceases to be in full force and effect;
	 	 	 
	 	(h)	this
Deed ceases to be in full force and effect or the validity or enforceability thereof or any indebtedness or any other obligation
of any of the Buyer Parties or other obligor hereunder or thereunder is disaffirmed by or on behalf of any of the Buyer Parties
or such obligor;
	 	 	 
	 	(i)	any
step is taken by any person for the winding-up, liquidation, dissolution or bankruptcy of any of the Buyer Parties;
	 	 	 
	 	(j)	any
action or proceeding of or before any court or authority shall be commenced (and not withdrawn or dismissed within a period of
twenty-one (21) days after its commencement) to enjoin or restrain the performance of and compliance with any obligations expressed
to be assumed by any of the Buyer Parties in this Deed or in any event to question the right and power of any of the Buyer Parties
to enter into, exercise its rights under and perform and comply with any obligations expressed to be assumed by any of them in
this Deed or the legality, validity and enforceability of this Deed ; or
	 	 	 
	 	(k)	it is
or will become unlawful for any of the Buyer Parties to perform or comply with any one or more of its obligations under this Deed.

 

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		5.2	The Buyer Parties shall immediately notify Listco and the Sellers forthwith in writing of any occurrence
of an Event of Default.

 

		5.3	In each and every case that an Event of Default occurs, Listco and the Sellers shall be remitted to
and be entitled to forthwith exercise and enforce against the Buyer Party(ies) and their respective assets in respect of the Outstanding
Amount and any interest accrued thereon and/or any outstanding balance thereof together all such rights and remedies as Listco
and/or the Sellers would have been entitled to exercise as if this Deed had never been entered into.

 

		6.	GENERAL warranties and undertaking

 

		6.1	Each of the Parties hereby irrevocably warrants to each other that:-

 

		(A)	it has full power, authority and legal capacity to enter into and execute this Deed, and to perform
the obligations herein provided;

 

		(B)	the execution and performance of this Deed does not contravene any agreement to which it is a party;
and

 

		(C)	this Deed shall be binding in all respects on its successors and assigns.

 

		6.2	Each of the Parties undertakes to the other parties that it shall not describe or in any way hold
itself out as being the agent of the other parties, and shall not allow its affiliates to do so. Each of the Parties further declares
and warrants that it shall in no circumstances have any power to enter into any transaction on behalf of or in any other way to
bind the other Parties.

 

		6.3	Each of the Buyer Parties hereby irrevocably covenants with, warrants and undertakes to the Listco
and the Sellers that any obligation to be performed hereunder by the Buyer Parties shall be deemed to be an obligation imposed
on and an agreement made by each of Buyer Parties jointly and severally.

 

		7.	NOTICES

 

Any notice required
to be given under this Deed shall be in English and in writing, and shall be taken as duly served if left at or sent by registered
or recorded delivery post to the addressee thereof, at its address first before stated or at such other address as may have been
last notified in writing by or on behalf of any such party to the other party or parties to this Deed. Any such notice shall be
deemed to be served at the time when such notice is left at the address of the party to be served and, if served by post, on the
fifth (5) day (not including a Sunday or public holiday) next following the day of posting.

 

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		8.	INDEMNITY FOR BREACH

 

Each of the Buyer
Parties hereby indemnifies, and shall keep indemnified, each of members of the Listco Group against all costs and damages (including
their entire legal expenses) howsoever incurred, due to its failure to perform any of its obligations pursuant to this Deed.

 

		9.	COSTS
                                                                                                                  AND EXPENSES

 

			All costs and expenses, including, but not
limited to, fees and disbursements of legal advisors, counsel, financial advisors and/or accountants engaged by Listco and the
Sellers, incurred in connection with the preparation and negotiation of this Deed and incurred by the Listco Group in connection
with the Arbitration Proceedings and issuing the Statutory Demands and the Default Notice, agreed at HK$850,000 shall be borne
solely by the Buyer Parties to be paid to Listco and the Sellers within 7 days upon signing hereof.

 

		10.	general provisions

 

		10.1	Each party agrees to perform (or procure the performance of) all further acts and things, and to execute
and deliver (or procure the execution and delivery of) such further documents, as may be required by law or as may be necessary
or reasonably desirable to implement and/or give effect to this Deed.

 

		10.2	This Deed constitutes the entire agreement between the parties with respect to the subject matter
of this Deed and supersedes and extinguishes any representations, warranties, agreements, understandings and negotiations previously
given or made other than those contained in this Deed. It is agreed that no party has entered into this Deed in reliance upon any
representation, warranty or undertaking of any other party which is not expressly set out or referred to in this Deed.

 

		10.3	If any particular provision or part of this Deed shall be held to be invalid or unenforceable, then
such provision shall (so far as invalid or unenforceable) be given no effect and shall be deemed not to form part of this Deed
but without invalidating any of the remaining provisions of this Deed. The parties agree that they shall use all reasonable endeavours
to replace any invalid or unenforceable provisions by a valid and enforceable substitute provision the effect of which is as close
as possible to the intended effect of the invalid or unenforceable provision.

 

		10.4	This Deed may be executed in any number of counterparts, all of which taken together are deemed to
constitute one and the same document. Satisfactory evidence of execution of this Deed will include evidence by facsimile of execution
by the relevant party and in such case the executing party undertakes to produce the original as soon as reasonably practicable
thereafter.

 

		10.5	Nothing in this Deed shall preclude a Party’s right to bring proceedings for the enforcement
of the terms of this Deed.

 

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		10.6	Without prejudice to a party’s right to claim damages for any breach or non-compliance of this
Deed, it is agreed that the terms of this Deed shall be specifically enforceable.

 

		10.7	The execution and performance of this Deed is not, and shall not be construed as, any admission of
any liability, validity or quantum on the part of any party.

 

		10.8	Time shall in every respect be of the essence of this Deed but no failure on the part of the Listco
Group to exercise, and no delay on its part in exercising any right hereunder shall operate as a waiver thereof, nor will any single
or partial exercise of any right under this Deed by the Listco Group preclude any other or further exercise of it or the exercise
of any other right or prejudice or affect any right against any the Buyer Parties under the same liability, whether joint, several
or otherwise. The rights and remedies provided in this Deed are cumulative and not exclusive of any rights or remedies provided
by law.

 

		11.	Governing Law and jurisdiction

 

			This Deed shall
be governed by and construed and take effect in accordance with the laws of Hong Kong. Each of the parties irrevocably submits
to the non-exclusive jurisdiction of the courts of Hong Kong for the determination of any question, dispute, suit, action or proceedings
arising out of or in connection with this Deed.

 

		12.	PROCESS AGENT

 

			Each of the Buyer
Parties hereby confirms that it has appointed Mr. Lawrence Lo of Room 1307, Tower 1, Lippo Centre, No. 89 Queensway, Admiralty,
Hong Kong as its agent to receive and acknowledge on its behalf service of any writ, summons, order, judgment or other legal process
in Hong Kong. If for any reason the agent named above or (its successor) no longer serves as agent of the Buyers Parties for this
purpose, the Buyer Parties shall promptly appoint a successor agent and notify the Listco Group, failing which the Listco Group
shall be entitled to treat the last known agent as valid. Each of the Buyer Parties hereby agrees that any such legal process shall
be sufficiently served on it if delivered to such agent for service at its address for the time being in Hong Kong whether or not
such agent gives notice thereof to the Buyer Parties.

  

IN WITNESS whereof, the parties
hereof have duly executed this Deed the day and year first above written.

