Resignation of M/s M. N. Kholiya & Associate as the Internal Auditors of the Company with effect from May 25, 2026
Awaiting price reaction for this filing.
Melstar Information Technologies held a Board meeting on May 25, 2026, approving audited financial results for FY 2025-26. The company reported standalone net profit of Rs. 44.72 lakh (EPS Rs. 1.60) and consolidated net profit of Rs. 10.29 lakh (EPS Rs. 0.37) on total income of Rs. 75 lakh. Two significant governance changes occurred: Mr. Rajnikant Patel resigned as Independent Director citing pre-occupation and professional commitments, with no other material reasons stated. Ms. Ayushi Singh Bais was appointed as Additional Independent Director (subject to shareholder approval for a 5-year term). The internal auditors, M/s M. N. Kholiya & Associate, resigned effective May 25, 2026 citing commercial considerations and unresolved professional fee terms. M/s Saini & Saini was appointed as the new internal auditor for FY 2026-27. Statutory auditors CKSP & Co LLP issued a qualified opinion due to ongoing IBC insolvency proceedings admitted in 2019, though financials are prepared on a going concern basis.
The internal auditor change and director resignation indicate governance transitions; the qualified audit opinion with ongoing insolvency proceedings remains a key risk factor for investors despite improved financial performance in FY 2025-26.