| Schedule of Accrued Expenses and Other Current Liabilities |
Accrued expenses and other current liabilities
consisted of the following:
| | |
As of December 31, | |
| | |
2024 | | |
2023 | |
| Contingent liabilities of Jinghong Dispute (i) | |
$ | 22,904 | | |
$ | 22,909 | |
| Contingent liabilities of Loop Dispute (ii) | |
| 14,677 | | |
| - | |
| Lawsuit provision (iii) | |
| 7,360 | | |
| - | |
| Payroll payable | |
| 6,137 | | |
| 3,235 | |
| Accrued expense | |
| 4,343 | | |
| 3,659 | |
| Output VAT (iv) | |
| 627 | | |
| 1,630 | |
| Warranty provisions | |
| 472 | | |
| 989 | |
| Interest payable | |
| - | | |
| 206 | |
| Borrowing from a third party | |
| 172 | | |
| 272 | |
| Others | |
| 129 | | |
| 215 | |
| Total | |
$ | 56,821 | | |
$ | 33,115 | |
| (i) | On May 18, 2022, Tianjin Jinghong Investment Development
Group Co., Ltd. (“Jinghong”) filed proceedings with the Group. And the verdict was issued on July 20, 2023 that the Group
was ordered to bear a total amount of approximately RMB162.7 million (US$22.9 million), covering equity transfer consideration, disbursement
and other relevant expense, which was recognized in accrued expense and other liabilities as of December 31, 2023. As of December 31,
2024 and the issuance date of the consolidated financial statements, this amount remains outstanding. |
| (ii) | On May 3, 2023, a winding up petition was brought by Loop Capital Markets LLC (“Loop Capital”) against ICONIQ before Cayman Grand Court (the “Loop Capital Petition”), claiming a total amount of US$10.1 million and warrants totaling 2 million units pursuant to an engagement letter dated February 11, 2022. The dispute was concluded in January 2025 and the Group was ordered by the arbitrator to pay a total of US$14.7 million to settle all claims and counterclaims. |
| (iii) | Lawsuit provision represented liabilities accrual for closed
and on-going lawsuits the Group did not pay or make settlement. The Group regularly reviews these contingencies to determine whether
its accruals are adequate. The amount of ultimate loss may differ from these estimates. As of December 31, 2024 and the issuance date
of the consolidated financial statements, there are six different on-going lawsuits in the total estimated amount of RMB49.8 million
(US$6.8 million). The remaining amount of the balance is about other six closed lawsuits of RMB3.9 million (US$0.6 million), which
consists of unpaid claim amount, penalty and accrued interests. |
| (iv) | The amounts of output VAT cannot be offset against input tax, since they are arising from different legal entities. |
|