Board Meeting Details

The Board of Directors meeting was held on Thursday, 28th May 2026, commencing at 03:30 PM and concluding at 09:00 PM.

Key Resolutions Approved

1. Financial Results Approval

  • Audited Financial Results for quarter and financial year ended March 31, 2026 approved
  • Results reviewed by Audit Committee and approved by Board
  • Statutory auditors issued qualified opinion on the results
  • Statement of Impact of Audit Qualifications enclosed as per SEBI Circular CIR/CFD/CMD/56/2016 dated May 27, 2016

2. Internal Auditor Appointment

  • M/s. Gambhir Khurana & Associate, Chartered Accountants appointed as Internal Auditor for FY 2026-27
  • Appointment date: May 28, 2026
  • Remuneration to be decided by the Board
  • No relationship between directors

3. Report Approvals

  • Director's Report, Corporate Governance Report, Management Discussion and Analysis Report for FY 2024-25 approved

4. Annual General Meetings

  • 37th AGM scheduled for Wednesday, 24th June 2026 at 11:30 AM for approval of Audited Financial Statements for FY 2024-25
  • 38th AGM scheduled for Tuesday, 28th July 2026 at 11:30 AM for approval of Audited Financial Statements for FY 2025-26
  • Both meetings to be held through OAVM/VC from Project Office

5. Scrutinizer Appointment

  • Mr. Saurabh Agrawal, Practicing Company Secretary (FCS: 5430) appointed as Scrutinizer for e-voting process for both 37th and 38th AGMs

6. Secretarial Auditor Appointment

  • Neeraj Soni & Company, Company Secretaries appointed as Secretarial Auditor for FY ended March 31, 2025
  • Appointment date: May 28, 2026
  • Terms: Financial Year 2024-25
  • Remuneration to be decided by the Board
  • No relationship between directors
  • Firm holds valid Peer Review certificate number 5984/2024 from ICSI

Corporate Insolvency Resolution Process (CIRP) Context

Vikas WSP Limited is under corporate insolvency resolution process pursuant to Insolvency and Bankruptcy Code, 2016:

  • NCLT Chandigarh Bench order dated February 2, 2022 admitted petition under Section 7 of IBC
  • Mr. Darshan Singh Anand (IBBI/IPA-002/IP-N00326/2017-18/10931) appointed as Interim Resolution Professional
  • Confirmed as Resolution Professional by Committee of Creditors in meeting held March 17, 2022
  • Powers of Board of Directors suspended and exercised by Resolution Professional
  • Company affairs, business and assets managed by Resolution Professional since February 2, 2022

Financial Results for Quarter and Year Ended March 31, 2026

Income Statement Highlights (₹ in lakhs)

Quarter Ended March 31, 2026
  • Total Income: ₹8.39 lakhs
  • Total Expenses: ₹8,134.61 lakhs
  • Loss from operations before tax: ₹(8,126.21) lakhs
  • Tax credit: ₹(4,054.56) lakhs (deferred tax)
  • Net Loss: ₹(4,071.65) lakhs
  • Other Comprehensive Income: ₹(61.23) lakhs
  • Total Comprehensive Income: ₹(4,010.42) lakhs
  • EPS: ₹(1.96) (Basic and Diluted)
Financial Year Ended March 31, 2026
  • Total Income: ₹25.75 lakhs
  • Total Expenses: ₹10,777.89 lakhs
  • Loss from operations before tax: ₹(10,752.13) lakhs
  • Tax credit: ₹(4,054.56) lakhs (deferred tax)
  • Net Loss: ₹(6,697.57) lakhs
  • Other Comprehensive Income: ₹(61.23) lakhs
  • Total Comprehensive Income: ₹(6,636.34) lakhs
  • EPS: ₹(3.25) (Basic and Diluted)

Balance Sheet Position as at March 31, 2026 (₹ in lakhs)

  • Total Assets: ₹1,38,218.62
  • Non-current Assets: ₹88,259.03
  • Property, plant and equipment: ₹46,289.07
  • Other non-current assets: ₹33,244.46
  • Deferred tax assets: ₹8,722.35
  • Current Assets: ₹49,959.59
  • Inventories: ₹207.38
  • Trade and other receivables: ₹49,198.81
  • Cash and cash equivalents: ₹5.86
  • Other bank balances: ₹541.91
  • Total Equity: ₹72,093.04
  • Equity share capital: ₹2,044.40
  • Other Equity: ₹70,048.65
  • Total Liabilities: ₹66,125.57
  • Non-current liabilities: ₹425.04
  • Current liabilities: ₹65,700.54
  • Short-term borrowings: ₹30,666.87
  • Trade payables: ₹4,624.15
  • Other financial liabilities: ₹7,263.49
  • Other current liabilities: ₹23,123.02

Audit Qualifications and Key Issues

The statutory auditors, A K Chadda & Co. (ICAI Firm Registration No. 008683N), issued a qualified opinion with the following basis:

