Individual Housing Loan Contract

AGRICULTURAL BANK OF CHINA

Individual Housing Mortgage Loan Contract

(DNZ) NYA Zi (2003) No.:

Lender: Subbranch of Chongqing Dadukou District Branch Center of the Agricultural Bank of China (hereinafter referred to as “Party A”)

Borrower: xxx   (hereinafter referred to as “Party B”)

Guarantor:  xxx   (hereinafter referred to as “Party C”)

In accordance with the relevant laws and regulations made by the State, and the Housing Loan Cooperation Agreement (No.: DNZNYAH Zi 2003 xxxxx) relating to such matter that Party A provides Party B with housing mortgage loan and Party C undertakes the guaranty liability, this contract, by consensus reached among Party A, Party B and Party C, is signed and concluded.

Article I Definition

The terms mentioned in this contract shall be defined as follows unless otherwise specified:

1. Mortgage: such act that Party B purchases commercial housing from Party C, and applies to Party A for loans with the said housing and its rights and interests as the pledge.

2. Debt: all the payments of Party A indebted to Party B under this contract, including the principal of loans, interest, overdue interest, compound interest and other relevant expenses.

3. Purchase contract: Commercial Housing Purchase/Sales Contract, Pre-sale Contract of Commercial Housing or other purchase agreements signed by and between Party A and Party C to purchase the commercial housing hereunder.

4. Pledge: the general term for the commercial housing under this purchase contract and all the rights and interests related to the commercial housing.

5. Mortgage pre-registration: pre-order commercial housing mortgage registration or mortgage registration records to be obtained by virtue of such data and information as permit for pre-sale and purchase contract, etc. required to acquire the loan before Party B has not got the property right certificate for its purchased commercial housing.

Article II The commercial housing purchased by Party B

1. It is located at                               

2. Type: residence.

3. Structure: steel-concrete combination frame.

4. (Inside) building area:             .

5. Value:                     

6. Purchase contract number.

Article III Loan amount

The loan amount is RMB (in words)                , namely,         of the total price of the commercial housing purchased by Party B.

Article IV Loan term

The loan term is          , from          to          

Article V Interest rate of loan

1. The monthly interest rate of the loan is            . If the loan term is within one year (included), the repayment shall be paid off at the contract interest rate. If the loan term is over more than one year, in case of adjustment of the prescribed interest rate, new interest rate provisions shall be carried out in accordance with the corresponding grade of the interest rate early next year.

2. The loan interest rate shall be paid monthly, and the expiry date for interest is the 20^th day of each month. If the loan term is within one year (included), the repayment of principal with interest shall be made at one time.

Article VI Loan appropriation

Party A shall, within      days after the completion of the mortgage pre-registration hereof and the acquisition of the mortgage pre-registration certificate, transfer the loan amount into the special house-sale account opened by Party C at Party A’s once in the name of the housing purchase payment of Party B.

In case of failure to carry out mortgage pre-registration, Party A shall, within / days after Party B hands over to Party A the purchase contract and other data and information required to proceed property right certificate and fulfill the notarization of this contract, transfer the loan amount into the special house-sale account opened by Party C at Party A’s once in the name of the housing purchase payment of Party B.

Article VII Repayment of loan

1. Party B shall pay the principal and interest in full amount to Party A on schedule.

2. If the loan term is more than one year, one repayment period of the principal and interest of the loan hereunder shall be one month. The repayment date of each period is the 20^th day of each month. The down-payment will be made on the 20^th day of the following month after the occurrence of loan.

3. Party B, before acquiring the loan lent by Party A, shall apply to Party A for a bank card (card type:______/_______, and card number:______        _/__________________) or open a deposit account at Party A’s (account number:      , and opening bank/place: Subbranch of Chongqing Dadukou District Branch Center of the Agricultural Bank of China). Before the repayment date of each period, Party B shall deposit the principal and interest of the loan for the current period in the said bank card or the deposit account. Party A shall directly deduct the payment related to the loan of this contract from the said bank card or deposit account. If the deposit is insufficient to be deducted, Party A shall give a grace period of / day(s); if the account deposit is still inadequate for deduction after the grace period expires, all the principal and interest of the loan to be paid for the current period shall be deemed as delinquency.

