Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 783

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 4
Chunk 783
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 external cybersecurity assessment
in order to further strengthen its infrastructure and cybersecurity framework. 

96

Even though the Company
has taken the relevant steps to ensure that such breach does not occur again, because techniques used to sabotage or obtain unauthorized
access to systems change frequently and generally are not recognized until they are launched against a target, we may be unable to anticipate
these techniques or to implement adequate preventative measures. Any cybersecurity incident like the one we recently experienced, accidental
or willful security breaches or other unauthorized access to our systems could cause confidential information to be stolen and used for
criminal purposes. Cybersecurity incidents, security breaches or unauthorized access to confidential information could also expose us
to liability related to the loss of the information, time-consuming and expensive litigation and negative publicity. If security measures
are breached because of third-party action, employee error, malfeasance or otherwise, or if design flaws in our technology infrastructure
are exposed and exploited, our relationships with our Hosts and Guests could be severely damaged, we could incur significant liability,
and our business and operations could be adversely affected. Additionally, if we fail to protect confidential information, we may be
susceptible to potential claims such as breach of contract, negligence or other claims. Such claims will require significant time and
resources to defend and there can be no assurances that favorable final outcomes will be obtained.

An increasing number of organizations,
including large online and offline merchants and businesses, other large Internet companies, financial institutions, and government institutions
have disclosed breaches of their information security systems and other information security incidents, some of which have involved sophisticated
and highly targeted attacks. In addition, users on our platform could have vulnerabilities on their own mobile devices that are entirely
unrelated to our systems and platform, but which could mistakenly be attributed to us and our system and platform. Further, breaches experienced
by other companies may also be leveraged against us. For example, credential stuffing and ransomware attacks are becoming increasingly
common, and sophisticated actors can mask their attacks, making them increasingly difficult to identify and prevent. Certain efforts may
be state-sponsored or supported by significant financial and technological resources, making them even more difficult to detect. If a
third party or employee circumvents any of our security measures or those of our third-party service providers, they may access, misappropriate,
delete, alter, publish, or modify this information, which could cause interruptions in our business and operations, fraud or loss to third
parties, regulatory enforcement actions