 

	
        EXECUTED and DELIVERED

        as a DEED under the

        COMMON SEAL of

        China motion telecom
        international LIMITED

        and SIGNED by JI ZU GUANG

        its Director

        in the presence of :-

         
	
        )

        )

        )

        )

        )

        )

        )
	
         

         

         

        /s/ Ji Zu Guang
	 

 

 

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        EXECUTED and DELIVERED

        as a DEED under the

        COMMON SEAL of

        china motion holdings
        limited

        and SIGNED by JI ZU GUANG

        its Director

        in the presence of :-

         
	
        )

        )

        )

        )

        )

        )

        )
	
         

         

         

        /s/ Ji Zu Guang
	 

 

	
        EXECUTED and DELIVERED

        as a DEED under the

        COMMON SEAL of

        chinamotion infoservices
        limited

        and SIGNED by JI ZU GUANG

        its Director

        in the presence of :-

         
	
        )

        )

        )

        )

        )

        )

        )
	/s/ Ji Zu Guang	
         

         

         

        

 

	
        EXECUTED as a DEED

        and signed by COLIN
        TAY

        its President

        for and on behalf of

        velatel global communications,
        inc. 

        in the presence of :-

         
	
        )

        )

        )

        )

        )

        )

         
	
         

         

         

        /s/ Colin Tay
	 

 

	
        EXECUTED as a DEED

        and SIGNED by COLIN TAY

        its director

        for and on behalf of

        gulfstream capital partners
        ltd. 

        in the presence of :-

         
	
        )

        )

        )

        )

        )

        )

         
	
         

         

         

        /s/ Colin Tay
	 

 

    	12EXHIBIT 10.54

 

THIS LOAN AGREEMENT is dated the 28th day of October
2013

 

BETWEEN:

 

		(1)	Gulfstream Capital Partners Ltd.,
a company incorporated in Seychelles with limited liability, the registered office
of which is at 1st Floor, #5 DEKK House, De Zippora Street, P.O. Box 456, Povidence Industrial Estate, Mahe, Republic of Seychelles
(the “Borrower”); 

 

		(2)	XIN HUA,
holder of PRC Identity Card Number 522501197702277338, of 37/F, 500 Chengdu North Road, Huangpu District, Shanghai, PRC (the “Lender”);
and

 

		(3)	VELATEL GLOBAL COMMUNICATIONS, INC., a company incorporated in the
United States, the registered office of which is at 5950 La Place Court, Suite 160, Carlsbad, CA, 92008, USA (the “Guarantor”).

 

WHEREAS:

 

		(A)	The Borrower has requested the Lender to make available to the Borrower a loan in the principal sum of HK$26,540,637.45 which
shall be paid on behalf of the Borrower to China Motion Holdings Limited (“Holdings”) and ChinaMotion InfoServices
Limited (“CMInfo”, Holdings and CMInfo collectively the “Sellers”), both companies incorporated
in the British Virgin Islands with limited liability, for the sole and exclusive purpose of financing the partial payment of the
Settlement Sum by the Borrower to the Sellers pursuant to the Settlement Deed.

 

		(B)	In consideration of the Lender agreeing to enter into this Agreement, the Guarantor has agreed to guarantee in favour of the
Lender the due and punctual performance of the obligations of the Borrower under this Agreement subject to and upon the terms and
conditions of this Agreement.

 

		(C)	This Agreement sets out the terms and conditions subject to which the Lender will make available the Loan to the Borrower.

 

		1.	INTERPRETATION

 

 1.1          In this Agreement (including the Schedules), the following expressions shall, except where the context otherwise requires, have the meanings attributed to them respectively below:

 

	“Arbitration Proceedings”	means the arbitration proceedings
commenced by the Borrower and the Guarantor in the Hong Kong International Arbitration Centre against Listco, Holdings and CMInfo
and intituled HKIAC/PA 13105
	 	 
	“Business Day”	a
day (other than a Saturday, Sunday or public holiday) on which licensed banks in Hong Kong are generally open for business throughout
their normal business hours
	 	 

 

    	1

    	 

    

 

	 	 
	“China Mortion” or “Company”	means
China Motion Telecom (HK) Limited, a company incorporated in Hong Kong with limited liability having its registered office at Suits
1105-1106, 11/F, Chinachem Golden Plaza, 77 Mody Road, Tsim Sha Tsui East, Kowloon, Hong Kong with company no. of 450483
	 	 
	“Drawdown Date”	the
date of drawdown of the Loan as specified in the Notice of Drawing
	 	 
	“Encumbrance”	means any mortgage, charge (whether
fixed or floating), pledge, lien, hypothecation, assignment, security interest, or other encumbrance of any kind securing, or
any right conferring a priority of payment in respect of, any obligation of any person, and any other preferential arrangement
resulting in a secured transaction or having the same economic or legal effect as any of the foregoing or the interest of a vendor
or lessor under any conditional sale agreement, lease, hire purchase agreement or other title retention arrangement or any agreement
to give any of the foregoing;
	 	 
	“Event(s) of Default”	any
one or more of the events specified in Clause 12 or any act or event which with the giving of notice and/or the lapse of time and/or
the fulfilment of any other condition would become one or more of such events
	 	 
	“First Instalment”	has
the meaning ascribed thereto in Clause 6.1(a)
	 	 
	“Hong Kong”	the
Hong Kong Special Administrative Region of the PRC
	 	 
	“Indebtedness”	 means
any obligation for the payment or repayment of money, whether as principal or as surety and whether present or future, actual or
contingent, secured or unsecured;
	 	 
	“Listco”	means
China Motion Telecom International Limited, a company incorporated in Bermuda with limited liability, the issued shares of which
are listed on the Main Board of The Stock Exchange of Hong Kong Limited
	 	 
	“Loan”	the principal amount of HK$26,540,637.45
to be advanced by the Lender to the Borrower subject to and upon the terms and conditions of this Agreement, or as the case may
be, the aggregate amount outstanding, at any relevant time, of all moneys owing to the Lender in respect thereof plus the bank
charges or wiring fees incurred by the Lender in the course of transmitting the principal amount to the payee of the Loan
	 	 
	“Notice of Drawing	the notice of drawing in the form
set out in Schedule 3

 

    	2

    	 

    

 

	“Option Deed”	means the option deed to be made
between the Borrower and the Lender pursuant to which the Borrower has granted a call option to the Lender for the acquisition
by the Lender from the Borrower the entire issued share capital of China Motion and including any supplement or amendment made
from time to time, such option deed shall be in form and substance to the satisfaction of the Lender;
	 	 
	“PRC”	the People’s Republic of China,
for the purpose of this Agreement, excluding the Hong Kong Special Administrative Region, Macau Special Administrative Region
and Taiwan
	 	 
	“Repayment Date”	28 February 2014 being the date
of repayment of the Second Instalment, or where relevant, the date referred to in Clause 6.2 or 12.2 when the Loan and all monies
payable under this Agreement shall be due and payable
	 	 
	“Second Instalment”	has the meaning ascribed thereto
in Clause 6.1(b)
	 	 
	“Secured Indebtedness”	means, collectively, the Loan and
interest thereon, fees, expenses and all other moneys due or to become due from the Borrower to the Lender from time to time and
at any time under this Agreement and/or any Security Documents;
	 	 
	“Security Documents”	means the Share Charge, the Option
Deed and any and all other security documents as may be required by the Lender from time to time executed by the parties thereto
(other than the Lender) pursuant to Clause 18, and a “Security Document” means each or any one of them, as
the context requires;
	 	 
	“Settlement Deed”	means the settlement deed dated
28 October 2013 and made between Listco, Holdings, CMInfo, the Borrower and the Guarantor wherein the Borrower has agreed, inter
alia, to pay to the Sellers the Settlement Sum and discontinue the Arbitration Proceedings subject to the terms and conditions
therein contained;
	 	 
	“Settlement Sum”	shall have the meaning ascribed
to it under the Settlement Deed
	 	 
	“Share Charge”	means
the share charge to be executed by the Borrower in favour of the Lender pursuant to which the Borrower shall create a first fixed
charge over the entire issued share capital of China Motion and including any supplement or amendment made from time to time, such
Share Charge shall be in form and substance to the satisfaction of the Lender;
	 	 
	“this Agreement”	this
loan agreement for the Loan, as amended from time to time
	 	 
	“HK$” or “HKD”	Hong Kong dollars, the
lawful currency of Hong Kong

 

 

    	3

    	 

    

 

 1.2          Except to the extent that the context requires otherwise, any reference in this Agreement to:

 

		(1)	an “agency” of a state or government means any ministry, agency, board, bureau, commission, department,
authority, statutory corporation (whether autonomous or not) or other instrumentality of or any corporation or other entity owned
or controlled by such state or government;

 

		(2)	“assets” include present and future properties, revenues and rights of every description;

 

		(3)	any document shall include that document as in force for the time being and as amended in accordance with the terms thereof
or with the agreement of the parties thereto and with the consent of the Lender, if required hereunder;

 

		(4)	any enactment shall include any such enactment as re-enacted, amended, extended, consolidated or replaced from time to time;

 

		(5)	“laws and regulations” shall include all constitutional provisions, treaties, conventions, statutes, acts,
laws, decrees, ordinances, subsidiary and subordinate legislation, orders, rules and regulations having the force of law, rules
of civil and common law and equity, directives, instructions, notifications, circulars, policy statements and guidelines (whether
or not having the force of laws) and other similar authorities;

 

		(6)	a “person” includes any individual, company, corporation, firm, partnership, joint venture, association,
organisation, unit or trust (in each case, whether or not having separate legal identity); and

 

		(7)	“tax” includes any present or future tax, levy, impost, duty, charge, fees, deduction or withholding of
any nature and whatever called, by whomsoever, on whomsoever and wherever imposed, levied, collected, withheld or assessed.

