| Schedule of Outstanding Amounts due from Related Parties |
As of September 30, 2023 and June 30, 2023, the
outstanding amounts due from related parties consist of the following:
| | |
September 30, | | |
June 30, | |
| | |
2023 | | |
2023 | |
| Zhejiang Jinbang Fuel Energy Co., Ltd (1) | |
$ | 408,634 | | |
$ | 458,607 | |
| Shanghai Baoyin Industrial Co., Ltd (2) | |
| 1,064,805 | | |
| 1,068,014 | |
| LSM Trading Ltd (3) | |
| 570,000 | | |
| 570,000 | |
| Rich Trading Co. Ltd (4) | |
| 103,424 | | |
| 103,424 | |
| Lei Cao (5) | |
| 11,752 | | |
| 13,166 | |
| Less: allowance for doubtful accounts | |
| (2,132,500 | ) | |
| (2,138,276 | ) |
| Total | |
$ | 26,115 | | |
$ | 74,935 | |
| (1) | As of September 30, 2023 and June 30, 2023, the Company advanced $408,634 and $458,607 to Zhejiang Jinbang Fuel Energy Co., Ltd (“Zhejiang Jinbang”) which is 30% owned by Mr. Wang Qinggang, CEO and legal representative of Trans Pacific Shanghai. The advance is non-interest bearing and due on demand. The Company provided allowance of $382,519 and $383,672 for the balance of the receivable as of September 30, 2023 and June 30, 2023, and the allowance changes as a result of changes in exchange rates. | | (2) | As of September 30, 2023 and June 30, 2023, the Company advanced approximately $1.1 million and $1.3 million to Shanghai Baoyin Industrial Co., Ltd. which is 30% owned by Qinggang Wang, CEO and legal representative of Trans Pacific Logistic Shanghai Ltd. The advance is non-interest bearing and due on demand. The Company provided full credit losses for the balance of the receivable. | | (3) | As of September 30, 2023 and June 30, 2023, the Company advanced $570,000 to LSM Trading Ltd, which is 40% owned by the Company. The advance is non-interest bearing and due on demand. The Company provided full credit losses for the balance of the receivable. | | (4) | On November 16, 2021, the Company entered into a project cooperation agreement with Rich Trading Co. Ltd USA (“Rich Trading”) for the trading of computer equipment. Rich Trading’s bank account was controlled by now-terminated members of the Company’s management and was, at the time, an undisclosed related party. According to the agreement, the Company was to invest $4.5 million in the trading business operated by Rich Trading and the Company would be entitled to 90% of profits generated by the trading business. The Company advanced $3,303,424 for this project, of which $3,200,000 has been returned to the Company. The Company provided allowance of $103,424 for the balance of the receivable as of September 30, 2023 and June 30, 2023. | | (5) | The amount represents business advance to Mr. Lei Cao, the former Chairman of the Board. During the three months ended September 30, 2023. Mr. Lei Cao paid back in $10,000, the receivables balance due from Lei Cao decreased accordingly. The impairment of $10,000 recognized in the prior year was reversed in this reporting period. |
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