| Schedule of Outstanding Amounts Due from Related Parties |
As of December 31, 2024 and June 30, 2024, the
outstanding amounts due from related parties consist of the following:
| |
|
December 31, |
|
|
June 30, |
|
| |
|
2024 |
|
|
2024 |
|
| Zhejiang Jinbang Fuel Energy Co., Ltd (1) |
|
$ |
381,266 |
|
|
$ |
382,949 |
|
| Shanghai Baoyin Industrial Co., Ltd (2) |
|
|
1,064,606 |
|
|
|
1,066,003 |
|
| LSM Trading Ltd (3) |
|
|
570,000 |
|
|
|
570,000 |
|
| Rich Trading Co. Ltd (4) |
|
|
103,424 |
|
|
|
103,424 |
|
| Less: allowance for credit losses |
|
|
(2,116,008 |
) |
|
|
(2,122,376 |
) |
| Total |
|
$ |
3,288 |
|
|
$ |
- |
|
| (1) | As
of December 31, 2024 and June 30, 2024, the Company advanced $381,266 and $382,949 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 $381,266 and $382,949 for the balance of the
receivable as of December 31, 2024 and June 30, 2024, and the allowance changes as a result of changes in exchange rates. |
| (2) | As
of December 31, 2024 and June 30, 2024, the Company advanced approximately $1,064,606 and $1,066,003 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 allowance of $1,061,318 and $1,066,003 for the balance of the receivable as of December
31, 2024 and June 30, 2024, and the allowance changes as a result of changes in exchange rates. |
| (3) | As
of December 31, 2024 and June 30, 2024, 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 December 31, 2024 and June 30, 2024. |
|
| Schedule of Movement of Allowance for Credit Losses |
Movement of allowance for credit losses are as
follows:
| | |
December 31, | | |
June 30, | |
| | |
2024 | | |
2024 | |
| Beginning balance | |
$ | 2,122,376 | | |
$ | 2,138,276 | |
| Exchange rate effect | |
| (6,368 | ) | |
| (15,900 | ) |
| Ending balance | |
$ | 2,116,008 | | |
$ | 2,122,376 | |
|