Note 16 — Subsequent events

As of June 30, 2025, the Company is involved in a litigation related to alleged fund transfers. A plaintiff claims that one of the Company’s subcontractors misappropriated over $1.3 million from a construction project in 2020-2021, transferring the funds to the company instead of fulfilling a judgment. On July 9, 2025, the Company entered into a Settlement and Release Agreement (the “Settlement and Release Agreement”) with the plaintiff that for a total settlement payment of $75,000 (the “Settlement Payment”), the plaintiff permanently releases, acquits, and discharges Inno Holdings Inc. and its affiliates from all claims, liabilities, and obligations of any kind. This includes all known and unknown claims up to the Settlement and Release Agreement’s effective date, specifically those related to the Lawsuit or any federal, state, or local laws. The Settlement Payment has been paid to the plaintiff on July 15, 2025.

On July 21, 2025, the Company has fully paid the investment amount to Aurora Technology Holding Limited pursuant to the equity investment agreement dated May 28, 2025. The share subscription payable of $730,000 as of June 30, 2025 has been cleared and the balance is zero as of the date of this report.