On November 5^th, a source said that HiboLED, an LED enterprise of RMB 100mn-class based in Shenzhen, halted the production. In response to it, Zhao Hui, president of HiboLED, said that the enterprise did not shut down and it was merely a ‘compensatory time off’. He added that HiboLED will resume the work today and that the company will pay the delayed wages to the employees as soon as possible and the money owed to the suppliers step by step.

Zhao Hui also admitted that the company came across some difficulties in management, mainly caused by the unreturned investment of RMB 10mn program in lighting. He told our reporters, “HiboLED is certain to resume the work”. He believes that the operations will return to normal.

Our reporters learned from the source that HiboLED failed to pay RMB 20mn to the suppliers. Zhao Hui said the figure is not true, but he didn’t disclose the exact figure. He noted that they are unable to repay all the money at once, but they will manage to solve it step by step.
 
At the same time, HiboLED also delayed the payment of RMB 2mn to the employees. Zhao Hui said they will settle it as soon as possible. He promised to pay the wages of the September before 9^th of this month and the wages of the October before 25^th."

However, according to an employee, our reporters learned that Zhao Hui made similar commitments before, but failed to keep it. The employee also doubts that the operation can return to normal. Our reporters will follow up the progress of the issue.

HiboLED specializes in LED display and also engaged in LED lighting. Last year, it achieved the revenue of RMB 200 million. This year, it targets the sales revenue of RMB 500 million. In the first half of this year, the company was recognized as a "Well-known Brand of Shenzhen".