 

1.3          The headings in this Agreement are inserted for convenience
only and shall be ignored in construing this Agreement. Unless the context otherwise requires, references in this Agreement to
the singular shall be deemed to include references to the plural and vice versa and references to one gender shall include
all genders.

 

1.4          References in this Agreement to Clauses
and Schedules are references to clauses of and schedules to, this Agreement.

 

2.            THE LOAN

 

2.1          Subject to and upon the
terms and conditions of this Agreement, the Lender hereby agrees to make available to the Borrower the Loan in the principal amount
of HK$26,540,637.45 for the sole and exclusive purpose of financing the partial payment of the Settlement Sum pursuant to the Settlement
Deed. The Loan shall be drawn down once in its entire sum on the Drawdown Date.

 

    	4

    	 

    

 

2.2          In consideration of the agreement by the Lender to make the
Loan available to the Borrower under this Agreement, the Borrower hereby covenants with the Lender that it will pay the Secured
Indebtedness in the manner and at the times herein provided for payment thereof.

 

3.            CONDITIONS PRECEDENT

 

3.1          The obligations of the Lender to advance the Loan to the
Borrower shall be expressly subject to the fulfilment of the following conditions precedent:

 

		(1)	all necessary approvals, consents, authorisations and licences in relation to the transactions contemplated under this Agreement
having been obtained;

 

		(2)	all representations and warranties made by the Borrower in this Agreement or in connection herewith shall be true and correct
with the same effect as if made on and as of Drawdown Date with reference to the facts and circumstances then subsisting;

 

		(3)	no Event of Default shall have occurred or potential Event of Default shall have occurred (or would be likely to occur as a
result of the Loan being made);

 

		(4)	the Share Charge having been duly executed by the Borrower;

 

		(5)	the Option Deed having been duly executed by the Borrower and the Lender;

 

		(6)	such other documents, evidence and financial and other information relating to any of the matters contemplated under this Agreement
and the Security Documents as the Lender may require;

 

		(7)	all representations and warranties set out in Clause 9 shall be true and correct as on the Drawdown Date with reference to
the facts and circumstances then existing; and

 

		(8)	the Lender shall have received evidence to its satisfaction that the Loan shall be applied for the sole purpose set out in
Clause 2.1.

 

3.2          This Agreement is to be signed simultaneously upon the Borrower,
the Guarantor and Sellers entering into the Settlement Deed.

 

4.            DRAWING

 

4.1          The Loan must be drawn
in one lump sum within five (5) Business Days from the date of this Agreement by the Borrower serving the Notice of Drawing duly
signed by the Borrower on the Lender prior to the Drawdown Date.

 

4.2          The Notice of Drawing once given under Clause 4.1 shall be
irrevocable and shall oblige the Borrower to make a drawing stated in the Notice of Drawing. For the avoidance of doubt, the Loan
can only be drawn down once in its entire sum.

 

4.3          Subject to the receipt by the Lender the duly issued Notice
of Drawing and the fulfilment of the conditions precedent as set out in Clause 3.1, the Lender will transfer the Loan on behalf
of the Borrower to the designated bank account of the Sellers as set out in Schedule 2 of this Agreement within the first Business
Day immediately after date of the Notice of Drawing.

 

    	5

    	 

    

 

4.4          For the avoidance of doubt, the Lender shall not be obliged
to advance the Loan or any part thereof or at all to the Buyer if Lender is requested to transfer the Loan or any part thereof
to any party or account other than the designated bank account of the Sellers as set out in Schedule 2 of this Agreement

 

5.            INTEREST

 

5.1          Subject to Clause 5.2, the Borrower shall bear no interest
until the Repayment Date.

 

5.2          If the Borrower defaults in repayment on the due date of
any part of the Loan, the Borrower shall pay interest on such overdue sums from the due date until payment in full (before and
after judgment) at the rate of 3% per month. Such interest shall be calculated on the basis of a 30 day month and the actual number
of days elapsed and accrued on a daily basis.

 

6.            REPAYMENT

 

6.1          Without prejudice to Clauses 6.2 and 12.2, the Borrower shall
repay the Loan in two instalments to the bank account in Hong Kong designated by the Lender in the following manner:

 

		(a)	HK$7,800,000 being the first instalment (“First Instalment”), shall be repaid by the Borrower to the Lender
in cash on or before 15 December 2013; and

 

		(b)	the remaining HK$18,740,637.45 (“Second Instalment”) shall be repaid by the Borrower to the Lender on or
before 28 February 2014.

 

6.2           The Borrower may prepay to the Lender the whole or any part
of the Loan by giving to the Lender not less than fourteen (14) Business Days’ notice in writing of its intention to make
such prepayment, specifying the amount to be prepaid and the date on which prepayment is to be made.

 

6.3          A notice of intention to prepay shall not be effective until
actually received by the Lender but once having been given by the Borrower shall be irrevocable and shall oblige the Borrower to
make the specified prepayment and failure to make prepayment in accordance with such a notice shall be an Event of Default.

 

6.4          No amounts prepaid may be re-borrowed.

 

7.            PAYMENTS

 

7.1          All payments to be made by the Borrower to the Lender pursuant
to this Agreement shall be made in HK$ in immediately available funds and, unless expressly provided in this Agreement to the contrary,
shall be made to the Lender by wire transfer with proof of delivery receipt from the initiating bank not later than 11:00 a.m.
(Hong Kong time) on the due date to such account as the Lender may from time to time stipulate in writing.

 

    	6

    	 

    

 

8.            TAXES

 

8.1          All amounts payable by the Borrower hereunder shall be made
without set-off, counterclaim or other deductions and free and clear of and without deduction for or on account of any taxes (other
than tax on the overall net income of the Lender) now or hereafter imposed, levied, collected, withheld or assessed by any country,
state or any political sub-division or taxing authority thereof or therein or any federation or organisation of which any such
country, state or any political sub-division thereof may at the time of payment be a member.

 

8.2          If the Borrower is prohibited by the law of any jurisdiction
other than the laws of Hong Kong from making payments without deduction or withholding as provided in Clause 8.1 then:

 

		(1)	the Borrower shall ensure that such deduction and/or withholding does not exceed the minimum requirement under the applicable
law;

 

		(2)	the Borrower shall pay to the Lender such additional amounts as necessary in order that the net amounts received by the Lender,
after such deduction or withholding shall equal the amount which it would have received had no such deduction or withholding been
required to be made;

 

		(3)	the Borrower shall immediately and in any event no later than the date after which penalties would attach cause to be paid
over to the relevant authority the full amount of the deduction or withholding which it is required to deduct or withhold including
the whole amount of any deduction or withholding from any additional amount paid pursuant to paragraph (2) above; and

 

		(4)	the Borrower shall deliver to the Lender within seven (7) days of payment or the due date or on demand satisfactory evidence
of payment of such deduction or withholding to the relevant authority.

