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Organization and Nature of Business Operations (Narrative) (Details)
9 Months Ended
Sep. 30, 2013
Gold Lion Holding Limited
 
Entity Incorporation, State Country Name British Virgin Islands
Entity Incorporation, Date of Incorporation Sep. 22, 2009
Jiangsu Leimone Electronics Co. Ltd
 
Entity Incorporation, State Country Name People's Republic of China
Entity Incorporation, Date of Incorporation Sep. 22, 2009
Tianjin Tong Guang Group Digital Communication Co., Ltd
 
Entity Incorporation, State Country Name People's Republic of China
Entity Incorporation, Date of Incorporation Sep. 22, 2009
Disposal Date Sep. 30, 2013
Profit Harvest Corporation Limited
 
Entity Incorporation, State Country Name Hong Kong
Entity Incorporation, Date of Incorporation Sep. 22, 2009
Disposal Date Dec. 31, 2012
Silver Tech Enterprises Ltd
 
Entity Incorporation, State Country Name British Virgin Islands
Entity Incorporation, Date of Incorporation Jun. 01, 2010
Ever Elite Corporation Limited
 
Entity Incorporation, State Country Name Hong Kong
Entity Incorporation, Date of Incorporation Jun. 01, 2010
Disposal Date Apr. 05, 2013
Nollec Wireless Company Ltd
 
Entity Incorporation, State Country Name People's Republic of China
Entity Incorporation, Date of Incorporation Jun. 01, 2010
Disposal Date Apr. 05, 2013
Celestial Digital Entertainment, Ltd.
 
Entity Incorporation, State Country Name Hong Kong
Entity Incorporation, Date of Incorporation Jan. 04, 2011
Disposal Date Dec. 31, 2012
Zoom USA Holdings, Inc.
 
Entity Incorporation, State Country Name Delaware
Entity Incorporation, Date of Incorporation Oct. 11, 2011
Portables Unlimited LLC
 
Entity Incorporation, State Country Name New York
Entity Incorporation, Date of Incorporation Oct. 11, 2011
Loan Default

As of August 19, 2013, the Company is in default of the promissory note for $2,000,000 owed to Portables Unlimited, Inc. The Company is working with Portables Unlimited, Inc. to cure its default. If the Company is not able to cure the default, the Company's ownership interest could pass to Portables Unlimited, Inc.

 

 

Zoom Technologies, Inc.
 
Entity Incorporation, State Country Name Delaware
Entity Incorporation, Date of Incorporation Feb. 28, 2002
Description and Timing of Disposal

On December 31, 2012, Zoom Technologies, Inc. ("Zoom" or the "Company") entered into a Share Purchase Agreement (the "SPA") with Beijing Zhumu Culture Communication Company, Ltd. (the "Purchaser"), a PRC company that provides services to the telecommunication industry. Pursuant to the SPA, the Company agreed to sell (the "Subsidiary Sale") to the Purchaser all the equity interests the Company holds in its China based subsidiaries (except for SpreadZoom Technologies Co., Ltd. ("SpreadZoom") as mentioned below), which include 100% of the outstanding equity interest of Ever Elite Corporation Limited, an intermediary holding company incorporated in Hong Kong, and its wholly owned subsidiary, Beijing Nollec Wireless Company ("Nollec"), 80% of the outstanding equity interest of Tianjin Tongguang Group Digital Communication Company, Ltd. ("TCBD"), 100% of the outstanding equity interest of Profit Harvest Corporation, Ltd. ("Profit Harvest"), and 100% of the outstanding equity interest of Celestial Digital Entertainment, Ltd. ("CDE"). As consideration for the Subsidiary Sale, the Purchaser agreed to pay to the Company RMB 200 million (approximately US$31.7 million) (the "Purchase Price"), subject to adjustment pending an appraisal by an independent third party appraiser. The Company on October 24, 2012 received approximately $12.6 million (RMB 80 million) less and bank charges; the Company on November 5, 2012, received $19.1 million (RMB 120 million) less transaction fees and bank charges. As of the date of this current report, the Purchaser has remitted the entire amount of RMB 200 million to the Company. A portion of the funds, approximately RMB 80 million, was released to the Company to use; accordingly, in the normal course of business, the Company deployed those funds to SpreadZoom and Tianjian Leimone as detailed in "Note 11 - Related Party Transactions". Upon the final closing of the Subsidiary Sale, which will occur 30 days after the Company receives all the requisites corporate and regulatory approvals with respect to the Subsidiary Sale, the balance of the escrowed funds will be released to the Company.

The Company's ownership interest in SpreadZoom, which owns and operates mobile phone manufacturing facilities in Tianjin, is not part of the Subsidiary Sale. In addition, the Company will, through Portables Unlimited, LLC, its U.S. based subsidiary, continue to operate the wholesale distributor business for T-Mobile products and services in the United States. The Company may make contracts with the Purchaser for future businesses.

The closing of the sale of Profit Harvest and CDE occurred on December 31, 2012; the closing of the sale of Ever Elite and Nollec occurred on April 5, 2013