4. The payment amount of each period shall be calculated by adopting (1) the average principal plus interest method as agreed by Party A and Party B. According to the formula, the amount of principal and interest to be paid can be determined. All the remaining principal and interest shall be paid at the last period.

Formula:

(1) Average principal plus interest method

(2) Principal degression repayment method

(3)

5. Prepayment:

If Party B makes prepayment, it shall be approved by Party A and carry out such act in accordance with the following provisions:

(1) Party B may pay part of or all the unmatured loan before the repayment date of each period.

(2) Party B shall make prepayment by filing an application to Party A in writing 3 days in advance.

(3) If Party B prepays part of or all the loans, the loan interest that has been calculated and collected shall not be returned. The amount to be paid in advance at each time shall not be less than that of one regular payment.

6. Delinquency

For the overdue principal and interest of the loan, Party B shall make the repayment in the following method as specified in (2);

(1) Party B deposits sufficient money in the said deposit account or bank card, which shall be deducted by Party A on the next repayment date. However, Party A, between the deposit date and deduction date, may still charge Party B for the overdue interest and its compound interest.

(2) Party B collects the delinquency list from the Credit Department of Party A, and then pays cash at the business counter with the said list. From the date when the delinquency is paid, the collection of overdue interest and its compound interest shall be ceased.

7. Any dispute arising from the house purchase under the Commercial Housing Purchase/Sales Contract and Pre-sale Contract of Commercial Housing shall not impact the payment on schedule of the principal and interest of the loan and its relevant expenses hereunder and the undertaking of the guaranty liability.

Article VIII Obligations of Party A

1. Within the time limit specified in the contract, Party A shall provide Party B with loans in full amount.

2. Party A shall check and keep the ownership documents and other documents related to the pledge.

3. After the termination of the mortgage hereof, Party A shall return to Party B the ownership certificate or other registration certificates related to the mortgage in its custody.

4. After Party C pays off the delinquency on behalf of Party B due to its incapability of performing the repayment obligations as agreed, Party A shall deliver to Party C the certificates relevant to the mortgage at its disposal.

Article IX Obligations of Party B

1. Party B shall properly keep the deliverable house property and be responsible for its repair and maintenance, and ensure that it is kept intact.

2. Before paying off the loan, without the written consent of Party A (before properly proceeding the house property mortgage registration, the written approval from Party C is still required), Party B shall not sell, lease, grant, give up, manage, pledge again part of or all the mortgage assets under this contract or liquidate other liabilities with pledges and in other ways.

Article X House property mortgage

1. Scope of mortgage guarantee: all the expenses to realize mortgage by Party A, such as principal of loans, interest, overdue interest, compound interest, default interest, attorney’s fee, collateral disposal charge and transfer fee, etc.

2. Mortgage registration (pre-registration):

(1) Party B shall provide Power of Attorney to entrust Party A or Party A and Party B shall jointly go through mortgage pre-registration or mortgage registration formalities of pre-order commercial housing and commercial housing in the real estate management authorities that are entitled to handle the said formalities with this contract, purchase contract and other relevant real estate ownership documentations.

(2) The mortgaged real estate ownership documentations, registered Certificate for Jus Alias for mortgage and other relevant documents shall be handed over to Party A for safekeeping.

3. Mortgage insurance

(1) Party B shall have the mortgaged assets insured as required by Party A.

(2) Party B shall not have the insurance withdrawn or interrupted with any reason unless the understanding balance under this contract is liquidated. If so, Party A shall be entitled to continue the insurance on behalf of Party B and have the right of recourse to relevant expenses arising therefrom against Party B. Such expenses shall be deducted from the proceeds realized out of the mortgage.

(3) The insurance policy shall specify that Party A is the first beneficiary of insurance compensation. The original insurance policy shall be kept by Party A.

(4) If the insured mortgage is subjected to the accidents within the scope of insurance, Party B shall immediately notify Party A and take effective measures to prevent further loss. The insurance compensation obtained shall be preferentially repaid to Party A.

(5) If the insured mortgage sustains losses beyond the scope of insurance, whether it is due to the fault of Party B, Party B shall timely inform Party A and provide other guarantees approved by Party A. Otherwise, Party A shall be entitled to recover loans in advance, and all the losses thus incurred shall be borne by Party B.

