Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 1171

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 5
Chunk 1171
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 Carmel by the Sea, California, 93921. A
copy of our Code of Conduct and Ethics can be found at www.ipsipay.com.

Composition of
the Board

In accordance with our Articles of Incorporation,
our board is to be elected annually as a single class.

31

Board Committees

We currently do not have
a separate Audit Committee, Nominating, Governance Committee or Compensation Committee. Our full board currently serves as our Audit Committee
and Compensation Committee. Due to the size of our Board of Directors and our company, we believe the structure is sufficient. None of
our directors is considered an “Audit Committee” financial expert. The Audit Committee will review the results and scope of
the audit and other services provided by the independent auditors and review and evaluate the system of internal controls. The Compensation
Committee will manage any stock option plan we may establish and review and recommend compensation arrangements for the officers. The
Nominating and Governance Committee will assist our Board of Directors in fulfilling its oversight responsibilities and identify, select
and evaluate our Board of Directors and committees. No final determination has yet been made as to the memberships of the other committees.

We will reimburse all
directors for any expenses incurred in attending directors’ meetings provided that we have the resources to pay these fees. We will
provide officers and directors liability insurance.

Leadership Structure

The chairman of our Board
of Directors, and Chief Executive Officer positions are currently the same person, Mr. Corbett. Our Bylaws do not require our Board of
Directors to separate the roles of chairman and chief executive officer but provides our Board of Directors with the flexibility to determine
whether the two roles should be combined or separated based upon our needs.  Our Board of Directors believes the combination
of the chairman and the chief executive officer roles is the appropriate structure for our company at this time. Our Board of Directors
believes the current leadership structure serves as an aid in the Board of Directors’ oversight of management and it provides us
with sound corporate governance practices in the management of our business.

Risk Management

Our Board of Directors
discharges its responsibilities, and assesses the information provided by our management and the independent auditor, in accordance with
its business judgment.  Management is responsible for the preparation, presentation, and integrity of the Company’s financial
statements, and management is responsible for conducting business in an ethical and risk mitigating manner where decisions are undertaken
with a culture of ownership.  Our Board