🔍

DHARAN - Dharan Infra-EPC

📊 NSE: DHARAN 🏢 Residential, Commercial Projects 📅 Last Updated: 11/13/2025 15:25

📢 Recent Corporate Announcements

Dharan Infra-EPC Files Quarterly SEBI Reg 74(5) Compliance Certificate for Dec 2025

🟡 NEUTRAL ⭐ 2/10

ROUTINE 📅 11 Mar 2026, 08:42 PM

Dharan Infra-EPC Limited has submitted its compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations for the quarter ended December 31, 2025. The certificate, issued by Registrar and Share Transfer Agent MUFG Intime India Private Limited, confirms that all dematerialization requests were processed and security certificates were cancelled within prescribed timelines. Notably, the company remains under the Corporate Insolvency Resolution Process (CIRP). This filing is a standard administrative requirement for listed companies to ensure shareholding records are accurate.

Compliance certificate submitted for the quarter ended December 31, 2025.
Confirmation provided by RTA MUFG Intime India Private Limited (formerly Link Intime).
Securities received for dematerialization were processed and listed on stock exchanges.
Company disclosure confirms it is currently under Corporate Insolvency Resolution Process (CIRP).

💡 This is a routine regulatory filing with no impact on company fundamentals. Investors should continue to monitor the progress of the Corporate Insolvency Resolution Process (CIRP).

Dharan Infra-EPC Reports Delayed Q2 Results Amid CIRP and $80M FEMA Non-Compliance

🔴 NEGATIVE ⭐ 9/10

EARNINGS 📅 06 Mar 2026, 09:40 PM

Dharan Infra-EPC Limited (formerly KBC Global) has released its significantly delayed Q2 and half-year results for FY26 while under the Corporate Insolvency Resolution Process (CIRP). The company faces severe regulatory scrutiny, including a qualified auditor's opinion regarding the diversion of $80.62 million in FCCB proceeds, which violated FEMA regulations. Financial distress is evident as most construction sites are non-operational, and the company has defaulted on statutory dues like GST and Income Tax for over a year. While a settlement of ₹10 crore has been reached with Tata Capital to potentially exit insolvency, the company's 'going concern' status remains under material uncertainty.

Company is currently under CIRP with a Section 12A withdrawal application pending after a ₹10 crore settlement with Tata Capital.
Auditors flagged a qualified opinion regarding $80.62 million raised via FCCBs that were diverted to African subsidiaries in violation of FEMA norms.
GST returns have not been filed since December 2022, and statutory dues for Income Tax and TDS remain unpaid for over a year.
Most construction projects are non-operational, leading to significant losses and doubts about the company's ability to continue as a going concern.
Loan accounts have been classified as NPAs by lenders, with interest being recorded only on a provisional basis.

💡 Investors should remain extremely cautious as the company is in deep financial and legal distress with significant regulatory non-compliance. The potential for heavy FEMA penalties and the non-operational status of projects make this a high-risk security.

Dharan Infra-EPC Settles Dues with Tata Capital; Moves to Withdraw Insolvency Process

🟢 POSITIVE ⭐ 9/10

LEGAL 📅 20 Jan 2026, 03:26 PM

Dharan Infra-EPC Limited (formerly KBC Global) has successfully cleared its entire outstanding debt with Tata Capital Housing Finance Limited as of December 31, 2025. Following this one-time settlement, the Hon'ble NCLAT has directed the Interim Resolution Professional to file an application under Section 12A for the withdrawal of the insolvency process. The tribunal has stayed all further insolvency actions, providing a significant reprieve for the company and its shareholders. This move effectively signals the company's exit from the Corporate Insolvency Resolution Process (CIRP) pending formal NCLT approval.

Full settlement of outstanding dues with Tata Capital Housing Finance Limited completed on December 31, 2025
NCLAT order dated January 6, 2026, directs the filing of a Section 12A application to withdraw insolvency proceedings
Interim Resolution Professional (IRP) has received Form FA from the creditor, confirming the settlement
NCLAT has stayed all further CIRP steps except for the collation of existing claims
The company was previously known as KBC Global Limited and Karda Construction Limited

💡 Investors should monitor the formal approval of the Section 12A application by the NCLT Mumbai Bench, which will officially end the insolvency threat. While the settlement is a major positive, investors should remain cautious and evaluate the company's remaining debt obligations and operational stability.

