Key Quantitative Figures
Quarter Ended September 30, 2024:
- Revenue from Operations: ₹0
- Other Income: ₹0
- Total Expenses: ₹505.20 lakh (solely depreciation expense)
- Net Loss: ₹505.20 lakh
- Basic & Diluted EPS: (₹1.63)
- Paid-up Equity Share Capital: ₹3,100.49 lakh
- Face Value per Share: ₹10.00
Half Year Ended September 30, 2024:
- Net Loss: ₹1,017.70 lakh
- Basic & Diluted EPS: (₹3.28)
Comparative Periods:
- Q2 FY24 Net Loss: ₹833.90 lakh
- H1 FY24 Net Loss: ₹1,697.60 lakh
- FY24 Net Loss: ₹3,677.70 lakh
Dates of Action
- CIRP Initiation: January 11, 2021
- Liquidation Order: April 28, 2022
- E-Auction: August 16, 2024
- Transfer Date: November 7, 2024
- Sale Certificate: January 23, 2025
- NCLT Relief Order: February 26, 2026
- Board Approval Date: May 30, 2026
- Auditor's Report Date: May 30, 2026
Parties Involved
- Auditor: K Bhavsar & Co. (Firm Registration No.: 145880W)
- Resolution Professional: Saurabh Kumar Tikmani
- Liquidator: Gajesh Labhchand Jain
- Successful Bidder: Not named in disclosure
- Applicant: Axis Bank Limited
- Regulatory Bodies: NCLT Mumbai Bench, SEBI, BSE, NSE
Purpose and Rationale
The financial results were reconstructed on a "best-effort basis" by the new management to comply with stock exchange filing requirements after acquiring the company through liquidation process. The company underwent Corporate Insolvency Resolution Process (CIRP) and subsequent liquidation proceedings during the historical periods.
Financial and Operational Impact
Assets & Liabilities as of September 30, 2024:
- Total Assets: ₹29,239.26 lakh
- Non-Current Assets: ₹24,933.37 lakh (including Property, Plant & Equipment: ₹7,172.83 lakh, Investments: ₹7,650.17 lakh, Loans: ₹7,038.98 lakh)
- Current Assets: ₹4,305.88 lakh (including Cash & Cash Equivalents: ₹3,074.78 lakh)
- Total Equity: ₹3,319.75 lakh
- Non-Current Liabilities: ₹22,818.00 lakh (including Borrowings: ₹19,592.00 lakh, Deferred Tax Liabilities: ₹3,226.00 lakh)
- Current Liabilities: ₹3,101.50 lakh
Cash Flow Statement (Six Months Ended September 30, 2024):
- Net Cash from Operating Activities: ₹0
- Net Cash from Investing Activities: ₹0
- Net Cash from Financing Activities: ₹0
- Opening Cash Balance: ₹3,074.78 lakh
- Closing Cash Balance: ₹3,074.78 lakh
Capital Structure Impact
Pursuant to NCLT Order dated February 26, 2026, all pre-transfer dues and liabilities have been permanently extinguished, and the existing equity share capital stands cancelled. The company has adopted Fresh Start Accounting effective the Transfer Date of November 7, 2024.
Auditor's Disclaimer Basis
The auditor could not obtain sufficient appropriate evidence due to:
- Complete non-availability of primary books of accounts, original vouchers, and underlying IT servers
- Inability to conduct physical verification of fixed assets and inventories
- Inability to ascertain potential impairment under Ind AS 36
- Inability to verify historical balances of trade receivables, cash and bank balances, loans and advances, trade payables, borrowings, and statutory dues
- Inability to evaluate financial impact of shifting bases of accounting during CIRP and liquidation phases
- Inability to ascertain completeness of provisions for taxation, employee benefits, contingent liabilities, and related party transactions
NCLT Relief Order Implications (February 26, 2026)
- Extinguished all pre-transfer dues and liabilities permanently
- Cancelled existing equity share capital
- Approved Fresh Start Accounting effective November 7, 2024
- Waived statutory/regulatory non-compliances occurring prior to Transfer Date
- Protected Successful Bidder from non-compliance penalties/fines by BSE and NSE
Business Segment
The company is primarily engaged in the business of operating fitness centres. As the business activities fall within a single primary business segment, the disclosure requirements of Ind AS 108 "Operating Segments" are not applicable.