Board Meeting Details

The Board of Directors meeting was held on 21st May, 2026, commencing at 11:00 AM and concluding at 4:30 PM. The board adopted the Audited Financial Statement for the quarter and year ended 31/03/2026 together with the Auditor's Report.

Financial Performance Summary (Amounts in ₹ Lakhs)

Income Statement Highlights

For Year Ended 31st March, 2026 (Audited):

  • Revenue from operations: ₹0.00
  • Other Income: ₹14.97
  • Total Income: ₹14.97
  • Total Expenses: ₹75.31
  • Loss from operations before exceptional items and tax: ₹(60.34)
  • Exceptional and extraordinary items: ₹0.00
  • Loss before tax: ₹(60.34)
  • Tax expense: ₹0.00
  • Net Loss for the year: ₹(60.34)
  • Other Comprehensive Income: ₹0.00
  • Total Comprehensive Income for the year: ₹(60.34)

Comparative Figures for Year Ended 31st March, 2025 (Audited):

  • Revenue from operations: ₹0.00
  • Other Income: ₹0.00
  • Total Income: ₹0.00
  • Total Expenses: ₹39.29
  • Loss from operations before exceptional items and tax: ₹(39.29)
  • Exceptional and extraordinary items: ₹(1,804.54) net
  • Loss before tax: ₹(1,843.83)
  • Tax expense: ₹(2.27)
  • Net Loss for the year: ₹(1,841.56)
  • Total Comprehensive Income for the year: ₹(1,841.56)

Quarter Ended 31st March, 2026 (Audited):

  • Revenue from operations: ₹0.00
  • Other Income: ₹0.00
  • Total Income: ₹0.00
  • Total Expenses: ₹1.41
  • Loss before tax: ₹(1.41)
  • Net Loss for the quarter: ₹(1.42)

Earnings Per Share

For Year Ended 31st March, 2026:

  • Basic EPS: ₹(0.54)
  • Diluted EPS: ₹(0.54)

For Year Ended 31st March, 2025:

  • Basic EPS: ₹(16.59)
  • Diluted EPS: ₹(16.59)

Balance Sheet Position as at 31st March, 2026 (Amounts in ₹ Lakhs)

Assets:

  • Total Non-Current Assets: ₹243.61 (Previous year: ₹294.83)
  • Total Current Assets: ₹1,006.40 (Previous year: ₹1,047.38)
  • Total Assets: ₹1,250.01 (Previous year: ₹1,342.21)

Equity and Liabilities:

  • Paid-up Equity Share Capital (Face Value ₹10 each): ₹1,109.71
  • Other Equity: ₹0.00
  • Total Non-Current Liabilities: ₹687.84
  • Total Current Liabilities: ₹562.17
  • Total Liabilities: ₹1,250.01

Cash Flow Statement (Amounts in ₹ Lakhs)

For Year Ended 31st March, 2026:

  • Net cash from operating activities: ₹36.20
  • Net cash used in investing activities: ₹(36.20)
  • Net cash from financing activities: ₹0.00
  • Net increase/(decrease) in cash & cash equivalents: ₹0.00
  • Cash & cash equivalents at beginning of period: ₹7.40
  • Cash & cash equivalents at end of period: ₹7.40

Critical Accounting Notes and Disclosures

Note 4: NPA Status and Interest Recognition

The company has been categorized as NPA by lender banks and other financial institutions, which have stopped charging interest on outstanding debts as per Prudential Norms on Income Recognition issued by RBI. Accordingly, the company has not recognized interest expense on borrowing from such banks and financial institutions. The balances are subject to reconciliation/confirmation.

Note 5: Asset Sale under SARFAESI Act

Axis Bank sold all fixed assets and stock under SARFAESI Act, 2002. The received amounts and book values were:

  • Land & Buildings: Received ₹455.40 lakh against book value ₹123.00 lakh
  • Plant, Equipment, F&F & Inventory: Received ₹66.00 lakh against book value ₹2,181.50 lakh

As no separate information was available for different asset categories, entries were made based on available information. The fixed assets block is now zero.

Note 7: Cash Balances

Cash and cash equivalents include ₹7.39 lakh, which are subject to confirmation with banks.

Note 8: Employee Benefits

With no employees in the company, management decided to write back Gratuity Provision of ₹8.40 lakh and write off various advances to employees and advances against gratuity.

Note 9: Reconciliation of Balances

Balances of trade receivables, trade payables and lender financial institutions are subject to reconciliation/confirmations.

Note 10: Deferred Tax

Deferred tax provision is not made on quarterly/half yearly basis for quarter/half year ended 31st March, 2026.

Auditor's Adverse Opinion

VRAJM & Associates, Chartered Accountants, issued an adverse audit opinion with the following basis:

Primary Issues:

1. The company does not follow Ind-AS as business activities are closed and 'Going Concern' assumption is not sustainable.

2. Default in repayment of loans and interest to banks/financial institutions, categorized as NPA, with interest expense not recognized.

3. Incomplete information from lender bank regarding sale of assets, resulting in potentially inaccurate accounting entries.

4. Expected credit loss not fully provided on sundry debtors outstanding for more than three years (only partial provision made).

5. Old gratuity provision of ₹8.40 lakh continued despite no employees and business discontinuation; amount transferred to P&L on 30th September, 2025.

6. Unpaid dividend of ₹20,265/- not transferred to Investor Protection Fund by due date of 3rd August, 2025.

7. Trade receivables, payables and advances subject to reconciliation/confirmation/impairment/provision without adequate provision for impairment.

Emphasis of Matter:

  • Company has continued to incur losses resulting in negative net worth and severe liquidity constraints
  • Fixed assets block is zero
  • Company cannot be categorized as a Going Concern
  • Accounts subject to reconciliation/confirmation/impairment issues
  • Lenders have not charged interest on outstanding NPA loans
  • Unpaid dividend needs immediate transfer to IEPF