Dharan Infra-EPC Completes One-Time Settlement with Tata Capital Housing Finance

🟢 POSITIVE ⭐ 7/10

OTHER 📅 06 Jan 2026, 07:06 PM

Dharan Infra-EPC Limited, formerly known as KBC Global Limited, has successfully cleared its entire outstanding debt with Tata Capital Housing Finance Limited through a One-Time Settlement (OTS). This settlement, concluded on December 31, 2024, is part of the company's strategic effort to restructure its financial position and improve its balance sheet. While the company admits to other loans remaining in default, it emphasizes that these are secured by collateral valued at approximately twice the principal amount. Management is actively negotiating with other lenders to resolve all remaining financial obligations.

Successfully cleared entire outstanding debt with Tata Capital Housing Finance via OTS
Settlement finalized on December 31, 2024, to strengthen financial discipline and credibility
Remaining defaulted loans are backed by collateral worth approximately 2x the principal sum
Company is in active dialogue with other lending institutions for structured debt solutions

💡 Investors should monitor the company's progress in settling its remaining defaulted loans using its high-value collateral. While this OTS is a positive step, a cautious approach is advised until the full debt restructuring process is complete.

Dharan Infra-EPC Receives NCLAT Stay on CIRP After Settling Dues with Tata Capital

🟢 POSITIVE ⭐ 9/10

LEGAL 📅 06 Jan 2026, 06:51 PM

Dharan Infra-EPC Limited (formerly KBC Global) has successfully reached a one-time settlement with its financial creditor, Tata Capital Housing Finance Limited. The company cleared its entire outstanding dues on December 31, 2025, leading the NCLAT to stay the Corporate Insolvency Resolution Process (CIRP) on January 6, 2026. The Interim Resolution Professional is now filing a Section 12A application to formally withdraw the insolvency petition. This move effectively halts the insolvency proceedings and signals a potential return to normal operations.

Cleared entire outstanding dues with Tata Capital Housing Finance Limited on December 31, 2025
Received stay order from Hon'ble NCLAT on January 6, 2026, halting further CIRP actions
IRP directed to file Section 12A application for formal withdrawal of the insolvency case
Management successfully appealed the initiation of CIRP following the one-time settlement

💡 Investors should view this as a major positive development that removes the immediate threat of insolvency. Monitor the NCLT Mumbai Bench for the final approval of the Section 12A withdrawal application.

Dharan Infra-EPC Announces Trading Window Closure from January 1, 2026

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 31 Dec 2025, 07:26 PM

Dharan Infra-EPC Limited has notified the exchanges regarding the closure of its trading window starting January 1, 2026. This closure is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, for the purpose of declaring financial results. The window pertains to the quarter and nine months ended December 31, 2025. Trading will remain restricted for designated persons until 48 hours after the results are made public.

Trading window closure begins on January 1, 2026, for all designated persons and their relatives.
The closure is linked to the upcoming financial results for the quarter and nine months ended December 31, 2025.
The restriction will be lifted 48 hours after the official declaration of the financial results.
The notice is issued in accordance with SEBI (Prohibition of Insider Trading) Regulations, 2015.

💡 This is a routine regulatory filing with no direct impact on stock fundamentals. Investors should watch for the upcoming earnings announcement date to assess the company's financial performance.

Dharan Infra-EPC Holds 18th AGM Under Corporate Insolvency Resolution Process (CIRP)

🔴 NEGATIVE ⭐ 8/10

LEGAL 📅 29 Dec 2025, 12:54 PM

Dharan Infra-EPC Limited conducted its 18th Annual General Meeting on December 29, 2025, under the supervision of an Interim Resolution Professional. This follows the commencement of the Corporate Insolvency Resolution Process (CIRP) by the NCLT Mumbai Bench effective December 12, 2025. During the meeting, the powers of the Board of Directors remained suspended as per Section 17 of the Insolvency and Bankruptcy Code. The primary agenda was the adoption of audited financial statements for the fiscal year ended March 31, 2025.

Corporate Insolvency Resolution Process (CIRP) commenced on December 12, 2025, via NCLT Mumbai order.
The 18th AGM was conducted by Interim Resolution Professional (IRP) Palak Desai as Board powers are suspended.
Shareholders considered the adoption of audited standalone and consolidated financial statements for FY 2024-25.
Audit reports for FY25 were presented by M/s Sharp Arth & Co and M/S BYG & Associates with observations noted.
The meeting was held via Video Conferencing in compliance with SEBI and MCA circulars.

