Company: CENN
Filing Date: 2025-04-01
Form Type: 10-K
Source: 0001140361-25-011607
Chunk: 31

Company: Cenntro Inc.
Filing Date: 2025-04-01
Form: 10-K
Item: Item 9A
Chunk 31
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 any, within the Company have been
        detected.

Our management conducted an evaluation of the effectiveness of our internal control over financial reporting. Based on this evaluation, management concluded that Cenntro has
        limited accounting personnel and other resources with which to address its internal control over financial reporting in accordance with requirements applicable to public companies.  Historically, Cenntro had not retained a sufficient number of
        professionals with an appropriate level of accounting knowledge, training and experience to appropriately analyze, record and disclose accounting matters under U.S. GAAP.

Management’s Remediation Initiatives

Management has taken- and is continuing to take-actions to remediate our material weakness and strengthen our internal control over our financial reporting and risk management.
        In 2022, we steadily increased our finance team resources based in our Freehold, NJ, headquarters.  Also in in January 2022, we appointed our Financial Controller for North America who is a CPA license holder.

As of the date of this report, we have a total of four professionals on our finance team in the United States including two certified public accountants (CPAs) and one staff
        accountant with public accounting experience who has passed their CPA exams. We intend to hire additional professional accountants with greater familiarity with U.S. GAAP and SEC reporting requirements. Additionally, we have retained a consulting
        firm to assist us in assessing our compliance with The Sarbanes-Oxley Act to help us (i) further develop and implement formal policies, processes and documentation procedures relating to our financial reporting as well as (ii) address the
        accounting function’s staffing needs and training and strengthen our internal control processes. Our material weakness will not be considered remediated until management completes the design and implementation of the measures described above and
        the controls operate for a sufficient period of time and management has concluded that these controls are effective.

Changes in Internal Controls over financial reporting

No change in our internal control over financial reporting occurred during the fiscal year ended December 31, 2024 that has materially affected, or is reasonably likely to
        materially affect, our internal control over financial reporting.