Company: FLYE
Filing Date: 2025-07-15
Form Type: 10-K
Source: 0001213900-25-064293
Chunk: 1755

Company: Fly-E Group, Inc.
Filing Date: 2025-07-15
Form: 10-K
Item: Item 9A
Chunk 1755
---
 by outsourcing our IT department
to a provider to manage PC operations and system monitoring. Furthermore, we are developing and plan to implement an enterprise resource
planning system to streamline sales, inventory, financial reporting, and order management. We will devote resources to remediate these
material weaknesses as we grow and such resources required for implementing proper internal controls for financial reporting are available. 

43

We
have performed testing to evaluate the operating effectiveness of these remediation measures. Based on the results of our testing, we
concluded that these material weaknesses had not been fully remediated as of March 31, 2025. Accordingly, we continue to consider these
material weaknesses to be ongoing as of that date.

As
of March 31, 2025, we believe that our internal controls over financial reporting were not effective in providing reasonable assurance
regarding the reliability of our financial reporting due to the material weaknesses identified above.

This annual report on Form
10-K does not include an attestation report of our registered public accounting firm.

Changes in Internal Control over Financial
Reporting

Other than the additional
controls added to the revenue process, there was no change in our internal control over financial reporting that occurred during the
fourth quarter of March 31, 2025 that has materially affected, or is reasonably likely to materially affect, our internal control over
financial reporting.

Our disclosure controls and
procedures and internal control over financial reporting are designed to provide reasonable assurance of achieving the desired control
objectives. Our management recognizes that any control system, no matter how well designed and operated, is based upon certain judgments
and assumptions and cannot provide absolute assurance that its objectives will be met. In addition, the design of disclosure controls
and procedures must reflect the fact that there are resource constraints and that management is required to apply judgment in evaluating
the benefits of possible controls and procedures relative to their costs. Similarly, an evaluation of controls cannot provide absolute
assurance that misstatements due to error or fraud will not occur or that all control issues and instances of fraud, if any, have been
detected.

Item 9B. Other Information

We have adopted an insider
trading policy. Our insider trading policy is filed as an exhibit to this annual report and is
incorporated herein by reference.

Item 9C. Disclosure Regarding Foreign Jurisdiction
that Prevent Inspections.

Not applicable.

44

Part III

Item 10. Directors, Executive Officers and
Corporate Governance

Executive Officers and Directors