Company: AVNI
Filing Date: 2025-08-15
Form Type: 10-Q
Source: 0001713282-25-000654
Chunk: 22

Company: ARVANA INC
Filing Date: 2025-08-15
Form: 10-Q
Item: Item 4
Chunk 22
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ITEM 4.      CONTROLS   
          AND PROCEDURES
------------------------
Evaluation of Disclosure Controls and Procedures
 
In connection with the preparation of this Quarterly Report, the Company’s management, with the participation of the Chief Executive Officer and the Chief Financial Officer, conducted an evaluation of the effectiveness of the Company’s disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”)). Disclosure controls and procedures are designed to ensure that information required to be disclosed in reports filed or submitted under the Exchange Act is recorded, processed, summarized, and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to management, to allow timely decisions regarding required disclosures.
 
Based on this evaluation, management concluded that the Company’s disclosure controls and procedures were not effective as of June 30, 2025. This conclusion was due to the continued existence of a material weakness related to the lack of sufficient accounting personnel to achieve a proper segregation of duties within the finance and accounting functions.
 
During the second quarter of 2025, the Company remediated previously identified material weaknesses related to the application of certain accounting policies including the capitalization of website development costs, accrual of professional fees, accounting for stock-based compensation, and missing disclosures in the financial statements. As a result, those deficiencies have been corrected and removed from management’s list of material weaknesses. Notwithstanding these remediation efforts, the material weaknesses related to segregation of duties remained as of June 30, 2025. The Company continues to implement additional accounting policies and procedures designed to strengthen internal controls over financial reporting.
 
As part of its remediation plan, the Board of Directors appointed a new Chief Financial Officer on May 20, 2025, to assist with implementing improvements to the Company’s financial reporting and internal control processes, including measures to identify and address any potential remaining material weaknesses.
 
25

Changes in Internal Control over Financial Reporting
 
There were material changes in the Company’s internal control over financial reporting (as defined in Rule 13a-15(f) of the Exchange Act) during the three months ended June 30, 2025, that materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting. These changes included:

•                                             Appointed                                           
     a new Chief Financial Officer and reallocated financial oversight responsibilities from the  
                      Chief Executive Officer