Guangzhou R&F Properties (HKG:2777) has been added to China's list of dishonest persons subject to enforcement, according to a Tuesday Hong Kong bourse filing.
The company is required to make a one-off payment of 429.2 million yuan to the applicant under an effective legal document.
The case was filed with the Guangzhou Tianhe District People's Court on June 25.
R&F said the status resulted from a violation of the property reporting system. The company is communicating with relevant institutions to seek a solution and will take measures to limit the impact on its operations and its ability to repay debt.
Shares of the firm were down nearly 5% in Tuesday's midday trade.