 

8.3          Without prejudice and in addition to Clauses 8.1 and 8.2,
the Borrower shall fully indemnify and keep the Lender fully indemnified against all tax (other than tax on the overall net income
of the Lender) now or hereafter imposed, levied, collected or assessed by the taxing authority of any jurisdiction other than the
Inland Revenue Department of Hong Kong in respect of interest, front-end fees, and other sums of a similar nature paid or payable
by the Borrower to the Lender under this Agreement. For the purpose aforesaid, the Borrower shall, on each occasion on which payment
is made by the Borrower to the Lender in respect of interest, front-end fees and other sums of a similar nature under this Agreement,
pay to the Lender such additional amount as the Lender may require to discharge the tax imposed by the taxing authority of any
jurisdiction other than the Inland Revenue Department of Hong Kong on such payment.

 

9.            REPRESENTATIONS AND WARRANTIES

 

9.1          Each of the Borrower and the Guarantor hereby represents
and warrants to the Lender as follows:

 

		(1)	each of the Borrower and the Guarantor, as the case may be, has full power and authority to make borrowings hereunder upon
the terms and conditions of this Agreement and enter into and perform its obligations under this Agreement and the Security Documents
to which it is a party;

 

    	7

    	 

    

 

		(2)	the execution, delivery and performance by the Borrower and the Guarantor, as the case may be, of this Agreement or the Security
Documents to which it is a party will not violate in any material respect any provision of (a) any law or regulation or any order
or decree of any governmental agency or court to which it is subject; or (b) any mortgage, charge, deed, contract or other undertaking
or instrument to which it is a party or which is binding upon it;

 

		(3)	this Agreement and each Security Documents to which the Borrower and/or the Guarantor, as the case may be, is a party constitute
or will, when executed, constitute the legal, valid and binding obligations of the Borrower and the Guarantor, as the case may
be, enforceable in accordance with their respective terms;

 

		(4)	all governmental or other authorisations, approvals and consents required for or in connection with the execution, delivery,
performance, legality, validity, enforceability and admissibility in evidence of this Agreement and the Security Documents have
been obtained and all such authorisations, approvals and consents are in full force and effect;

 

		(5)	no action, suit or proceeding is pending or threatened against the Borrower and/or the Guarantor before any court, board of
arbitration or administrative agency or tribunal which the Lender may at its reasonable discretion consider to be material to the
business, assets or condition (financial or otherwise) of the Borrower and/or the Guarantor, on the ability of the Borrower and/or
the Guarantor, as the case may be, to perform its obligations under this Agreement and the Security Documents or other documents
to which the Borrower and/or the Guarantor is a party;

 

		(6)	each of the Borrower and the Guarantor has not taken any action for bankruptcy and no steps have been taken or proceedings
started or is threatened for the bankruptcy of the Borrower or the Guarantor;

 

		(7)	save for the matters as contemplated under the Settlement Deed and those disclosed in the SEC filings submitted by the Guarantors
to the U.S. Securities and Exchange Commission prior to the execution of this Agreement, each of the Borrower and the Guarantor
is not in default or has committed any breach of or under any agreement to which it is a party or by which it may be bound and
as at the date of this Agreement, no condition, event or act exists or has occurred, which, with the lapse of time or the giving
of notice or both or the fulfilment of any other condition would constitute such a default or breach;

 

		(8)	each of the Borrower and the Guarantor is not required to make any deduction or withholding from amounts payable under this
Agreement or any of the Security Documents to which it is a party for or on account of any taxes now or hereafter imposed by federal,
state or local any taxing authority of the United States of America or the Republic of Seychelles;

 

    	8

    	 

    

 

		(9)	no Event of Default has occurred or will occur as a result of the entry into this Agreement or any of the Security Documents
by the Borrower or the Guarantor;

 

		(10)	it is not necessary to ensure the legality, validity, enforceability, admissibility in evidence or priority of the Security
Documents or the security created thereunder that any of them be filed, recorded or enrolled with any court or authority in Hong
Kong or elsewhere or that any stamp duty, documentary, registration or similar tax be paid on or in relation to any of them in
Hong Kong or elsewhere and each of this Agreement and the Security Document is in proper form for its enforcement in the courts
of Hong Kong or elsewhere;

 

		(11)	the Loan will be used solely and exclusively for the purpose set out in Clause 2.1; and

 

		(12)	the repayment of any part of the Loan or interest thereon by the Borrower or the Guarantor is not subject to any withholding
tax or duties or tax or duties of similar nature under any federal, state or local laws of the United States of America or the
Republic of Seychelles.

 

9.2          The Borrower hereby further represents, warrants and agrees
that each of the representations and warranties contained in this Clause 9.1 shall be correct and complied with in all respects
for so long as any part of the Loan or interest thereon or any other amounts payable hereunder remain outstanding and shall without
prejudice to the foregoing be deemed to be repeated on the date on which the Loan is made.

 

9.3          The Borrower hereby acknowledges that the Lender has agreed
to make the Loan available to the Borrower in reliance upon the undertakings, representations and warranties contained in this
Clause 9.

 

10.         COVENANTS

 

10.1       Each of the Borrower and the Guarantor hereby covenants
and agrees with the Lender that so long as any part of the Loan or interest thereon or any other amounts payable hereunder remain
outstanding, each of the Borrower and the Guarantor shall:

 

		(1)	promptly advise the Lender in writing of details of any litigation, arbitration or administrative proceeding which would have
rendered the undertakings, representations and warranties contained in Clause 9 incorrect had the same been current or threatened
as at the date hereof immediately upon occurrence of the same;

 

		(2)	deliver to the Lender within the period specified in any notice from the Lender, all such other information relating to the
condition (financial or otherwise) of the Borrower or the Guarantor as the Lender may request;

 

		(3)	in all respects observe and comply with the covenants and obligations under this Agreement, the Security Documents and other
documents to which it is a party;

 

    	9

    	 

    

 

		(4)	obtain and promptly renew from time to time and comply with the terms of all consents, licences, approvals or authorisations
of all governmental agencies of any country or state or political subdivision thereof required for in connection with the execution,
delivery, performance, validity, enforceability and admissibility in evidence of this Agreement and deliver or cause to be delivered
to the Lender evidence of renewal of and compliance with the terms of all such consents, licences, approvals or authorisations;

 

		(5)	promptly advise the Lender upon becoming aware of (a) any Event of Default; (b) any potential Event of Default; or (c) any
material adverse factor which may inhibit the Borrower or the Guarantor in the performance of its obligations under this Agreement
or any of the Security Documents to which it is a party;

 

		(6)	maintain the net current asset value of China Motion in the positive;

 

		(7)	maintain a minimum two (2) month’s working capital for the present requirements of China Motion, equivalent to the level
of working capital as at 28 February 2013 commencing from the date of this Agreement; and

 

		(8)	guarantee and shall be primarily responsible for the contracts for goods, services and financing for the upgrade of the core
network of China Motion for which contracts China Motion will be one of the parties, but without any down payments, debt services,
finance charges or principal payments to be borne by China Motion prior to the full repayment of the Loan, the major terms of which
are set out in the Annexure. For the purpose of this sub-clause (8), the Borrower shall submit to the Lender the final draft of
the contracts for goods, services and financing for the upgrade of the core network of China Motion at least 7 days prior to the
proposed date of execution of such contracts for the prior approval by the Lender, which approval shall be given if the terms are
in line with the said major terms.

 

10.2       Each of the Borrower and the Guarantor hereby covenants
and agrees with the Lender that, except as provided in Clause 10.1(8), so long as any part of the Loan or interest thereon or any
other amounts payable hereunder remain outstanding, each of the Borrower and the Guarantor will procure China Motion not to, without
the prior written consent of the Lender which is at the Lender’s absolute discretion without assigning any reason thereof:

 

		(1)	lend any money or extend any credit, save and except for (i) the extension of credit by China Motion to its postpaid customers
with respect to the provision of goods and services in the ordinary course of its business; and (ii) the advancement of a loan
in the sum of up to HK$1,936,215.84 (the “Agreed Loan”) to the Borrower solely for the following three purposes:

 

		(a)	settling the agreed legal costs and expenses incurred by (1) the Lender in relation to the negotiation, preparation and execution
of this Agreement and the Security Documents and (2) Listco and the Sellers arising out of and in connection with the Arbitration
Proceedings and the negotiation, preparation and execution of the Settlement Deed, in the aggregate amount of HK$1,250,000;

 

    	10

    	 

    

 

		(b)	settling with the Sellers (1) the adjustments to the purchase price of the entire issued share capital of China Motion based
on the audited net asset value of China Motion as at 28 February 2013, and (2) the additional stamp duty in connection with the
transfer of shares of China Motion from the Sellers to the Borrower, each pursuant to the Second Amendment (as defined in the Settlement
Deed), in the aggregate amount of HK$676,215.84; and (3) any shortfall based on exchange rate differences and wire transfer fees
in connection with a payment being made by Borrower to Holdings in U.S. Dollars upon execution of the Settlement Deed, in an amount
not to exceed HK$10,000.

