This report provides a comprehensive overview of a **Coimbatore-based** company, historically a player in the **Textiles** sector, currently undergoing a terminal financial crisis and formal insolvency proceedings. --- ### **Current Operational Status: Cessation of Business** The company has transitioned from an active manufacturing entity to a state of total operational suspension. It currently reports **zero turnover** and has officially declared that it is **no longer a going concern**. * **Asset Liquidation:** All productive assets, including **9 manufacturing units**, **5 windmills**, and **3 parcels of vacant land**, have been seized and sold by lenders via e-auction to recover outstanding dues. * **Resource Exhaustion:** The company lacks the physical infrastructure, raw materials, and working capital to conduct any primary manufacturing or trading activities. * **Segment Reporting:** While technically classified under a **single segment (Textiles)** for regulatory purposes, there are no active operations within this segment. --- ### **Insolvency Proceedings and Debt Overhang** The company is currently navigating the **Corporate Insolvency Resolution Process (CIRP)** under the **Insolvency and Bankruptcy Code (IBC), 2016**. * **NCLT Filing:** An insolvency petition was filed before the **NCLT, Chennai** on **November 20, 2024** (IBBI Ref No: **IAAA-1124-006501**) under **Section 10** of the IBC. * **Unresolved Debt:** Despite the realization of **Rs 191.05 crores** from asset sales, the total outstanding dues to the consortium of lenders exceed **Rs 200 crores** as of **March 31, 2025**. * **Interest Non-Provision:** The company has not provided for or paid interest on bank loans since **September 2015**. This results in a significant understatement of liabilities in the official books of account. * **Funding of Last Resort:** Administrative and statutory expenses are currently being met through personal borrowings from the **Managing Director**, who has reportedly **exhausted all personal funds** and has not received a regular salary since **September 2017**. --- ### **Financial Performance Summary** The financial statements, prepared under **Ind AS**, reflect a business with no revenue and mounting losses driven by administrative costs and legal penalties. | Particulars (INR) | FY 2024-25 | FY 2023-24 | | :--- | :--- | :--- | | **Sales Turnover** | **0** | **0** | | **EBIDTA** | **(7,12,964)** | **(7,49,552)** | | **Depreciation** | **3,629** | **0** | | **Net Profit / (Loss)** | **(7,09,335)** | **(7,49,552)** | * **Asset Reversals:** In FY 2022-23, the company was forced to reverse an **Income Tax Receivable** of **Rs 79,08,062** following an adverse court ruling, further weakening the balance sheet. --- ### **Legal Liabilities and Contingent Claims** The company faces a massive "overhang" of litigation and statutory penalties that far exceed its remaining value. | Authority | Nature of Dispute | Amount (INR) | Status | | :--- | :--- | :--- | :--- | | **Income Tax Dept** | Penalty u/s 271(1)(c) (AY 2012-13) | **6,51,40,090** | **Supreme Court** appeal dismissed; Review Petition filed. | | **Comm. of Customs** | Non-fulfillment of Export Obligation | **55,90,28,760** | Appeal pending before Appellate Forum. | | **Customs (Chennai)** | Non-fulfillment of Export Obligation | **1,53,77,000** | Sub-judice; challenged by SBI regarding charge priority. | | **DGFT (Coimbatore)** | Penalty on 45 EPCG Licenses | **55,66,632** | Appeal preferred. | | **Sales Tax (MH)** | Reversal of Input Credit (AY 05-06 & 06-07) | **32,46,000** | Appeal preferred. | **Note:** The balance liability of **Rs 6,51,40,090** related to the Income Tax penalty has **not been provided** in the books of account due to a total lack of resources. --- ### **Governance, Compliance, and Listing Risks** The company is in persistent default of several **SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015**. * **Trading Suspension:** Equity shares are suspended on both the **NSE** and **BSE** due to non-payment of **Annual Listing Fees (ALF)** since **2016-17**. * **Delisting Risk:** **BSE** has issued notices for **compulsory delisting**. The promoters have stated they lack the financial capacity to acquire public shares as required by delisting norms. * **Board Vacancies:** The company is non-compliant with **Regulation 17(1)**. The board has shrunk to **four members** following the resignation of the Executive Director (**January 2023**) and the death of the Nominee Director (**November 2023**). * **Key Personnel:** There has been no **Qualified Company Secretary** since **December 2019** and no **CEO** has been appointed. * **Regulatory Fines:** - **NSE** penalties: **Rs 34,73,073** and **Rs 6,68,073** for delayed filings. - **BSE & NSE** combined fines: Over **Rs 13 lakhs** in **2024** for board and CS appointment defaults. --- ### **Corporate Structure and Shareholder Services** Despite financial distress, the company maintains basic regulatory reporting and has streamlined its administrative infrastructure. * **Promoter Reclassification:** An ongoing process is underway to reclassify **Sri. Mayank Tibrewal (0.635%)** and **Sri. Umang Tibrewal (0.595%)** from 'Promoter Group' to 'Public'. * **Management Changes:** The promoter group was further reduced following the death of the erstwhile Executive Director, **Sri. Mohanlal Tibrewal**, in **March 2024**. * **RTA Integration:** To ensure compliance with **Regulation 30**, the company transitioned its Registrar and Share Transfer Agent (RTA) services to **Link Intime India Private Limited** following the merger of **S.K.D.C. Consultants Limited**. * **Investor Grievances:** The company reported **zero pending complaints** for the quarter ended **December 31, 2025**. | Entity Change | Previous Status | Current Status (Post-Merger) | | :--- | :--- | :--- | | **Registrar & Transfer Agent** | S.K.D.C. Consultants Limited | **Link Intime India Private Limited** | | **Legal Entity Status** | Separate Subsidiary | **Merged Entity** | | **Regulatory Compliance** | SEBI / LODR Compliant | **SEBI / LODR Compliant** |