4. Release of mortgage

After Party B pays off to Party A the principal and interest and other accounts payable under this contract, Party A and Party B (or Party B) shall handle the formalities to cancel the mortgage registration in the Real Estate Management Department.

5. Disposal of mortgage

In case of one of the following situations, Party A shall be entitled to dispose of the mortgage and preferentially repaid. For the insufficient part, Party A shall continue its right of recourse against Party B:

(1) If Party B has not paid the principal and interest of the loans and relevant expenses in three consecutive months, or the payment of principal and interest of the loans of any period and relevant expenses is overdue more than three months or the cumulative delinquency is over six periods.

(2) After the loan term of this contract expires, Party B still has outstanding debts to be paid.

(3) Party B fails to comply with other terms and conditions of this contract.

Article XI Obligations of Party C

Party C promises that since the signing of this contract till the date when Party B acquires the certificate of premises ownership, properly handles mortgage registration and submit relevant mortgage documents to Party A for safekeeping, it will bear joint guaranty liability for the principal, interest, overdue interest, default interest of all the loans and other related expenses of Party B owed to Party A.

i. In case of one of the following situations, Party C shall repurchase the said house property and its rights and interests, pay back all the debts of Party Party B owed to Party A, and waive the right of dense:

1. Party B provides false information to gain loans by fraud, which has caused or is likely to cause loan losses.

2. Within the loan term, when found missing, declared missing, or determined as the one without or with limited capacity for civil acts, etc., Party B has no successor(s) or legal guardian(s).

3. The successor(s) or legal guardian(s) of Party B refuse(s) or is/are unable to pay back the principal and interest of the loans on schedule after the occurrence of one of the above particulars, or the successor(s) waive(s) the right of succession.

ii. When Party B fails to pay off the principal and interest of the loans and relevant expenses on schedule as required by the contract, Party A shall directly deduct the same from the insurance premium account opened by Party C at Party A’s and Party C is liable for the collection from Party B. When Party B fails to pay back the principal and interest of the loans in three consecutive months, or the overdue payment of any period is more than three months or the accumulated postponement is over six months, Party A shall send the notice to require Party C to perform the repurchase obligations. Within seven days after Party C receives the said notice, it shall pay off all the matured or unmatured debts of Party B owed to Party A.

iii. If Party C fails to repurchase the house property on time, Party A shall charge Party C for the liquidated damaged every day, in accordance with five (in words) ten thousandth of the amount owed of Party B, and have the right to take appropriate legal means to demand Party C to perform its repurchase liabilities.

Article XII Bearing of expenses

1. Party B shall pay Party A  /  yuan for handling charge and cost of production.

2. Relevant expenses involved with the notarization, mortgage and insurance, etc. mentioned in this contract shall be paid by Party B.

3. If the loans fail to be granted not because of Party A, all the expenses charged by Party A shall not be refundable.

Article XIII Liability for breach of contract

If any party of this contract fails to fulfill the obligations as agreed, it shall be liable for breach of contract and compensate for losses.

Article XIV Notarization of contract

Within  /  days after the signing of this contract, notarization of    shall be carried out in the public notary office.

Article XV Alteration and termination of contract

1. After this contract takes effect, any party shall not alter or terminate the contract without authorization. The alteration of the contract shall be conducted through negotiation among Party A, Party B and Party C, and the alteration agreement shall be signed and concluded in accordance with the law.

2. If Party B transfers to the third party the rights and obligations under this contract, it shall obtain the prior written consent from Party A and Party C. The said transfer shall come into effect after the transferee resigns a loan contract with Party A and Party C; meanwhile, the original contract shall be terminated.

Article XVI Resolution of disputes

Any dispute incurred during the performance of this contract may be settled by parties hereto; if such dispute is to be resolved by lawsuit, it shall be subject to the people’s court at the location of Party A. During negotiation or litigation, the terms not under dispute shall continued its implementation.

Article XVII Others

1. During the contract term, if the residence or name of Party B or Party C is changed, Party A shall be notified within five days; otherwise, relevant documents sent by Party A to the address(es) as set forth in this contract shall be deemed to be served.

Special cross-page seal for loan contract