Outcome of Board Meeting
Awaiting price reaction for this filing.
The board, in a meeting held on June 4, 2025, approved a backlog of 10 sets of standalone financial results covering Q3FY2019 through FY2020-21, none of which had been filed previously. The auditor issued a 'Disclaimer of Opinion' on all these results, citing going concern doubts, suspected fraudulent transactions, missing records (inventory, fixed assets register, bank statements), non-deposit of statutory dues (PF, ESIC, GST, TDS, Income Tax), and several contraventions of the Companies Act, 2013. The company had entered CIRP in November 2018, was ordered into liquidation on October 5, 2020, and was subsequently sold via e-auction on December 21, 2024 to M/s. Grow House Agro Limited, which received the sale certificate on March 1, 2025 and nominated a new board, including current MD Mr. Nikunj Shah. Q3FY2019 revenue collapsed to just ₹72.52 lakhs (from ₹5,101.49 lakhs in the prior quarter) with a net loss of ₹(45,275.51) lakhs, largely driven by ₹38,459.12 lakhs in exceptional write-offs. FY2018-19 ended with negative total equity of ₹(27,157.40) lakhs and a full-year net loss of ₹(49,118.49) lakhs.
This is essentially a regularization filing by the new management post-acquisition to clear a multi-year backlog of unaudited/audited results for a company that has been in CIRP and liquidation. The auditor's disclaimer on every period underscores deep historical financial distress and unresolved fraud concerns, meaning legacy shareholders and creditors have little clarity on the true prior financial position of the entity they held.