 

The Agreed Loan shall be repaid by the Borrower to China
Motion in full on or before 15 December 2013;

 

		(2)	give any guarantee or enter into any indemnity and undertaking or other deed imposing obligations or liabilities on its part
in respect of any indebtedness or obligation of any other person;

 

		(3)	enter into any loan, credit or other borrowing arrangement other than with the existing vendors and suppliers of China Motion
as at the date of this Agreement and in the ordinary course of business and on such terms consistent with the loan, credit or other
borrowing arrangement already entered into with such existing vendors or suppliers;

 

		(4)	take any action or any other steps or proceedings for its liquidation;

 

		(5)	create any security in respect of any debt or in respect of any guarantee or indemnity in respect
of any debt save for the Security Documents;

 

		(6)	require or procure China Motion to pay any portion of the down payment, debt service, finance charges
or principal payments for the network upgrade as set out in Clause 10.1(8);

 

		(7)	pay the entire or any part of the expenses of engineering services rendered in connection with upgrading
China Motion’s telecommunication network;

 

		(8)	charge China Motion for any costs and expenses in relation to or otherwise in connection with the
upgrade of the core network of China Motion;

 

		(9)	repay any outstanding loans due to their respective shareholders or directors; and

 

		(10)	employ any new employees of China Motion with monthly salary exceeding HK$15,000 per month per individual
or increase the salary or remuneration of any existing employees.

 

    	11

    	 

    

 

10.3       Each of the Borrower and the Guarantor
hereby covenants and agrees with the Lender that so long as any part of the Loan or interest thereon or any other amounts payable
hereunder remain outstanding, each of the Borrower or the Guarantor will not, without the prior written consent of the Lender which
is at the Lender’s absolute discretion without assigning any reason thereof:

 

		(1)	take any action or any other steps or proceedings for its liquidation;

 

		(2)	withdraw any funds directly or indirectly from China Motion except for the advancement of the Agreed
Loan to the Borrower;

 

		(3)	require or procure China Motion to pay any portion of the down payment, debt service, finance charges
or principal payments for the network upgrade as set out in Clause 10.1(8);.

 

		(4)	receive the entire or any part of the expenses of engineering services rendered in connection with
upgrading China Motion’s telecommunication network; and

 

		(5)	charge China Motion for any costs and expenses in relation to or otherwise in connection with the
upgrade of the core network of China Motion.

 

11.         Lender
governance rights

 

11.1       On and from the
Drawdown Date and for such time as there are any monies owed by the Borrower to the Lender (or its affiliates):

		(a)	the Lender shall have the right from time to time to nominate one person to be appointed and to continue
in office as directors of China Motion (each such person being a Lender Director), provided that such persons fulfil the requirements
under the applicable law to be appointed as a director; and

 

		(b)	China Motion shall to the extent permitted under applicable law (as from time to time amended) procure
that the Board shall comprise at all times not more than three Directors (including the Lender Directors).

 

11.2       The Lender may
appoint or remove a Lender Director nominated by it by notice to China Motion signed by it or on its behalf. The appointment or
removal shall take effect when the notice is delivered to China Motion, unless the notice indicates a later date.

 

11.3       A Lender Director
shall have the same rights as any other director of China Motion or member of the relevant board committee of China Motion and
its subsidiaries (“China Motion Group”), as applicable, to receive notice of meetings and to receive information
in relation to the China Motion Group, and shall be entitled to vote at any such meetings in accordance with the terms of the articles
of association of China Motion and/or the terms of reference of the relevant board committee of China Motion Group, as the case
may be.

 

11.4       If the Borrower
ceases to owe any monies to the Lender, its rights under clause 11.1, 11.2 and 11.3 shall cease and the Lender shall (unless the
Lender otherwise agree) procure that any Lender Director promptly resigns as a director of China Motion Group.

 

11.5       The Lender shall
notify China Motion in writing promptly on becoming aware that the Borrower has ceased to owe any monies to the Lender (and its
affiliates).

 

    	12

    	 

    

 

11.6       Subject to clause
11.7, the quorum for the transaction of business at any meeting of the board of China Motion shall be at least one Lender Director
(or his alternate) and at least one non-Lender Director (or his alternate) when the relevant business is transacted.

 

11.7       If no Lender
Director attends a duly convened board meeting of China Motion (the “Initial Board Meeting”), at such Initial
Board Meeting the chairman of the Board shall give each director of China Motion written notice of a second meeting of the Board
(the “Second Board Meeting”) to be held at the same place and same time seven Business Days after the Initial
Board Meeting. If no Lender Director attends the Second Board Meeting, at such Second Board Meeting the chairman of the Board shall
give each director of China Motion written notice of a third meeting of the Board (the “Third Board Meeting”)
to be held at the same place and same time seven Business Days after the Second Board Meeting. If no Lender Director attends the
Third Board Meeting, the Lender Directors shall be deemed to have waived the right to attend the meeting and a quorum will have
been formed and any two directors of China Motion may hold the Third Board Meeting without any Lender Directors.

 

11.8       At any meeting
of the board directors of China Motion, each director of China Motion shall be entitled to one vote. Any director of China Motion
who is absent from any meeting may nominate any other director of China Motion to act as his alternate and to vote in his place
at the meeting.

 

11.9       On and from the
Drawdown Date and for such time as the Borrower owes, directly or indirectly, any monies to the Lender (or its affiliates), the
Lender shall be entitled to appoint and maintain in office at least one director of each member of China Motion Group (and to remove
any director so appointed from office and to appoint another in the place of any director so removed) and the provisions of clauses
11.2 to 11.8 shall apply to such directors mutatis mutandis and the parties shall ensure that any amendments required to reflect
these provisions are made to the memorandum and articles of association or other constitutional documents of each member of China
Motion Group as soon as reasonably practicable following that company becoming a member of China Motion Group.

 

11.10     From the date
of this Agreement until the Repayment Date or the date of repayment of the entire principal amount and interest of the Loan and
all moneys owing by the Borrower to the Lender under this Agreement (whichever is later), each party shall use their respective
powers to ensure, so far as they are legally able, that no action or decision is taken (whether by the Board, the Company or any
of their respective officers or managers) in respect of any matter listed in Schedule 4, without prior written consent of the Lender.

 

11.11     The Borrower
agrees that as long as there are any monies owed by the Borrower to the Lender:

 

		(a)	it will answer in reasonable detail any reasonable written or oral inquiry
by the Lender, and facilitate the interview of directors, officers and employees of China Motion at any reasonable time specified
by the Lender;

 

		(b)	the Lender shall have the right to review and audit all the books, records
and accounts of China Motion and its subsidiaries and the Borrower shall make all reasonable efforts, and shall procure that China
Motion makes all reasonable efforts, to cooperate with any such review, audit, analysis and related reports;

 

    	13

    	 

    

 

		(c)	the Lender shall be entitled to receive all information, including monthly
management accounts and operating statistics and other trading and financial information, in such form as they reasonably require
to keep them properly informed about the business and affairs of China Motion and generally to protect their interests as Lender;
and

 

		(d)	the Lender shall at any time, upon providing reasonable written notice
to the Borrower, be entitled to visit and inspect any facilities, offices or other premises of China Motion.

