Company: EUDAW
Filing Date: 2025-04-29
Form Type: 20-F
Source: 0001641172-25-006627
Chunk: 100

Company: EUDA Health Holdings Ltd
Filing Date: 2025-04-29
Form: 20-F
Item: Item 15
Chunk 100
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64  

A
“material weakness” is a deficiency, or a combination of deficiencies, in internal control over financial reporting such
that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented
or detected on a timely basis. A “significant deficiency” is a deficiency or a combination of deficiencies in internal control
over financial reporting that is less severe than a material weakness, yet important enough to merit attention by those responsible for
oversight of the Company’s financial reporting.

The material weakness that was identified related to: (i) the lack of appropriate controls
in the financial reporting process, specifically related to account reconciliations. As a result of this material
weakness, the Company’s management concluded that our internal control over financial reporting was not effective as of December
31, 2024. EUDA is in the process of developing a plan to remediate this material weakness and will continue to identify additional appropriate
remediation measures. However, the material weakness will not be considered remediated until the remediation plan has been fully implemented,
the applicable controls are fully operational for a sufficient period of time, and the Company has concluded, through testing, that the
newly implemented and enhanced controls are operating effectively.

Remediation
Plan.

At
this time, EUDA cannot predict the success of such efforts or the outcome of future assessments of the remediation efforts. As a public
company, EUDA is required to further design, document and test the Company’s internal controls over financial reporting to comply
with Sarbanes-Oxley Act Section 404. If existing material weaknesses or control deficiencies are not remediated or if material weaknesses
or control deficiencies occur in the future, EUDA may be unable to report the Company’s financial results accurately on a timely
basis or help prevent fraud, which could cause EUDA’s reported financial results to be materially misstated and result in the loss
of investor confidence or delisting and cause the market price of EUDA’s ordinary shares to decline. If we have material weaknesses
in the future, it could affect the financial results that the Company reports or create a perception that those financial results do
not fairly state EUDA’s financial position or results of operations. Either of those events could have an adverse effect on the
value of the Company’s ordinary shares.

Inherent
limitation on the effectiveness of internal control.

  65  

ITEM
16. A. AUDIT COMMITTEE FINANCIAL EXPERT