Key Quantitative Figures

  • Revenue for FY 2025-26: ₹141.25 lakhs (Previous year: ₹687.69 lakhs)
  • Net Loss for FY 2025-26: ₹614.49 lakhs (Previous year: ₹1,644.36 lakhs)
  • Accumulated Losses: ₹7,249.26 lakhs as of March 31, 2026
  • Negative Net Worth: ₹5,115.48 lakhs
  • Current Liabilities Exceed Total Assets: ₹3,512.05 lakhs
  • Paid-up Equity Capital: ₹966.47 lakhs (96,64,733 equity shares of ₹10 each)
  • Preference Share Capital: ₹1,000 lakhs (10,00,000 preference shares of ₹100 each)
  • Total Borrowings: ₹5,140.37 lakhs (including secured ICDs of ₹3,970.79L + ₹1,122.03L)
  • Inventory Value: ₹116.33 lakhs (not physically verified)
  • PPE Value: ₹4,517.26 lakhs (not physically verified)

Dates of Action

  • CIRP Commencement Date: June 7, 2024 (NCLT Allahabad order)
  • Book Closure Period: September 23, 2026 to September 30, 2026 (both days inclusive)
  • 41st AGM Date: September 30, 2026 at 5:00 PM through VC/OAVM
  • Remote E-voting Period: September 27, 2026 (9:00 AM) to September 29, 2026 (5:00 PM)
  • Financial Year Ended: March 31, 2026
  • Auditor's Report Date: July 18, 2026

Parties Involved

  • Resolution Professional: Sandeep Kumar Agrawal (IBBI/IPA-001/IP-P01135/2018-2019/11828)
  • Statutory Auditors: Jagdish Chand & Co., Chartered Accountants
  • Cost Auditors: Jain Sharma & Associates (Remuneration: ₹75,000 + taxes)
  • Secretarial Auditor: Sameer Kishore Bhatnagar, Practicing Company Secretary
  • Interim Resolution Professional: Sandeep Kumar Agrawal (appointed June 7, 2024)
  • Committee of Creditors: Formed as part of CIRP process
  • RTA: Indus Shareshree Private Limited
  • Secured ICD Lenders: M/s Amar Ujala Limited (₹3,817.90L due) and M/s Impressions Printing and Packaging Limited (₹525.02L due)

Corporate Insolvency Resolution Process (CIRP) Details

  • CIRP initiated by NCLT Allahabad Bench vide order dated June 7, 2024, based on petition filed by M/s Amar Ujala Limited under Section 7 of IBC 2016
  • Powers of Board of Directors suspended since June 7, 2024
  • Mr. Sandeep Kumar Agrawal appointed as Interim Resolution Professional, later confirmed as Resolution Professional
  • Invitation for Expression of Interest (Form G) published on August 6, 2024
  • Initial resolution plan of Ujala Renewable LLP consortium approved by CoC but rejected by NCLT vide order dated January 7, 2026
  • Fresh plans invited from H1, H2, and H3 bidders
  • Resolution plan of Poddar Global Limited approved by CoC and submitted to NCLT for approval

Financial Impact

  • Operations: Company operations are in shut mode due to acute working capital shortage
  • Interest Not Provided: Cumulative interest of ₹990.72 lakhs not provided on secured ICDs from June 8, 2024 to March 31, 2026
  • Interest Not Provided: Cumulative interest of ₹6.25 lakhs not provided on vehicle loans from June 8, 2024 to March 31, 2026
  • Contingent Liabilities: ₹640.47 lakhs MAT liability pending rectification with Income Tax Authorities
  • Undisputed Statutory Dues: ₹111.65 lakhs in arrears (Water Cess: ₹85.37L, Ground Water Tax: ₹11.88L, Income Tax: ₹14.40L)
  • Gratuity Provision: ₹214.60 lakhs provided for employee gratuity claims

Capital Structure Impact

  • No change in share capital during the year
  • Preference shares due for redemption but not redeemed due to liquidity crunch
  • 6% Non-Cumulative Non-Convertible Preference Shares of ₹500 lakhs pending conversion since 2009
  • 14% Cumulative Redeemable Preference Shares of ₹500 lakhs due for redemption in 2019 but not redeemed

Auditor Qualifications

Auditors issued qualified opinion with following key observations:

1. Non-provision of interest on secured ICDs (₹990.72L cumulative) and vehicle loans (₹6.25L cumulative)

2. No physical verification of Property, Plant & Equipment and inventories (₹116.33L)

3. Non-bifurcation of trade payables into MSME and others

4. Non-filing of MSME-1 half-yearly returns

5. Material uncertainty related to going concern

Secretarial Audit Non-Compliances

1. Preference shares due for redemption but not redeemed

2. PF deposits pending during financial year

3. Default in repayment of ICDs taken from Amar Ujala Limited and Impressions Printing and Packaging Limited

4. Regular defaults in TDS payments

5. Website not updated/functional during financial year

6. Non-formation of POSH Committee

7. Unable to provide minutes and statutory records for previous years

8. Delayed filing of financial results with BSE

AGM Agenda Items

Ordinary Business:

1. Adoption of financial statements and reports

2. Re-appointment of Smt. Amarjeet Sandhu as director (subject to CIRP constraints)

3. Re-appointment of statutory auditors (Jagdish Chand & Co.)

Special Business:

4. Appointment of cost auditors (Jain Sharma & Associates) with remuneration of ₹75,000 + taxes

Other Material Information

  • Company has negative net worth of ₹5,115.48 lakhs
  • Current liabilities exceed total assets by ₹3,512.05 lakhs
  • Cash and cash equivalents: ₹227.26 lakhs
  • Trade receivables: ₹641.74 lakhs (after allowance)
  • No dividend recommended due to absence of profits
  • No material changes after close of financial year
  • No sexual harassment complaints during the year
  • No fixed deposits accepted
  • Company listed on BSE Limited

#Tags: #RaamaPaperMills #CIRP #NCLT #Insolvency #SEBIDisclosure #FinancialResults #Negative #RegulatoryCompliance