Related Party Transactions

3 Months Ended

Mar. 31, 2019

Related Party Transactions [Abstract]

Related Party Transactions

NOTE 12. Related Party Transactions

The following is the list of the related parties with which the Group has had transactions:

(a) Junsheng Zhang, the Chairman of the Company

(b) Harbin Baiyi Real Estate Development Co., Ltd., owned by Junsheng Zhang

(c) Harbin Jiarun Pharmacy Co., Ltd., owned by Junsheng Zhang

(d) Heilongjiang Province Runjia Medical Equipment Company Limited, owned by Junsheng Zhang

(e) Jiarun Super Market Co., Ltd., owned by Junsheng Zhang

(f) Harbin Qi-run Pharmacy Limited, owned by Junsheng Zhang

(g) Yanhua Xing and Weiguang Song, the former shareholders of JHCL

Amount due from related parties

Amount due from related parties consisted of the following as of the periods indicated: 

Name of related parties	March 31, 2019		December 31, 2018
	(Unaudited)
Harbin Baiyi Real Estate Development Co., Ltd	$	-	$	99,811
Harbin Jiarun Pharmacy Co., Ltd		2,460		-
Junsheng Zhang		46,500		46,500
Yanhua Xing		2,450		2,450
Weiguang Song		1,050		1,050
	$	52,460	$	149,811

Amount due from Junsheng Zhang, Yanhua Xing and Weiguang Song, who are the prior shareholders of JHCL, was mainly for the paid-in capital to be paid.

Amount due to related parties

Amount due to related parties consisted of the following as of the periods indicated: 

	March 31,		December 31,
Name of related parties	2019		2018
	(Unaudited)
Harbin Jiarun Pharmacy Co., Ltd	$	-	$	1,211
Heilongjiang Province Runjia Medical Equipment Co., Ltd		7,972		1,614
Jiarun Super Market Co., Ltd.		40,422		39,042
Harbin Qi-run Pharmacy Co., Ltd		17,244		17,280
Junsheng Zhang		50,000		50,000
	$	115,638	$	109,147

Amount due to Harbin Jiarun Pharmacy Co., Ltd., Harbin Qi-run pharmacy Co., Ltd and Heilongjiang Province Runjia Medical Equipment Company Limited were mainly for the balance for purchase of pharmaceuticals and medical material from these four companies.

Amounts due to Junsheng Zhang represented the balance paid by Mr. Zhang for the daily operation of the Company.

Related parties’ transactions

Purchase of pharmaceuticals and medical material from related parties consisted of the following for the periods indicated:

	For three months ended March 31,
Name of related parties	2019		2018
Harbin Jiarun Pharmacy Co., Ltd	$	3,701	$	57,828
Heilongjiang Province Runjia Medical Equipment Co., Ltd		7,619		1,683
Harbin Qi-run pharmacy Co., Ltd		-		1,019
	$	11,320	$	60,530

Deposits for capital leases and Capital lease obligations

On June 5, 2013, Jiarun entered into a Lease Agreement to lease a new hospital building from Harbin Baiyi Real Estate Development Co., Ltd, which is owned by Junsheng Zhang, a related party. As of March 31, 2019, the Company has balance of deposits for capital leases and capital lease obligations of $447,021 and $13,148,213 respectively. As of December 31, 2018, the Company has balance of deposits for capital leases and capital lease obligations of $477,656 and $14,271,606 respectively.