Company: INTG
Filing Date: 2025-09-30
Form Type: 10-K
Source: 0001493152-25-016154
Chunk: 289

Company: INTERGROUP CORP
Filing Date: 2025-09-30
Form: 10-K
Item: Item 8
Chunk 289
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 and 15d-15 under the Exchange Act, our principal executive officer and principal financial
and accounting officer carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures.
Based upon their evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures
(as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) were not effective because of a material weakness in our internal
control over financial reporting. 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 the Company’s annual or interim financial
statements will not be prevented or detected on a timely basis. Specifically, the Company’s management has concluded that controls
over the identification, interpretation, and accounting for certain non-routine, complex stock-based compensation matters (including
option modification and related valuation/modeling inputs) were not effectively designed or maintained. In light of this material weakness,
we performed additional analyses and procedures deemed necessary to ensure that our financial statements were prepared in accordance
with GAAP. Accordingly, management believes that the financial statements included in this Annual Report on Form 10-K present fairly
in all material respects our financial position, results of operations and cash flows for the period presented.

MANAGEMENT’S
REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING

As
required by SEC rules and regulations implementing Section 404 of the Sarbanes-Oxley Act, the Company’s management is responsible
for establishing and maintaining adequate internal control over financial reporting. Our internal control over financial reporting is
designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of our consolidated financial
statements for external reporting purposes in accordance with U.S. GAAP. Our internal control over financial reporting includes those
policies and procedures that:

1.
pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of
the assets of the Company,

2.
provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance
with U.S. GAAP, and that the Company’s receipts and expenditures are being made only in accordance with authorizations of its management
and directors, and

3.
provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s
assets that could have a material effect on the financial statements.

Because
of its