Company: ZCARW
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110391
Chunk: 928

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1
Chunk 928
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 and Guests, may not always comply with these financial laws and regulations. Regulators may determine that certain aspects of
our business are subject to these laws and could require us to obtain licenses to continue to operate in India. We have evaluated and
will continue to critically evaluate our options for seeking applicable licenses and approvals in the jurisdictions where we operate to
optimize our payment solutions and support the future growth of our business. Laws related to money transmission and online payments are
evolving, and changes in such laws could affect our ability to provide payment processing on our platform in the same form and on the
same terms as we have historically, or at all.

Historical or future non-compliance
with these laws or regulations could result in significant criminal and civil lawsuits, penalties, forfeiture of significant assets, or
other enforcement actions. Costs associated with fines and enforcement actions, as well as reputational harm, changes in compliance requirements,
or limits on our ability to expand our product offerings, could harm our business.

Further, our payment system
may be susceptible to illegal and improper uses, including money laundering, terrorist financing, fraudulent transactions, and payments
to sanctioned parties. We have invested and will continue to invest substantial resources to comply with applicable anti-money laundering
and sanctions laws and conduct appropriate risk assessments and implement appropriate controls. Government authorities may seek to bring
legal action against us if our payment system is used for improper or illegal purposes or if our enterprise risk management or controls
are not adequately assessed, updated, or implemented appropriately, and any such action could result in financial or reputational harm
to our business.

108

Our reported financial results may be adversely
affected by changes in accounting principles. 

The accounting for our business
is complicated, particularly in the area of revenue recognition, and is subject to change based on the evolution of our business model,
interpretations of relevant accounting principles, enforcement of existing or new regulations, and changes in SEC or other agency policies,
rules, regulations, and interpretations, of accounting regulations. Changes to our business model and accounting methods could result
in changes to our financial statements, including changes in revenue and expenses in any period, or in certain categories of revenue and
expenses moving to different periods, may result in materially different financial results, and may require that we change how we process,
analyze, and report financial information and our financial reporting controls.

We are subject to privacy laws and regulations,
and compliance with these laws and regulations could impose significant compliance burdens. 

The regulatory framework
for privacy issues worldwide is