Ernst & Young Certified Public Accountants 15/F Hutchinson House 10 Harcourt Road Central Hong Kong Phone: 852 2846 9888 852 2526 5371 Fax: 852 2868 4432 852 2845 9208 Our ref: CYT/WLMK/230942/9 December 15, 1997 The Board of Direftors China Continental, Inc. Room 1801-1806 Hua Qin International building 340 Queens's Road Central Hong Kong Attn: Mr. Eric Ng Dear Sirs: This is to confirm that the auditor client relationship betrween china Continental, Inc. (Commission File Number 33-3276-D) and Ernst & Young has ceased. Yours faithfully /s/ Ernst & Young cc: Office of the Chief Accountant SECPS Letter File Securities and Exchange Commission 450 Fifth Street, N.W. Washington, D.C. 20549