Court froze RMB 1.45 million of Ofo assets this month

A civil suit from a supplier has once again highlighted bike-rental startup Ofo’s plight, with a Tianjin court recently freezing RMB 1.45 million (about $220,000) of its assets. The order was released on February 23 against Beijing Baike Luoke Technology, Ofo’s domestically-registered operator, Beijing Business Today reported (in Chinese). The report cites data from Chinese business intelligence platform Tianyancha.com.

Just last week, TechNode reported that recently uploaded court verdicts show that Ofo’s offshore-registered operator Dongxia Datong Management and Consulting owed two suppliers close to RMB 150 million (around $22 million) as of last November. Over the past two months Dongxia has also failed to pay legal fines for 48 cases of payment default, according to the website Qichacha.com.

The February decision against Baike Luoke came from yet another supplier, Tianjin Kelin Bicycle Co., Ltd. Tianyancha records show that Kelin first applied for the case on January 20, 2018. The judgment was delivered on Saturday, immediately freezing RMB 1.45 million in bank funds or property of equivalent value belonging to the Ofo operator. Baike Luoke can apply for reconsideration within five days of the ruling, although its assets will remain frozen until the request is approved.

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