 

12.          EVENTS OF DEFAULT

 

12.1        There shall be an Event of Default if any one of the following
events shall have occurred and such events have not been rectified or cured or is continuing:

 

		(1)	Non-payment of the First Instalment: the Borrower fails to pay any amount due from it with respect to the First Instalment
on the due date for such payment under this Agreement; or

 

		(2)	Non-payment of the Second Instalment: the Borrower fails to pay any amount due from it with respect to the Second Instalment
under this Agreement on the due date for payment; or

 

		(3)	Non-payment of other sums: the Borrower fails to pay any amount due from it under this Agreement in the manner specified
herein on the due date for payment, including but not limited to the failure to repay any amount due to the Company; or

 

		(4)	Other obligations: the Borrower or the Guarantor commits any breach of or omits to observe any of its undertakings or
obligations under this Agreement or any of the Security Documents to which it is a party; or

 

		(5)	Breach of representation: any representation or warranty made or deemed to be repeated by the Borrower pursuant to this
Agreement is or proves to have been incorrect in any material respect when made or repeated; or

 

		(6)	Authorisation: any consent, licence, approval or authorisation referred to in Clause 9.1(4) is modified in a manner
unacceptable to the Lender or is not granted or is suspended or revoked or terminated or expires and is not renewed or otherwise
ceases to be in full force and effect; or

 

		(7)	Decree or order: any decree or order is made by any competent court adjudging the Borrower or the Guarantor insolvent
or bankrupt under the insolvency or bankruptcy laws of any jurisdiction to which it may be subject or any order or application
is made for the appointment of any liquidator, receiver, trustee, curator or sequestrator or other similar official of the Borrower
or the Guarantor in respect of all or a substantial part of its assets (save for the purposes of an amalgamation, merger or reconstruction
not involving insolvency the terms of which shall have received the prior written approval of the Lender);

 

    	14

    	 

    

 

		(8)	Insolvency: the Borrower or the Guarantor is unable to pay its debts as they fall due, or stops payment under its respective
obligations generally, or commences negotiations with its creditors generally with a view to the general readjustment or rescheduling
of its financial indebtedness; or

 

		(9)	Winding up: any petition is presented or other step is taken for the purpose of winding up, liquidating or dissolving
the Borrower or the Guarantor for which in the opinion of the Lender there would be no realistic prospects of successfully resisting
or such action, steps or proceedings is not discharged or discontinued within seven (7) days, or an order is made for or resolution
passed for the winding up, liquidation or dissolution of the Borrower or the Guarantor, or a notice is issued convening a meeting
for the purpose of passing any such resolution; or

 

		(10)	Appointment of receivers: any receiver or manager or other administrator is appointed of the Borrower or the Guarantor
or any part of its assets, or the directors of the Borrower or the Guarantor request any person to appoint such a receiver or manager
or administrator, or any other steps are taken to enforce any Encumbrance over all or any part of the assets of the Borrower or
the Guarantor; or

 

		(11)	Other jurisdictions: any event occurs or proceeding is taken with respect to the Borrower or the Guarantor in any jurisdiction
to which it is subject which has an effect which is equivalent or similar to any of the events mentioned in sub-clauses (5) to
(8); or

 

		(12)	Cross default: the Borrower or the Guarantor defaults or receives notice of default under any of the Security Documents
or obligation whether relating to borrowing or other matters or any indebtedness of the Borrower or the Guarantor under any of
the Security Documents becomes payable, or capable of being, or is declared payable before its stated maturity or is not paid when
due or any security interest, guarantee or other security created by the Borrower or the Guarantor under any of the Security Documents
becomes enforceable; or

 

		(13)	Security: this Agreement or any of the Security Documents shall be or is likely to be invalid, void or unenforceable;
or

 

		(14)	Repudiation: the Borrower or the Guarantor repudiates this Agreement or any of the Security Documents or does or causes
to be done any act or thing evidencing an intention to repudiate this Agreement or any of the Security Documents or any action
or proceedings are commenced (and not withdrawn or dismissed within a period of 14 days after its commencement) to enjoin or restrain
the performance of or compliance with any respective obligation of the Borrower or the Guarantor under this Agreement or any of
the Security Documents or otherwise dispute the ability of the Borrower or the Guarantor to enter into, exercise its respective
rights or perform or comply with any of its respective obligations under this Agreement or any of the Security Documents; or

 

    	15

    	 

    

 

		(15)	Securities regulations: the Borrower or the Guarantor fails to comply in all material respects with, or does not diligently
perform in all material respects any of its duties and obligations under, all applicable laws, rules, codes, regulations, consents,
licences, approvals and authorisations in any manner that is likely to adversely to affect the ability of the Borrower or the Guarantor
to perform all or any of its obligations under or otherwise to comply with the terms of this Agreement or any of the Security Documents;
or

 

		(16)	Failure to pay: the Borrower (i) fails to make any payment pursuant to the Security Documents; or (ii) to perform an
obligation on a due date for such payment or obligation under the Security Documents; or (iii) becomes bound to repay prematurely
any other loan or other obligation for borrowed money by reason of a default by it in the Security Documents; or (iv) if it fails
to make any payment in respect thereof on a due date for such payment pursuant to the Security Documents; or (v) becomes bound
to make payment under any guarantee given by it under the Security Documents by reason of a default by the principal debtor; or
(vi) fails to make any payment in respect of any present or future security on or over any asset of the Borrower which becomes
enforceable against the assets covered by the Security Documents; or

 

		(17)	Use of loan: the Loan is used for the purpose(s) other than those set out in Clause 2.1.

 

 12.2        Upon the occurrence of an Event of Default and at any time thereafter, the Lender may by notice in writing to the Borrower and/or the Guarantor:

 

		(1)	declare the Loan, all interest accrued thereon and all other monies payable under this Agreement to be forthwith due and payable
whereupon the same shall be forthwith due and payable; and/or

 

		(2)	declare all or any part of the security constituted under the Security Documents to be immediately enforceable whereupon the
same shall become immediately enforceable.

 

13.          ENFORCEMENT OF SECURITY

 

If on the date on which the Secured Indebtedness or any
part thereof has become immediately due and payable pursuant to Clause 12.2, the Secured Indebtedness or the part thereof which
has become immediately due and payable have not been paid in full, the security constituted under the Security Documents shall
then become immediately enforceable. For the avoidance of doubt, the enforcement of security constituted under the Security Documents
will not prejudice the right of the Lender to recover any shortfall from the Borrower.

 

    	16

    	 

    

 

14.         INDEMNITIES

 

14.1       Without prejudice to any other right or remedy of the Lender,
upon:

 

		(1)	the occurrence of an Event of Default; and/or

 

		(2)	the declaration of the Loan to be immediately due and payable pursuant to Clause 12.2 or otherwise in accordance with the terms
of this Agreement; and/or

 

		(3)	the Borrower failing to borrow the Loan or satisfy any of the conditions precedent after having delivered a Notice of Drawing;
and/or

 

		(4)	any sums payable by the Borrower under this Agreement not being paid when due, and at any time thereafter,

 

the Borrower shall pay to the Lender on demand such amount
or amounts as shall fully indemnify the Lender against all losses, expenses and liabilities which the Lender may sustain or incur
by reason of the occurrence of any of the foregoing including but not limited to any loss, expense, premium or penalties suffered
or incurred by the Lender in liquidating or re-employing deposits from third parties acquired to effect or maintain the Loan or
any part thereof. A certificate of the Lender setting forth the amount of such losses, expenses and liabilities and specifying
the basis therefor shall, in the absence of manifest error, be conclusive and binding on the Borrower.

 

14.2       The indemnities set out in Clause 14.1 shall
be an obligation of the Borrower separate and independent of and in addition to its other obligations under this Agreement and
the Security Documents to which it is a party, shall give rise to separate and independent cause of action, and shall take effect
notwithstanding any time or other concession granted to the Borrower or any judgment or order being obtained or the filing of any
claim in the liquidation, dissolution or bankruptcy (or analogous process) of the Borrower.

 

15.         Guarantee

 

15.1       The Guarantor hereby irrevocably and unconditionally guarantees
to the Lender the due and punctual performance of the Borrower under this Agreement and the Security Documents.

 

15.2       The obligations of the Guarantor shall be continuing obligations
and shall not be satisfied, discharged or affected by any intermediate payment or settlement of account or any change in the constitution
or control of, or the insolvency of or any bankruptcy, winding up or analogous proceedings relating to any of the parties to this
Agreement and the Security Documents.