💡 Investors should exercise extreme caution as the company is in insolvency proceedings, which poses a high risk to equity value. Monitor NCLT updates and the IRP's progress regarding the resolution plan.

Dharan Infra-EPC Receives 3-Month Extension from ROC to Hold 18th AGM by Dec 31, 2025

🔵 WATCH ⭐ 4/10

REGULATORY 📅 23 Dec 2025, 01:22 PM

Dharan Infra-EPC Limited, formerly known as KBC Global Limited, has obtained a three-month extension from the Registrar of Companies (ROC), Mumbai, to conduct its 18th Annual General Meeting (AGM). The meeting, which was originally due by September 30, 2025, for the financial year ending March 31, 2025, can now be held until December 31, 2025. The company has officially scheduled the AGM for December 29, 2025, following a notice issued on December 5, 2025. The ROC has issued a cautionary note advising the company to be more diligent with statutory compliance in the future.

ROC Mumbai granted a 3-month extension for holding the AGM under Section 96 of the Companies Act, 2013.
The deadline for the 18th AGM has been extended from September 30, 2025, to December 31, 2025.
The company has scheduled the meeting for December 29, 2025, just before the extended deadline.
The ROC advised the company to be careful in the future regarding compliance with the provisions of the Companies Act.

💡 Investors should attend or review the proceedings of the AGM on December 29, 2025, to understand the reasons behind the delay in reporting. Monitor for any potential governance or administrative issues that may have necessitated this extension.

NCLT Admits Dharan Infra-EPC into Insolvency Process Over ₹28.05 Crore Default

🔴 NEGATIVE ⭐ 10/10

LEGAL 📅 19 Dec 2025, 06:38 PM

The National Company Law Tribunal (NCLT) Mumbai Bench has initiated the Corporate Insolvency Resolution Process (CIRP) against Dharan Infra-EPC Limited (formerly Karda Constructions/KBC Global). The petition was filed by Tata Capital Housing Finance Limited following a default of ₹28.05 crore as of May 2025. The debt originated from construction finance facilities totaling ₹80 crore sanctioned between 2018 and 2019. Mrs. Palak Swapnil Desai has been appointed as the Interim Resolution Professional (IRP) to oversee the company's operations and resolution.

NCLT Mumbai Bench admitted the Section 7 IBC petition filed by Tata Capital Housing Finance Limited on December 12, 2025.
The total amount claimed to be in default is ₹28,04,91,115 with a default date of February 7, 2023.
The company had availed two major loan facilities of ₹35 crore (2018) and ₹45 crore (2019) for project construction.
The Corporate Debtor's management is suspended, and control is transferred to the Interim Resolution Professional, Mrs. Palak Swapnil Desai.
A moratorium has been declared under Section 14 of the IBC, prohibiting any suits or transfer of assets by the company.

💡 Investors should be extremely cautious as insolvency proceedings typically result in significant loss of value for equity shareholders. It is advisable to monitor the resolution process closely for any potential haircuts or restructuring plans that may impact the company's listing status.

NCLT Admits Insolvency Petition Against Dharan Infra-EPC Over ₹28.05 Crore Default

🔴 NEGATIVE ⭐ 10/10

LEGAL 📅 19 Dec 2025, 06:37 PM

The NCLT Mumbai Bench has initiated the Corporate Insolvency Resolution Process (CIRP) against Dharan Infra-EPC Limited (formerly KBC Global/Karda Constructions). The petition was filed by Tata Capital Housing Finance Limited for a default amounting to ₹28.05 crore as of May 2025. The debt originates from construction finance facilities totaling ₹80 crore sanctioned between 2018 and 2019. The company's accounts were classified as NPA in February 2023, and an Interim Resolution Professional (IRP) has been proposed to take over management.

NCLT Mumbai Bench admitted the Section 7 IBC application filed by Tata Capital Housing Finance Limited.
Total default amount claimed by the financial creditor is ₹28,04,91,115 as of May 20, 2025.
The company's loan accounts were officially classified as Non-Performing Assets (NPA) on February 7, 2023.
Dharan Infra-EPC was previously known as Karda Constructions Limited and KBC Global Limited.
Mrs. Palak Swapnil Desai has been appointed as the Interim Resolution Professional (IRP) to manage the CIRP.

