Date: 13th August, 2026
Financial Results (Standalone)
Quarter Ended 30th June 2026 (Unaudited)
- Revenue from Operations: ₹0
- Other Income: ₹0
- Total Income: ₹0
- Total Expenses: ₹42 lakhs
- Employee Benefits Expense: ₹18 lakhs
- Finance Costs: ₹0 (Refer Note 4)
- Other Expenses: ₹42 lakhs
- Profit/(Loss) before Exceptional Items and Tax: ₹(41) lakhs
- Exceptional Items: ₹0
- Profit/(Loss) before Tax: ₹(44) lakhs
- Tax Expense: ₹0
- Net Profit/(Loss) for the Period: ₹(44) lakhs
- Total Comprehensive Income: ₹(44) lakhs
- Paid Up Equity Share Capital: ₹8,187 lakhs (Face Value of ₹10 each fully paid up)
- Earnings per equity share (Basic & Diluted): ₹(0.05)
Comparative Periods
Quarter Ended 31st March 2026 (Audited)
- Total Income: ₹15 lakhs
- Total Expenses: ₹148 lakhs
- Profit/(Loss) before Exceptional Items and Tax: ₹(146) lakhs
- Exceptional Items: ₹113 lakhs
- Profit/(Loss) before Tax: ₹(259) lakhs
- Net Profit/(Loss): ₹(260) lakhs
- Earnings per share: ₹(0.31)
Quarter Ended 30th June 2025 (Unaudited)
- Total Income: ₹15 lakhs
- Total Expenses: ₹52 lakhs
- Profit/(Loss) before Exceptional Items and Tax: ₹(47) lakhs
- Exceptional Items: ₹0
- Profit/(Loss) before Tax: ₹(47) lakhs
- Net Profit/(Loss): ₹(47) lakhs
Board Meeting Outcomes
The Meeting of Board of Directors (through Resolution Professional) was held on 13th August 2026, commencing at 15:00 hrs and concluding at 15:22 hrs. The meeting approved the Un-audited Financial Statement for the quarter ended 30th June 2026.
Basis for Qualified Opinion
1. Interest Provision Non-Compliance: The company has provided interest @ Nil% p.a. on monthly compounding basis on Term Loan and simple interest in Cash Credit Limits and Cumulative Redeemable Preference Shares (CRPS) aggregating to ₹2,47,379 lakhs (Term Loan ₹64,121 lakhs, Cash Credit ₹1,71,862 lakhs, CRPS ₹11,396 lakhs) as against the documented rate. This results in non-provision of finance cost for the quarter ended 30th June 2026 by ₹12,299 lakhs, which is not in compliance with IND AS-23 "Borrowing Costs" read with IND AS-109 on "Financial Instruments".
Aggregate amount of interest not provided for as at 30th June 2026 is ₹2,13,731 lakhs. Had interest been provided at documented rate:
- Finance cost would have been ₹12,299 lakhs
- Net loss after tax would have been ₹12,344 lakhs
- Total comprehensive income would have been ₹(12,344) lakhs
- EPS would have been ₹(15.077)
(Compared to reported figures of ₹(1), ₹45 lakhs, ₹(45) lakhs, and ₹(0.05) respectively)
2. Operational Creditor Claim Uncertainty: An application was filed with NCLT by one of the operational creditors of JBF RAK LLC (JBF RAK), situated at UAE, a subsidiary of the company, against the Company for supply of raw materials to JBF RAK with a claim of ₹12,848 Lakhs (US$ 19,899,091.53) as per notice dated 17th February 2020. No provision has been considered for this claim. The matter has uncertainties related to the outcome of legal proceedings, and auditors are unable to quantify provisions for this claim.
Emphasis of Matter
1. Going Concern Status: There is significant and material impact on the "going concern" status of the Company and its future operations. The Company's ability to sustain itself and generate revenues to meet its financial commitment has been critically dented. The company ceases to continue as a going concern.