 

15.3       The liability of the Guarantor hereunder shall be unaffected
by any arrangement which the Lender may make with the Borrower or with any other person which (but for this provision) might operate
to diminish or discharge the liability of or otherwise provide a defence to a surety. Without prejudice to the generality of the
foregoing, the Lender is to be at liberty at any time and without reference to the Guarantor to give time for payment or grant
any other indulgence and to give up, deal with, vary, exchange or abstain from perfecting or enforcing any other securities or
guarantees held by the Lender at any time and to discharge any party thereto and to realise such security or guarantees or any
of them, as the Lender thinks fit and to compound with, accept compositions from and make any other arrangements with the Borrower
or any person or persons liable on other securities or guarantees held by or by the Lender without affecting the liability of the
Guarantor hereunder.

 

    	17

    	 

    

 

15.4       As a separate and independent stipulation it is hereby agreed
by the Guarantor that any obligation and undertaking under this Clause which may not be enforceable against the Guarantor on the
footing of a guarantee, whether by reason of any legal limitation (other than any limitation imposed by this Agreement), disability
or incapacity on or of the Borrower or any other fact or circumstance and whether or not known to the Lender shall nevertheless
be enforceable against the Guarantor as sole or principal obligor in respect thereof.

 

15.5       The Guarantor hereby waives any right to require a proceeding
first against the Borrower or any other person.

 

15.6       The obligations and liabilities of the Guarantor and the
Borrower under this Agreement are joint and several and are of continuing nature and shall not be discharged or affected by the
dissolution, amalgamation, reconstruction or reorganisation of or the change in constitution or control of any of the parties to
this Agreement.

 

16.         FEES AND EXPENSES

 

 16.1       The Borrower shall be responsible for:

 

		(1)	all reasonable costs and expenses
(including taxes thereon and legal fees on a full indemnity basis) incurred by the Lender as legal costs in connection with the
negotiation, preparation and execution of this Agreement and the Security Documents and any other documents ancillary to or derived
from any of them, agreed at HK$400,000 to be paid to the Lender within 7 days of the date of signing hereof;

 

		(2)	all reasonable costs and expenses
(including taxes thereon and legal fees on a full indemnity basis) incurred by the Lender in connection with the Loan or the admissibility
in evidence of this Agreement and the Security Documents; and

 

		(3)	promptly, and in any event
before any penalty becomes payable, any stamp, documentary, registration or similar taxes payable in connection with the entry
into, performance, enforcement or admissibility in evidence of this Agreement and/or any amendment or waiver thereof, and shall
indemnify the Lender against any liability with respect to or resulting from any delay in paying or omission to pay any such taxes.

 

17.         NOTICES

 

17.1       All notices or communications required to be served or given
pursuant to this Agreement:

 

		(1)	shall be in writing and may be sent by prepaid post, mail (by airmail if to another country) or facsimile (but, if by facsimile
from the Borrower, shall promptly be confirmed by mail) or personal delivery;

 

		(2)	shall be sent to the parties at the facsimile number or address from time to time designated in writing by that party to the
other; the initial facsimile number and address so designated by each party being set out in Schedule 1;

 

    	18

    	 

    

 

		(3)	if sent by the Borrower shall be irrevocable and shall not be effective until actually received by the Lender;

 

		(4)	if sent to the Borrower shall be deemed to have been given and received by the Borrower (a) within five days after the date
of posting, if sent by mail; (b) when delivered, if delivered by hand; and (c) on despatch, if sent by facsimile; and

 

		(5)	shall be in the English language.

 

18.         FURTHER
ASSURANCE

 

18.1       Each of the Borrower and the Guarantor agrees, immediately
upon demand by the Lender, at its own cost and expense, make, execute, do, perform and provide or cause or procure to be made,
executed, done, performed and provided, all such further acts, agreements, assurances, bills, bonds, contracts, deeds, documents,
evidences of indebtedness, guarantees, indemnities, instruments, letters, loan notes, notes, notices, powers of attorney, promissory
notes, receipts, undertakings, matters and things as the Lender shall reasonably require to perfect or improve the security afforded
or created under the Security Documents, or intended to be afforded or created by this Agreement, or for facilitating the realisation
of all or any part of securities created under the Security Documents and the exercise of all powers, rights, remedies, authorities
and discretions vested in the Lender.

 

18.2       Each of the Borrower and the Guarantor hereby jointly and
severally undertakes with the Lender that, from the date of this Agreement and so long as any moneys are owing under this Agreement,
it will, on demand, duly execute in favour of the Lender such documents and agreements referred to in Clause 18.1, in addition
to the Security Documents as the Lender shall from time to time require on or over or in respect of all or any part of its present
and/or future undertaking, properties, assets, rights and/or revenues as a continuing security for its obligations under this Agreement,
and which shall:-

 

		(a)	be in such form and duly executed, delivered, created, secured and/or perfected in such manner as the Lender shall stipulate;

 

		(b)	if necessary or desirable under applicable law for its creation, legality, validity, priority, enforceability, admissibility
in evidence or effectiveness or for the performance by the Borrower or any of its obligations thereunder, be duly notarised, filed,
recorded, registered and/or enrolled according to such law; and

 

		(c)	not, without the prior written consent of the Lender, secure or prefer or be extended so as to secure or prefer any present
or future indebtedness or obligation except the Borrower's obligations under this Agreement.

 

19.         MISCELLANEOUS

 

19.1       A certificate issued by the Lender as to any sum payable
by the Borrower under this Agreement and any other certificate, determination, notification or opinion of the Lender provided for
in this Agreement shall, in the absence of manifest error, be conclusive evidence against the Borrower.

 

    	19

    	 

    

 

19.2        If at any time any provision hereof is or becomes illegal,
invalid or unenforceable in any respect under the laws of any jurisdiction, neither the legality, validity or enforceability of
the remaining provisions hereof nor the legality, validity or enforceability of such provision under the laws of any other jurisdiction
shall in any way be affected or impaired thereby.

 

19.3        Save as may be expressly otherwise provided herein, time
is of the essence of this Agreement but no failure or delay on the part of the Lender to exercise any power, right or remedy hereunder
shall operate as a waiver thereof nor shall a waiver by the Lender of any particular default by the Borrower affect or prejudice
the right, power or remedy of the Lender in respect of any other default or any subsequent default of the same or a different kind
nor shall any single or partial exercise by the Lender of any power, right or remedy hereunder preclude any other or further exercise
thereof or the exercise of any power, right or remedy.

 

19.4        No power, right or remedy conferred under this Agreement
upon the Lender is intended to be exclusive of any other power, right or remedy but shall be cumulative and shall be in addition
to every other power and remedy now or hereafter existing at law, in equity, by statute or contract or otherwise.

 

19.5        No waiver of any Event of Default shall be effective unless
in writing signed by the Lender.

 

19.6        This Agreement may not be amended save in writing duly signed
by all parties hereto.

 

19.7        The Lender may grant waivers, consents or indulgence in
respect of any one or more obligations of or conditions or requirements imposed on or applied to the Borrower under or in connection
with this Agreement including without limitation any condition or requirement applicable to the making of a drawing under this
Agreement and any such waiver, consents or indulgence may be given subject to such terms and conditions as may be imposed by the
Lender.

 

19.8        This Agreement and the documents referred to herein constitute
the entire obligations of the Lender and supersede any previous expressions of intent or understandings in respect of the transaction
contemplated under this Agreement.

 

19.9        This Agreement may be executed in any number of counterparts
and by different parties on separate counterparts as the Lender may require which when taken together shall be deemed to constitute
one agreement.

 

19.10      In the event of any inconsistency between any of the terms
of this Agreement and any of the terms of the Security Documents, the terms of this Agreement shall prevail.

 

20.          ASSIGNMENT

 

20.1        This Agreement shall enure to the benefit of the parties
hereto and their respective successors, assignees and transferees.

 

20.2        The Borrower may not assign any of its rights or obligations
under this Agreement.

 

20.3        The Lender may at any time without the consent of or notice
of the Borrower assign its rights and benefits hereunder or any part thereof to any one or more persons on such terms and conditions
as it may deem fit.

