Quarterly report pursuant to Section 13 or 15(d)

RELATED PARTY TRANSACTIONS

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RELATED PARTY TRANSACTIONS
 9 Months Ended
Dec. 31, 2024
Related Party Transactions [Abstract]  
RELATED PARTY TRANSACTIONS RELATED PARTY TRANSACTIONS
Related party transactions as of December 31, 2024 and March 31, 2024, consisted of the following:

December 31, 2024 March 31, 2024
Related party balances Total category as per financial statements captions Related party balances Total category as per financial statements captions
ASSETS
Cash and cash equivalents $ 50  $ 577,940  $ 203  $ 545,084 
Companies controlled by management
 50  203 
Restricted cash $ 3,198  $ 742,153  $ —  $ 462,637 
Management 1,924  — 
Companies controlled by management
 1,234  — 
Other
 40  — 
Trading securities $ 1,128  $ 3,415,517  $ 1,326  $ 3,688,620 
Companies controlled by management
 1,128  1,326 
Margin lending, brokerage and other receivables, net
 $ 22,391  $ 2,037,673  $ 22,039  $ 1,660,275 
Management 9,508  8,849 
Companies controlled by management
 12,883  13,190 
Loans issued $ 139,514  $ 1,454,259  $ 147,440  $ 1,381,715 
Management 335  117 
Companies controlled by management
 139,179  147,323 
Other assets, net $ 16,294  $ 171,040  $ 5,257  $ 102,414 
Companies controlled by management
 16,294  5,257 
LIABILITIES
Customer liabilities $ 51,017  $ 3,783,291  $ 44,127  $ 2,273,830 
Management 7,566  12,604 
Companies controlled by management
 42,330  31,253 
Other
 1,121  270 
Other liabilities $ 157  $ 132,007  $ 9,854  $ 81,560 
Management 104  7,947 
Companies controlled by management
 52  1,907 
Other 1  — 
Three Months Ended December 31, 2024 Three Months Ended December 31, 2023
Related party amounts Total category as per financial statements captions Related party amounts Total category as per financial statements captions
Revenue:
Fee and commission income $ 556  $ 143,436  $ 30,112  $ 120,159 
Management 197  226 
Companies controlled by management
 357  29,878 
Other
 2  8 
Interest income $ 380  $ 224,688  $ 7,566  $ 226,445 
Management 224  208 
Companies controlled by management
 156  7,358 
Expense:
General and administrative expense $ 7,892  $ 73,437  $ 1,502  $ 32,106 
Management 34  226 
Companies controlled by management
 7,858  1,041 
Other —  235 
Nine Months Ended December 31, 2024
Nine Months Ended December 31, 2023
Related party amounts Total category as per financial statements captions Related party amounts Total category as per financial statements captions
Revenue:
Fee and commission income 2,259  379,976  66,029  330,565 
Management 706  691 
Companies controlled by management
 1,545  65,322 
Other
 8  16 
Interest income 1,023  661,016  22,650  588,857 
Management 643  512 
Companies controlled by management
 380  22,137 
Expense:
General and administrative expense 16,864  171,782  9,063  86,211 
Management 311  397 
Companies controlled by management
 16,553  8,346 
Other —  320 
During the three and nine months ended December 31, 2023, the Group engaged in various related party transactions, a substantial amount of which were conducted with FST Belize, a Belize company which is wholly owned by the Company’s chief executive officer, chairman and majority shareholder, Mr. Timur Turlov, and is not part of the Group. During such periods, FST Belize had its own brokerage customers, which included individuals and a market-maker institution and conducted business with the Group through a client omnibus account at Freedom EU. The Group terminated these arrangements with FST Belize before the end of fiscal 2024, leading to a decrease in related party transactions during three and nine months ended December 31, 2024 as compared to the corresponding periods in 2023.
As of March 31, 2024, the Group's margin lending receivables from Fresh Start Trading Ltd, amounted to $12,890. Fresh Start Trading Ltd is a Cyprus-based company that was controlled by an individual who served on Freedom EU’s management until November 5, 2024. From November 5, 2024, Fresh Start Trading Ltd. is no longer controlled by a Company's related party. Fresh Start Trading Ltd was mainly involved in foreign currency trading activity. Margin lending receivables from Fresh Start Trading Ltd were mainly denominated in Euros, and they were fully collateralized by cash denominated in U.S. dollars.
During the three and nine months ended December 31, 2024, the Group incurred general and administrative expenses relating to the Kazakhstan Chess Federation in the amount of $3,401 and $9,753, respectively. Kazakhstan Chess Federation is a Kazakhstan-based company in which Mr. Timur Turlov holds a management position. The Group continues to support the development of chess as a sport in Kazakhstan. During the three and nine months ended December 31, 2024, the Group has made financial contributions to the Kazakhstan Chess Federation to support the preparation and holding of championships, tournaments, training camps and other events.
As of December 31, 2024 and March 31, 2024, 18% and 7% respectively, of the Group's total related party customer liabilities were bank deposits from Turlov Family Office Securites LTD held by Freedom Bank KZ. Turlov Family Office Securities LTD is a private securities brokerage company that is wholly owned by Mr. Timur Turlov. As of March 31, 2024, 24% of the Group's total related party customer liabilities were deposits of Fresh Start Trading Ltd held by Freedom EU related to brokerage services provided by our subsidiary Freedom EU to Fresh Start Trading Ltd.
As of December 31, 2024 and March 31, 2024, 58% of the Group's total related party other assets were prepayment on the potential acquisition of A-Telecom as part of our strategy to enter the telecommunications market in Kazakhstan and build a digital fintech ecosystem.
As of December 31, 2024, and March 31, 2024, the Group had loans issued which included uncollateralized bank customer loans purchased from FFIN Credit, a company outside of the Group which is controlled by Timur Turlov.