Edgar Online “Glimpses “
Item 5.02. Departure of Directors or Certain Officers; Election
of Directors; Appointment of Certain Officers;
Compensatory Arrangements of Certain Officers.
On September 1, 2010, Junjun Xu notified China INSOnline Corp. (the “Company”)
of her resignation from the Company’s board of directors (the “Board”) and as
its chief executive officer, effective immediately. Ms. Xu is resigning from her
positions due to personal reasons which have limited the time she can devote to
the Company. Ms. Xu’s resignation was not the result of any disagreement with
the Company on any matter.
On September 1, 2010, the Board appointed Zhenyu Wang to serve as its chief
executive officer, effective immediately. Mr. Wang has served as the Chairman of
the Board since 2008. Pursuant to his appointment as chief executive officer,
the Company and Mr. Wang entered into an employment agreement whereby Mr. Wang
will receive an annual salary of $240,000. In return Mr. Wang will devote his
full time and attention to the Company and during his employment will not engage
in any other business activities. (The employment agreement does not prohibit
Mr. Wang from investing in other businesses, provided that, such investments do
not require his active involvement in such companies’ operations.) In addition
Mr. Wang agreed that during his employment he will not disclose confidential
information, including trade secrets, outside the Company. The Company may
terminate Mr. Wang’s employment upon 30 days prior written notice, thereupon the
Company must provide Mr. Wang a severance payment of $20,000 at termination. Mr.
Wang may also terminate his employment upon 30 days prior written notice,
however, in such event a severance payment will not be made. The Company may
also terminate Mr. Wang’s employment upon 30 days prior written notice if the
Company undergoes a change of control, dissolution or bankruptcy event.
Mr. Wang has served as Chairman of the Board of the Company since January 4,
2008. From 2004 through 2009, Mr. Wang also served as Chairman of Huayuan
Runtong (Beijing) Science and Technology Co., Ltd., General Manager of Huayuan
Kaituo (Beijing) Science and Technology Co., Ltd., Chairman of Beijing Putaika
Guarding Technology Co., Ltd. From 2001 through 2009, Mr. Wang served as
Chairman of Beijing Jinzheng Wantong Network Technology Development Co.,
Ltd. Prior to this, Mr. Wang served as Chairman of Kaixin Jiye Investment
Management Co., Ltd. from November 1994 through July 2001. Mr. Wang earned a
master’s degree (EMBA) from Peking University.
During 2008 and 2009, Mr. Wang advanced funds to the Company for working capital
purposes. As of September 1, 2010, the principal amount outstanding pursuant on
these loans is $317,506. The outstanding amounts are non-interest bearing,
unsecured and have no fixed repayment terms.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits
Exhibit Description
Number
10.1 Employment Agreement dated September 1, 2010,
between China INSOnline Corp. and Zhenyu Wang.