💡 Investors should be extremely cautious as the initiation of CIRP usually leads to a suspension of trading and potential total loss of equity value. Shareholders should monitor official IRP announcements regarding the resolution plan and claims process.

DHARAN Infra-EPC Board Meeting Outcome: Unaudited Results for Quarter Ended June 30, 2025

🔴 NEGATIVE ⭐ 7/10

BOARD_MEETING 📅 09 Dec 2025, 11:58 PM

DHARAN Infra-EPC Limited's board approved the unaudited standalone and consolidated financial results for the quarter ended June 30, 2025. The company reported a total income of ₹91.26 Lakhs and a net loss after tax of ₹753.21 Lakhs. The auditor has expressed a qualified opinion due to deviations in the deployment of funds raised through FCCBs, with funds transferred to subsidiaries in Ghana, Liberia, and Kenya, contrary to FEMA regulations. There are also concerns about delays in repayment of borrowings and outstanding statutory dues.

Total Income for the quarter ended June 30, 2025: ₹91.26 Lakhs
Net Loss after Tax for the quarter ended June 30, 2025: ₹753.21 Lakhs
950 Foreign Currency Convertible Bonds (FCCBs) of USD 100,000 each were issued.
Outstanding dues for Income Tax, GST, and TDS have remained unpaid for a period exceeding one year.
The company holds only 15% stake in Shree Sainath Land & Development (India) Private Limited.

💡 Investors should closely monitor the company's efforts to resolve the FEMA violations and address the auditor's qualified opinion. Be cautious due to the company's losses and uncertainty regarding its ability to continue as a going concern.

Dharan Infra-EPC Schedules 18th AGM for Dec 29, 2025; Proposes New Secretarial Auditors

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 05 Dec 2025, 06:15 PM

Dharan Infra-EPC Limited (formerly KBC Global Limited) has scheduled its 18th Annual General Meeting for December 29, 2025, to adopt audited financial statements for FY 2024-25. The company has fixed December 22, 2025, as the cut-off date for determining shareholder eligibility for voting. Key agenda items include the re-appointment of Director Naresh Karda and the appointment of M/s. BYG & Associates as Secretarial Auditors for a five-year term starting FY 2025-26. Additionally, shareholders will vote on ratifying a remuneration of ₹65,000 for the cost auditors for the upcoming financial year.

18th Annual General Meeting to be held on December 29, 2025, via Video Conferencing.
Cut-off date for e-voting eligibility is December 22, 2025, with voting open from Dec 25 to Dec 28.
Proposal to appoint M/s. BYG & Associates as Secretarial Auditors for a 5-year term (FY 2025-26 to 2029-30).
Ratification of ₹65,000 plus taxes as remuneration for Cost Auditors M/s PRO & Associates for FY 2025-26.
Adoption of standalone and consolidated audited financial statements for the year ended March 31, 2025.

💡 Investors should review the FY 2024-25 Annual Report for detailed financial performance and ensure they exercise their voting rights during the e-voting window ending December 28.

DHARAN INFRA-EPC LIMITED Board Meeting Outcome

🟡 NEUTRAL ⭐ 4/10

BOARD_MEETING 📅 05 Dec 2025, 06:00 PM

DHARAN INFRA-EPC LIMITED's board meeting on December 5, 2025, resulted in the appointment of Ms. Bhavika Ghuntla of M/s BYG & Associates as Secretarial Auditor for a five-year term. M/s PRO & Associates was appointed as the Cost Auditor for the FY 2025-2026. These appointments are aimed at ensuring compliance and providing independent oversight. Investors should note these changes as part of the company's governance structure.

Ms. Bhavika Ghuntla appointed as Secretarial Auditor for a 5-year term.
M/s PRO & Associates appointed as Cost Auditor for FY 2025-2026.
BYG & Associates has over 6 years of experience in secretarial and legal fields.
PRO & Associates has 14+ years of experience in accounts and financials management.

💡 Investors should monitor the reports and opinions provided by the newly appointed auditors for insights into the company's compliance and financial health. These appointments reflect the company's commitment to regulatory standards.

