Company: IVHI
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0001683168-25-001303
Chunk: 103

Company: Invech Holdings, Inc.
Filing Date: 2025-03-03
Form: 10-K
Item: Item 1B
Chunk 103
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 controls and procedures were not effective in ensuring that: (i) information required to be disclosed
by the Company in reports that it files or submits to the Securities and Exchange Commission under the Exchange Act is recorded, processed,
summarized, and reported within the time periods specified in applicable rules and forms and (ii) material information required to be
disclosed in our reports filed under the Exchange Act is accumulated and communicated to our management, including our CEO and CFO, as
appropriate, to allow for accurate and timely decisions regarding required disclosure.

Disclosure controls and
procedures were not effective due primarily to a material weakness in the segregation of duties in the Company’s internal control
of financial reporting as discussed below.

 19 

Internal Control
over Financial Reporting

Management is responsible
for establishing and maintaining adequate internal control over financial reporting for the Company (including its consolidated subsidiaries)
and all related information appearing in our Annual Report on Form 10-K. Our internal control over financial reporting is designed to
provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external
purposes in accordance with accounting principles generally accepted in the United States of America

Management conducted
an evaluation of the design and operation of our internal control over financial reporting as of the end of the period covered by this
report, based on the criteria in a framework developed by the Company’s management pursuant to and in compliance with the criteria
established. This evaluation included review of the documentation of controls, evaluation of the design effectiveness of controls, walkthroughs
of the operating effectiveness of controls and a conclusion on this evaluation. Based on this evaluation, management has concluded that
our internal control over financial reporting was not effective, because management identified a material weakness in the Company’s
internal control over financial reporting related to the segregation of duties as described below.

While the Company does
adhere to internal controls and processes that were designed, it is difficult with a very limited staff to maintain appropriate segregation
of duties in the initiating and recording of transactions, thereby creating a segregation of duties weakness. Due to: (i) the significance
of segregation of duties to the preparation of reliable financial statements; (ii) the significance of potential misstatement that could
have resulted due to the deficient controls; and (iii) the absence of sufficient other mitigating controls, we determined that this control
deficiency resulted in more than a remote likelihood that a material misstatement or lack of disclosure within the annual or interim financial
statements may not be prevented or detected.

Management