Legal analysis: the liquidation report is issued by the liquidation group, and the audit report and evaluation report are only a basis for the liquidation group to issue the liquidation report. The liquidation group shall pass the liquidation report, and those that fail shall not take effect. The liquidation report shall be signed by the members of the liquidation group and filed in the industrial and commercial bureau. After the liquidation group has passed the audit report, the shareholders' meeting shall also consider and pass the liquidation report.

Legal basis: Article 185 of the Company Law of People's Republic of China (PRC).

The liquidation group shall exercise the following functions and powers during the liquidation period: (1) Clean up the assets of the company and prepare a balance sheet and a list of assets respectively; (2) Notify and announce creditors. (3) Handling the unfinished business of the company related to liquidation; (four) to pay the taxes owed and the taxes generated in the liquidation process; (5) Clearing up creditor's rights and debts; (6) Disposing of the company's remaining property after paying off debts; (seven) to participate in civil litigation activities on behalf of the company.