4. DISCONTIUED OPERATIONS

On October 17, 2019, the Board approved the Plan under which the Company has discontinued and is winding down its online P2P lending services business. The Company determined that the continued operation of its online P2P lending services business was not viable in light of the recently tightened regulations on online peer-to-peer lending in China generally and the unofficial request from local regulator to reduce the Company’s online peer-to-peer lending transaction volume on a monthly basis. The Company also determined that the discontinuation of its online P2P lending services business would allow the Company to focus its resources on its automobile financing facilitation and transaction business. In connection with the Plan, the Company ceased facilitation of loan transactions on its online lending platform and assumed all the outstanding loans from investors on the platform. The decision and action taken by the Company of discontinuing the online lending services business represented a major shift that will have a major effect on the Company’s operations and financial results, which triggers discontinued operations accounting in accordance with ASC 205-20-45.

The fair value of discontinued operations, determined as of October 17, 2019, includes estimated consideration expected to be received, less costs to sell. After consideration of the determination of fair value of the discontinued operations including the assumption of all the outstanding loans from investors on the platform, $143,361 of accounts receivable, $3,749,284 of other receivables, and $143,636 of prepayments for impaired intangible assets were indicated as of December 31, 2019 and the Company recognized $3,998,953 and $4,036,281 provision for doubtful accounts for the three and nine months ended December 31, 2019, respectively, in related to the Company's online lending services business.

The following table sets forth the reconciliation of the carrying amounts of major classes of assets and liabilities from discontinued operations in the unaudited condensed consolidated balance sheets as of December 31, 2019.

Carrying amounts of major classes of assets included as part of discontinued operations:


	December 31,		March 31,
	2019		2019
	(Unaudited)

Current Assets
Cash and cash equivalents	$	9,520	$	1,052,530
Accounts receivable, net		—		126,272
Prepayments, receivables and other assets, net		910,565		6,214
Total Current Assets		920,085		1,185,016

Property and equipment, net		13,883		25,205

Other Assets
Right-of-use assets		133,062		—
Intangible assets, net		28,819		294,464
Prepayment for intangible assets		—		190,706
Total Other Assets		161,881		485,170

Total Assets	$	1,095,849	$	1,695,391

Carrying amounts of major classes of liabilities included as part of discontinued operations:


	December 31,		March 31,
	2019		2019
	(Unaudited)

Current Liabilities
Advance from customers	$	8,277	$	7,220
Accrued expenses and other liabilities		4,549,953		538,512
Due to stockholders		144,456		1,080,047
Due to related parties and affiliates		118,652		—
Lease liabilities		133,062		—
Total Current Liabilities		4,954,400		1,625,779

Total liabilities	$	4,954,400	$	1,625,779

The following table sets forth the reconciliation of the amounts of major classes of income and losses from discontinued operations in the consolidated statements of operations and comprehensive loss for the three and nine months ended December 31, 2019.


	For the Three Months Ended				For the Nine Months Ended
	December 31,				December 31,
	2019		2018		2019		2018
	(Unaudited)		(Unaudited)		(Unaudited)		(Unaudited)
Revenues	$	4,294	$	91,121	$	112,618	$	287,655

Operating expenses
Selling, general and administrative expenses		(387,895)		(396,459)		(1,387,059)		(1,652,778)
Provision for doubtful accounts		(3,998,953)		—		(4,036,281)		—
Amortization of intangible assets		(3,866)		(60,474)		(30,321)		(233,562)
Impairments of intangible assets and goodwill		—		—		(264,958)		—
Total operating expenses		(4,390,714)		(456,933)		(5,718,619)		(1,886,340)

Loss from operations		(4,386,420)		(365,812)		(5,606,001)		(1,598,685)

Other (expense) income, net		(12,816)		4,151		12,374		15,055

Loss before income taxes		(4,399,236)		(361,661)		(5,593,627)		(1,583,630)

Income tax expenses		—		—		—		—

Net loss attributable to stockholders	$	(4,399,236)	$	(361,661)	$	(5,593,627)	$	(1,583,630)