2. Tamilnad Mercantile Bank Ltd (TMBL) Dispute: The Company received demand notice from TMBL under Section 13(2) of SARFAESI Act for recovery of dues vide letter dated 23 November 2021 amounting to ₹32.94 Crores plus future interest. TMBL has denied releasing pro rata charge on assets transferred to CFM and finally to Madelin Enterprises Private Limited (MEPL). TMBL approached DRT Mumbai for recovery, and the matter is subjudice in Gujarat High Court. DRT Mumbai has ordered TMBL to file written submission, and TMBL has assured Committee of Creditors of filing a Memo in DRT that the company is undergoing CIRP. TMBL has also filed an IA with NCLT.
3. Corporate Guarantee Invocation: Regarding invocation of corporate guarantee given by the company to the lender of JBF Petro Chemicals Ltd. ("JPL"). The company has denied this invocation and believes it is not tenable, hence no provision against claims under the invoked corporate guarantee is considered necessary.
4. Non-Preparation of Consolidated Financial Statements: The company has not prepared consolidated financial statements due to inability to receive audited financial statements of subsidiaries. As on 31st March 2023, Madelin Enterprises Pvt. Ltd. has acquired the holding of JBF Industries Ltd. in its Subsidiary Company JBF Global Pte Limited situated at Singapore under SARFAESI Act, but share transfer is pending.
5. Non-Appointment of Key Personnel: There is no Chief Executive Officer (CEO), Chief Financial Officer (CFO), Company Secretary (CS) and Compliance Officer of the Company.
6. Non-Appointment of Internal Auditor: The company has not appointed any Internal Auditor as required by section 138 of Companies Act 2013.
7. Limited Access to Bank Records: Auditors were unable to obtain bank statements and related supporting documents pertaining to Axis Bank for the year ended 31st March 2026, preventing verification of existence, accuracy and valuation of balances.
Other Operational / Legal / Strategic Disclosures
Corporate Insolvency Resolution Process (CIRP)
- The company was admitted by Hon'ble NCLT vide its order dated 25th January 2024 under section 9 of Insolvency and Bankruptcy Code, 2016
- All lenders (except Tamilnad Mercantile Bank Ltd) had assigned debts along with rights and interests on secured assets to CFM Asset Reconstruction Private Limited (CFM), who in turn sold to Madelin Enterprises Private Limited (MEPL) under SARFAESI Act 2002
- Manufacturing operations from all locations have been discontinued
- The Resolution Plan approved by Committee of Creditors (COC) was returned by Hon'ble NCLT with certain observations
- COC has decided to re-run the process with 40 Entities in the final list of Eligible Prospective Resolution applicants
- Information Memorandum and Request for Resolution Plan (RFRP) documents have been shared
Exceptional Items
Exceptional items for the quarter ended 30th June 2026 and for year ended 31st March 2026 represents loss on account of:
- Provision for doubtful debts
- Repossession of secured assets by the Lender
Segment Reporting
The company was engaged only in the business of producing polyester based products. As such, there are no separate reportable segments.
Notes to Financial Statements
Note 2: Regarding going concern status and TMBL dispute as detailed above
Note 3: Regarding exceptional items representing loss on provision for doubtful debts and repossession of secured assets
Note 4: Regarding non-provision of interest costs as detailed in qualified opinion section
Note 5: Regarding invocation of corporate guarantee to JPL lenders of USD 463.86 Million (equivalent of ₹3,77,587 lakhs). One lender invoked guarantee to extent of USD 252.00 Million (equivalent of ₹1,99,55 lakhs) on 24th April 2018. Company denies invocation, claiming guarantee was valid only up to one year from Commercial operation date (31st March 2017). IDBI Bank filed IA with NCLT Ahmedabad against rejection of their claim in CIRP process, which stands allowed. RP has admitted claim of IDBI, who is now member of COC. RP & CFM filed appeal in NCLAT against NCLT order, but appeals were withdrawn.
Note 7: Regarding non-preparation of consolidated financial statements due to repossession of secured assets including all investments in subsidiaries on 6th June 2022
Note 8: Regarding non-appointment of CEO, CFO, Company Secretary & Compliance Officer
Note 9: Regarding operational creditor claim of JBF RAK LLC for ₹12,848 lakhs, which was dismissed as infructuous but another application was admitted
KMP / Board / Auditor Changes
Not Specified
Dividend Declaration or Non-Declaration
Not Specified
Disinvestment / Strategic Actions
Not Specified