1. Records and Documentation Issues

  • Company records not completely handed over to Resolution Professional
  • Application under Section 19(2) of IBC submitted to NCLT for records
  • Ransomware attack affected tally data, fixed assets register and records before April 1, 2021
  • Fixed Asset Register not produced for verification

2. Asset Valuation and Impairment Concerns

  • No assessment of impact on carrying value of tangible assets as required by Ind AS 10
  • No full assessment of impairment as required by Ind AS 36
  • Unable to comment on consequential impairment of property, plant and equipment

3. Asset and Liability Verification Issues

  • Pending comprehensive review of carrying amount of all assets and liabilities
  • Trade receivables, advances, payables unconfirmed with no documentary evidence
  • Non-provision for impairment of assets and write-back of liabilities pending resolution plan implementation
  • Non-compliance with Ind AS 109, Ind AS 10, Ind AS 36, and Ind AS 37

4. Claims Reconciliation

  • Financial and operational creditors' claims under reconciliation with book amounts
  • No provision/accounting adjustments for excess/short/non-receipt of claims
  • Consequential impact on financial results not ascertainable

5. Share Application Money

  • Share application money pending allotment: ₹850 lakhs outstanding
  • Neither refunded nor allotted as per Section 42 of Companies Act, 2013

6. Confidential CIRP Information

  • Certain COC meeting minutes and CIRP procedures confidential and not shared
  • Unable to comment on possible financial impact of undisclosed information

7. Share Transmission Issue

  • 16,977,332 shares held in name of deceased Mr. B D Agarwal (died September 21, 2020)
  • No transmission of shares as required under Section 56 of Companies Act, 2013

Emphasis of Matter

Auditors drew attention to:

  • Company incurred continuous losses, current liabilities exceed current assets
  • Default in repayment of borrowings and statutory dues
  • Material uncertainty regarding going concern assumption
  • COC approved resolution plan by M/s Arcbolt Space and Foods Private Limited on August 25, 2022
  • Pending NCLT approval of resolution plan

Significant Notes to Financial Results

1. CIRP Impact

  • Company managed as going concern during CIRP as required by IBC
  • Resolution plan approval pending from NCLT

2. Depreciation Treatment

  • Depreciation measured on SLM basis based on available information
  • No depreciation provided on plant and machinery in FY25-26 as residual value considered equal/higher than carrying amount
  • Excess depreciation of ₹2,562.00 lakhs charged in earlier periods of FY25-26 reversed

3. Property Documentation

  • Title deeds of immovable properties not received by Resolution Professional
  • Details of immovable properties cannot be fully disclosed

4. Stock Valuation

  • Closing stock: ₹207.38 lakhs as per stock audit report for CIRP commencement date (February 2, 2022)
  • Same value maintained as of March 31, 2026

5. Segment Reporting

  • Segmental reporting based on geographical location of customers
  • Not practical to identify expenses, assets, liabilities by segment

6. Interest Moratorium

  • No interest provided on dues to banks, institutions due to moratorium imposed by NCLT order dated February 2, 2022

7. Workmen Claims

  • Workmen claim admitted by COC: ₹4,962.72 lakhs (voting concluded August 8, 2023)
  • Company's financial statement liability: ₹2,334.76 lakhs
  • Contingent liability: ₹2,627.99 lakhs

8. Doubtful Advances and Recoverables

  • Capital advance: ₹20.43 lakhs (subject to confirmation, recoverability doubtful)
  • Advance to suppliers: ₹6,674.45 lakhs (subject to confirmation, recoverability doubtful)
  • VAT recoverable and GST credit: ₹162.42 lakhs (subject to reconciliation)
  • Bank balances: ₹1.85 lakhs (unconfirmed, subject to reconciliation)

9. Write-off of Amounts

  • Book debts and advance to supplier amounting to ₹8,314.53 lakhs and ₹2,250.00 lakhs respectively written off
  • Following NCLT order dated February 3, 2026 dismissing application to admit claim of ₹10,564.53 lakhs against Vikas Proppant & Granaries Limited

Statement on Impact of Audit Qualifications

Financial Figures as Reported (₹ in lakhs)

  • Turnover/Total Income: 25.75
  • Total Expenditure: 10,777.89
  • Net Profit: (6,697.57)
  • EPS: (3.25)
  • Total Asset: 1,38,218.62
  • Total Liabilities: 66,125.57
  • Net Worth: 72,093.04

Management's View on Audit Qualifications

  • Impact not quantified by auditors
  • Company undergoing CIRP since February 2, 2022
  • Resolution plan approved by COC on August 25, 2022
  • Application for NCLT approval pending, next hearing date: June 2, 2026
  • Not possible to determine impact of observations at this time

Auditors' Comment

  • Impact of observations could not be ascertained in absence of relevant details on record