| ACCRUED EXPENSES AND OTHER PAYABLES |
8
— ACCRUED EXPENSES AND OTHER PAYABLES
| | |
As of
March 31, | | |
As of
March 31, | |
| | |
2026 | | |
2025 | |
| Accrued payroll | |
$ | 64,834 | | |
$ | 62,068 | |
| Advances from customers | |
| 412,023 | | |
| 28,144 | |
| Advances from IGH Holding Inc | |
| 49,000 | | |
| 49,000 | |
| Accrued warranty | |
| 51,418 | | |
| 20,131 | |
| Payroll tax and sales tax payable | |
| 25,265 | | |
| 113,601 | |
| Accrued store expenses | |
| 69,370 | | |
| 58,044 | |
| Accrued freight in cost | |
| 8,290 | | |
| 35,980 | |
| Accrued UL penalty(i) | |
| — | | |
| 1,000,000 | |
| Accrued Interest | |
| — | | |
| — | |
| Total Accrued Expenses and Other Payables | |
$ | 680,200 | | |
$ | 1,366,968 | |
| (i) | On or about March 12, 2025, UL LLC (“UL”) filed a complaint against the Company, along with the Company’s certain subsidiaries and certain individuals, in the Eastern District of New York (the “Complaint”). The Complaint alleges that the Company improperly used UL’s trademark by claiming certain products were certified by UL. On May 21, 2025, the Company and UL entered into a settlement and release agreement (the “Settlement Agreement”) on mutually acceptable settlement terms. Pursuant to the Settlement Agreement, the Company agreed to pay UL an aggregate amount of $1,000,000 before November 30, 2025. During the year ended March 31, 2026, the Company paid $1,000,000 to UL. |
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