Company: ZCARW
Filing Date: 2025-03-28
Form Type: DRS
Source: 0001013762-25-003498
Chunk: 50

Company: Zoomcar Holdings, Inc.
Filing Date: 2025-03-28
Form: DRS
Chunk 50
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executed for the subject matter it may, possibly result in inter alia (a) the entire outstanding debt becoming due and payable,
and (b) the withdrawal of a conditional waiver of $1.2 million which was given during a prior restructuring and will become immediately
due and payable with interest of 1.5% per month.

The Company is in breach
of the payment obligation of $408,351 pursuant to the terms of the settlement deed with Orix Leasing and Financial Services Limited (“Orix”).
Orix has issued a default notice during May 2024. Thereafter, Orix had initiated mediation proceedings on August 13, 2024, at Delhi HC
legal service committee for settlement of outstanding dues. Based on the most recent discussions with Orix, the Company has received an
in-principal approval to the settlement terms proposed by the Company on November 7, 2024, from Orix which has agreed to extend the timeline
for repayment of the outstanding dues. The terms of the settlement were also presented to the appointed mediator on November 7, 2024,
and the final settlement agreement was executed and taken on record at the mediation proceedings on November 20, 2024. As of February
17, 2025, Zoomcar has also made payment of three tranches amounting to $ 23,5900 (approx.)towards partial settlement of the outstanding
debts. If we fail to honor the obligations under the settlement agreement as executed, Orix may pursue debt recovery measures against
the Company and further impose a penal interest at the rate of 18 percent per annum. Such an outcome may have a material adverse impact
on our business, operations or financial condition.

Further, we are in violation
of the final payment obligation of $538,695 on our loan with Mahindra & Mahindra Financial Services Limited (“Mahindra”).
As of the date hereof, Mahindra has not formally extended or provided a waiver of such overdue payment. Mahindra may initiate legal action
for resolution of the dispute. Such outcomes may have a material adverse impact on our business, operations or financial condition.

Additionally, we are in various
stages of discussion on deferment with our other lenders with regards to the scheduled loan payments from November 2023 onwards and extending
up to February 2025. However, we have not received any formal notice of default from these other lenders, but such lenders have not formally
extended or provided