Exhibit 10.8
LOAN AGREEMENT
Party A: Changsha Educational Foundation (hereinafter referred to as Party A)
Party B: Changsha Huanqiu Vocational Secondary School (hereinafter referred to
as Party B)
Party A and Party B has reached agreements as follows in terms of the loan
required by Party B from Party A based on friendly consultation for the purpose
of improving teaching quality, meeting teaching needs and purchasing teaching
equipments for Party B.
1. Party A agrees to offer a loan of RMB two million Yuan to Party B for
supporting Party B to improve teaching quality and meet the teaching needs. The
loan will be transferred to the Party B's account through bank on March , 2009.
(Account name: Changsha Huanqiu Vocational Secondary School; Account Number:
66010155260005014; Bank of deposit: Shanghai Pudong Development Bank, Changsha
Branch)
2. Loan term is 1 year calculated as of the date (March , 2009) when the capital
is transferred to Part B's account (refer to transfer receipt as the proof).
3. Party B agrees to pay the possession fee at a APR of five percent (5%) during
the loan term. The amount is RMB one hundred thousand Yuan.
4. Part B shall transfer a lump sum of loan of RMB two million Yuan and
possession fee of RMB one hundred thousand Yuan (the total amount is RMB two
million and one hundred thousand Yuan) to Part A through bank on the maturity
date of the loan (namely March , 2010) (Account name: Changsha Education
Foundation; Account Number: 66010154900000885; Bank of deposit: Shanghai Pudong
Development Bank, Changsha Branch)
5. Party A can not retrieve the loan without reasonable cause during the loan
term; or party A has to pay 2% of the amount as compensation to Party B.
6. If Party B does not repay all amount of the loan on the maturity date,
pursuant to Article 4, Party B shall pay the penal sum of daily 1% of the loan
accumulatively for all deferred days. "Deferred days" are the actual days from
the maturity date to the repayment date of entire loan amount listed in Article
4.
7. Undertaking holy commonweal mission and donation from public, the Educational
Foundation bears great social responsibility. In line with Clause 27, Clause 28
and Clause 43 of No. 400 order of State Department, namely REGULATION ON
FOUNDATION ADMINISTRATION, the maintain value and increase in value of fund
should be legal, secure and effective and need to prevent loss. Therefore, as
the amount is large, Both Parties shall provide certain property as mortgage or
an economic entity as a guarantee unit to repay the principle when the loan is
due. (The guarantee unit should have economic power, debt paying ability and
good financial credit.)
8. Matters not covered in this Agreement shall be solved by both parties upon
consultation.
9. The Agreement becomes valid and enforceable only after representatives of
both parties and legal representative from guarantee unit of Party B sign and
affix the seals.
10. The Agreement shall be in quadruplicate with Party A and Party B as well as
their directors holding one copy respectively.
Party A: Changsha Educational foundation Party B: Changsha Huanqiu Vocational
Secondary School
Legal representative: Legal representative: Guangwen He
Official seal: Official seal:
March 20, 2009 March 20, 2009
