Restricted Net Assets

12 Months Ended

Jun. 30, 2019

Restricted Net Assets [Abstract]

RESTRICTED NET ASSETS

NOTE 19 – RESTRICTED NET ASSETS

The Company's operations are primarily conducted through its PRC subsidiaries, which can only pay dividends out of their retained earnings determined in accordance with the accounting standards and regulations in the PRC and after it has met the PRC requirements for appropriation to statutory reserves. In addition, the Company's businesses and assets are primarily denominated in RMB, which is not freely convertible into foreign currencies. All foreign exchange transactions take place either through the People's Bank of China or other banks authorized to buy and sell foreign currencies at the exchange rates quoted by the People's Bank of China. Approval of foreign currency payments by the People's Bank of China or other regulatory institutions requires submitting a payment application form together with suppliers' invoices, shipping documents and signed contracts. These currency exchange control procedures imposed by the PRC government authorities may restrict the ability of the Company's PRC subsidiaries to transfer their net assets to the Parent Company through loans, advances or cash dividends.

The Company's PRC subsidiaries net assets as of June 30, 2019 and 2018 exceeded 25% of the Company's consolidated net assets. Accordingly, condensed Parent Company financial statements have been prepared in accordance with Rule 5-04 and Rule 12-04 of SEC Regulation S-X, and are as follows.

Parent Company Financial Statements

PARENT COMPANY FINANCIAL INFORMATION OF CHINA GREEN AGRICULTURE, INC.

Condensed Balance Sheets	As of June 30,
	2019			2018
ASSETS
Current Assets:
Cash and cash equivalents	$	78,406		$	16,952
Other current assets		8,270,071			71
Total Current Assets		8,348,476			17,022
Long-term equity investment		406,084,910			400,248,804
Total long-term assets		406,084,910			400,248,804
Total Assets	$	406,163,387		$	400,265,826
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable	$	214,520		$	214,520
Amount due to related parties		2,592,986			2,183,756
Other payables and accrued expenses		6,800,194			5,319,763
Total Current Liabilities		9,607,701			7,718,039
Stockholders' Equity
Common stock, $.001 par value, 115,197,165 shares authorized, 3,986,912 and 38,896,945 shares issued and outstanding as of June 30, 2019 and June 30, 2018, respectively		3,987			38,897
Additional paid in capital		138,012,445			129,337,035
Accumulated other comprehensive income		(19,821,211	)		(3,598,215	)
Retained earnings		278,360,465			266,770,070
Total Stockholders' Equity		396,555,686			392,547,787
Total Liabilities and Stockholders' Equity	$	406,163,387		$	400,265,826

Condensed Statements of Operations	Year ended June 30,
	2019		2018
Revenue	$	-	$	-
General and administrative expenses		1,807,010		1,417,855
Interest income		9		6
Provision for tax		0		29,010,535
Equity investment in subsidiaries		13,397,397		23,497,159
Net income	$	11,590,395	$	(6,931,225	)

Condensed Statements of Cash Flows	Year Ended June 30,
	2019			2018
Net cash provided by (used in) operating activities	$	(8,617,776	)	$	(29,438,540	)
Net cash provided by investing activities		-			-
Net cash provided by financing activities		8,679,230			195,013
Cash and cash equivalents, beginning balance		(29,103,559	)		139,969
Cash and cash equivalents, ending balance	$	(29,042,104	)	$	(29,103,559	)

Notes to Condensed Parent Company Financial Information

As of June 30, 2019, and 2018, there were no material contingencies, significant provisions for long-term obligations, or guarantees of the Company, except as separately disclosed in the Consolidated Financial Statements, if any. Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. GAAP have been condensed or omitted.