 

    	20

    	 

    

 

21.          LAW AND JURISDICTION

 

21.1        This Agreement shall be governed by and construed in accordance
with the laws of Hong Kong.

 

21.2        Each of the Borrower and the Guarantor hereby irrevocably
submits to the jurisdiction of the courts of Hong Kong and of any country in which it has assets and hereby irrevocably waives
any objection to any proceedings in any such courts on the basis of forum non conveniens. Each of the Borrower and the Guarantor
agrees that a judgment in any proceedings brought in any such courts may be enforced in any other jurisdiction by suit on the judgment
or in any other manner permitted by law.

 

21.3        The submission in Clause 21 is non-exclusive and the Lender
reserves the right to proceed in any other jurisdiction having or claiming or accepting jurisdiction in respect thereto.

 

21.4        The Borrower hereby irrevocably appoints Lawrence Lo of
Room 1307, Tower 1, Lippo Centre, No. 89 Queensway, Admiralty, Hong Kong as its agent to accept service of legal process out of
the courts of Hong Kong in connection with this Agreement. The Borrower further agrees to maintain a duly appointed agent in Hong
Kong to accept service of process out of the courts of Hong Kong and to keep the Lender informed of the name and address of such
agent. Service on Lawrence Lo (or such other agent as shall have been notified by the Borrower in writing) shall be deemed to be
service on the Borrower.

 

21.5        The Guarantor hereby irrevocably appoints Lawrence Lo of
Room 1307, Tower 1, Lippo Centre, No. 89 Queensway, Admiralty, Hong Kong as its agent to accept service of legal process out of
the courts of Hong Kong in connection with this Agreement. The Guarantor further agrees to maintain a duly appointed agent in Hong
Kong to accept service of process out of the courts of Hong Kong and to keep the Lender informed of the name and address of such
agent. Service on Lawrence Lo (or such other agent as shall have been notified by the Guarantor in writing) shall be deemed to
be service on the Guarantor.

 

 

IN WITNESS hereof the parties hereto have duly
executed this Agreement as a deed the day and year first above written.

 

    	21

    	 

    

 

Schedule 1

 

Address and Facsimile Number for Notification

 

 

	
        Party

         
	Address	Fax number
	
        The Borrower

         
	
        2nd Floor,

        No. 86 Fu Xin South Road Sec 2

        Taipei 106

        Taiwan

         
	(886) 2 2701-4140
	
        The Lender

         
	
        37/F, 500 Chengdu North Road,

        Huangpu District, Shanghai,

        the People’s
        Republic of China

         
	(86) 021 6358-6040
	The Guarantor	
        2nd Floor,

        No. 86 Fu Xin South Road Sec 2

        Taipei 106

        Taiwan

         
	(886) 2 2701-4140

 

 

 

 

 

 

Schedule 2

 

Designated bank account of the Sellers

 

	Bank	Account Holder	Account number	
        Currency

         

	The Hong Kong and Shanghai Banking Corporation Limited	China Motion Holdings Limited	026-272005-001	
        HKD

         

 

 

 

    	22

    	 

    

 

Schedule 3

 

Notice of Drawing

 

Date:

To:         Xin Hua

 

We refer to the loan agreement dated 28 October
2013 (the “Loan Agreement”) pursuant to which you have agreed to advance a loan in the principal amount of HK$26,540,637.45
to us.

 

We hereby:

 

		(1)	give you notice that we intend to make the drawing of HK$26,540,637.45 (the “Drawdown Amount”) on 28 October
2013;

 

		(2)	certify that no Event of Default or condition, act or event which, with the giving of notice or lapse of time or both or the
fulfillment of any other condition would constitute an Event of Default has occurred, is continuing or would result from the drawing
requested hereunder;

 

		(3)	represent and warrant that the representations and warranties set out in Clause 9 of the Loan Agreement are true and correct
on the date hereof with reference to the facts and circumstances now existing;
	 	 	 
	 	(4)	confirm that the undertakings
set out in Clause 10.1 of the Loan Agreement have at all times been duly complied with, observed and performed; and

 

		(5)	direct you to pay the Drawdown Amount on behalf of us to the following bank account of China Motion Holdings Limited:

 

	Bank	Account Holder	Account number	
        Currency

         

	The Hong Kong and Shanghai Banking Corporation Limited	China Motion Holdings Limited	026-272005-001	
        HKD

 

Expressions capitalised and not defined in this Notice of Drawing shall have
the meanings attributed thereto in the Loan Agreement.

 

For and on behalf of

Gulfstream Capital Partners
Ltd.

 

 

_______________________

Name: Colin Tay

Title:   President

 

    	23

    	 

    

 

Schedule 4

 

Reserved Matters

 

 

1.             Any
alteration to the articles of association and/or other constitutional documents of the Company.

2.             Changing the number of securities the Company (“Securities”) is authorised to issue or the number of
shares issued in the Company or the Company increasing (or reducing) its shareholding in any other company.

3.             The issue of any Securities by the Company.

4.             The Company redeeming or repurchasing any Securities (other than from an employee following his termination or when contractually
bound to do so pursuant to the terms on which the Securities were issued or a repurchase from all shareholders of the Company on
a pro rata basis).

5.             Fundamentally changing the nature or scope of the business of the Company or any decision to change the name under which
the Company carries on its business.

6.             The Company changing its dividend policy or the Company declaring or paying any dividend or distribution other than when
contractually bound to do so pursuant to the terms on which the relevant Securities were issued.

7.             The Company borrowing, lending, issuing any guarantee, raising money, issuing any trust receipts.

8.             The Company disposing of or leasing (whether in a single transaction or series of transactions) any business (or any material
part of any business) or any assets (other than a disposal or lease of assets in the ordinary course of business) where the value
of the disposal or lease exceeds HK$250,000.

9.             The Company establishing any subsidiary.

10.           The Company entering into (or terminating) any material partnership, joint ventures, profit-sharing agreement, technology
licence or collaboration or merging with any other entity (not being a subsidiary of the Company), save for transactions carried
out with the Borrower in the ordinary course of business.

11.           Major decisions relating to the conduct (including the settlement) of legal proceedings where there is a potential liability
or claim of more than HK$100,000 to which the Company is a party.

12.           Any transaction by Company with, or procured by, any subsidiary, parent company or controlling shareholders of the Borrower.

13.           Appointing or removing the auditors of the Company.

14.           Approving the Company’s accounts and/or any change in the principal accounting policies of the Company.

15.           Any proposal to wind up the Company or other voluntary proceeding seeking liquidation, administration (whether out of court
or otherwise), reorganisation, readjustment or other relief under any bankruptcy, insolvency or similar law or the appointment
of a trustee, receiver, administrator (whether out of court or otherwise) or liquidator or similar officer (save as contemplated
in this Agreement).

16.           Creating any mortgage, charge, Encumbrance or other security interest of any nature in respect of all or any material part
of any undertaking, property or assets of the Company.

17.           Any action which in the reasonable opinion of the Lender, will cause or will likely cause any diminishment in value of the
collaterals given by the Borrower under this Agreement.

    	24

    	 

    

Annexure

 

Major terms of the contracts for goods, services 

and financing for the upgrade of the core network of China
Motion

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	25

    	 

    

 

THE BORROWER

 

	EXECUTED AS A DEED	)	 
	 	)	 
	and SIGNED by Colin Tay, its director	)	 
	 	)	 
	for and on behalf of	) 	/s/ Colin Tay
	 	)	 
	Gulfstream Capital Partners Ltd.	)	 
	 	)	 
	in the presence of:	)	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	THE LENDER	 	 
	 	 	 
	SIGNED, SEALED and DELIVERED	)	 
	 	)	 
	by XIN HUA	) 	/s/ Xin Hua
	 	)	 
	in the presence of:	)	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	 	 	 
	THE Guarantor	 	 
	 	 	 
	EXECUTED AS A DEED	)	 
	 	)	 
	and SIGNED by Colin Tay, its President	)	 
	 	)	 
	for and on behalf of	) 	/s/ Colin Tay
	 	)	 
	Velatel
    Global Communications, Inc.	)	 
	 	)	 
	in the presence of:	)	

 

    	26

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