DHARAN Infra-EPC: 18th AGM on Dec 29, 2025 via Video Conferencing

🟡 NEUTRAL ⭐ 4/10

BOARD_MEETING 📅 05 Dec 2025, 05:07 PM

DHARAN Infra-EPC Limited is holding its 18th Annual General Meeting (AGM) on December 29, 2025, at 12:30 p.m. IST via video conferencing. The AGM will cover the adoption of audited financial statements for the year ended March 31, 2025, and the reappointment of Mr. Naresh Karda. Members can cast their votes electronically from December 25 to December 28, 2025. The company has appointed M/s. BYG & ASSOCIATES as Secretarial Auditors for 5 years, starting from FY 2025-26.

18th Annual General Meeting on December 29, 2025 at 12.30 p.m. IST
E-voting commences from December 25, 2025 till December 28, 2025
Cut-off date for voting eligibility is December 22, 2025
Remuneration of ₹ 65,000 to M/s PRO & Associates for FY 2025-2026
M/s. BYG & Associates appointed as Secretarial Auditors for 5 years from FY 2025-26

💡 Shareholders should review the AGM notice and financial statements. Cast your votes electronically between December 25 and December 28, 2025.

Dharan Infra-EPC to Hold 18th AGM on Dec 29, 2025; To Appoint Secretarial Auditors

🟡 NEUTRAL ⭐ 3/10

ROUTINE 📅 05 Dec 2025, 05:05 PM

Dharan Infra-EPC Limited (formerly KBC Global) has scheduled its 18th Annual General Meeting for December 29, 2025, via video conferencing. The meeting will focus on the adoption of audited financial statements for FY 2024-25 and the re-appointment of Director Mr. Naresh Karda. A key proposal includes the appointment of M/s. BYG & Associates as Secretarial Auditors for a five-year term from FY 2025-26 to FY 2029-30. Shareholders as of the cut-off date of December 22, 2025, are eligible to vote during the e-voting window from December 25 to December 28.

18th Annual General Meeting scheduled for December 29, 2025, at 12:30 PM IST via VC/OAVM.
Cut-off date for voting eligibility is December 22, 2025, with remote e-voting starting December 25.
Proposal to appoint M/s. BYG & Associates as Secretarial Auditors for a 5-year term through FY 2029-30.
Ratification of ₹ 65,000 remuneration plus taxes for Cost Accountants M/s PRO & Associates for FY 2025-26.
Agenda includes the adoption of both standalone and consolidated audited financial statements for FY 2024-25.

💡 Investors should review the FY 2024-25 Annual Report once received to evaluate the company's performance and governance before casting their votes. No immediate market action is required as this is a routine regulatory procedure.

View All DHARAN Announcements on Live Market Tracking →

💰 Financial Performance

Revenue Growth by Segment

The Company operates in three segments: 'Development of Real Estate Property', 'Civil Contracting Business', and 'Investment segment'. Standalone revenue for FY2025 was INR 17.99 Cr, representing a 12.71% decline from INR 20.61 Cr in FY2024. Historically, revenue grew 5.96% in FY2021 to INR 120.92 Cr, but recent performance shows significant contraction due to operational challenges.

Geographic Revenue Split

The Company maintains a strong foothold in the Nashik region of Maharashtra, India, which serves as its primary revenue base. It is expanding into the ECOWAS and COMESA regions of Africa for low-cost housing projects via a 100% subsidiary in the UAE, though specific percentage splits for these new regions are not yet disclosed.

Profitability Margins

The Company is currently loss-making on a standalone basis, reporting a net loss of INR 38.34 Cr in FY2025 compared to a loss of INR 36.57 Cr in FY2024. Historical PAT margins were 16.75% in FY2021, but have since turned negative due to high finance costs and NPA classifications.

EBITDA Margin

EBITDA margin for FY2025 was -0.12%, a slight improvement from -0.71% in FY2024. In Q2 FY2022, EBITDA margins were as high as 44.95%, driven by the introduction of a 'Business Support Services' segment, but current margins are suppressed by declining revenue and fixed costs.

Capital Expenditure

Historical capital expenditure is not explicitly detailed in INR Cr, but the company utilized 950 FCCBs (Foreign Currency Convertible Bonds) issued to Global Focus Fund Ltd for overseas business expansion in the infrastructure sector. 420 FCCBs were converted to equity between April and December 2024 to strengthen the balance sheet.

Credit Rating & Borrowing

The Company's loan accounts have been classified as Non-Performing Assets (NPA), leading to interest being recorded on a provisional basis. As of H1 FY2021, Interest Coverage was 1.32x and Total Debt/OPBDIT was 6.43x. The Debt-Equity ratio stood at 0.08 in FY2025, lowered by the conversion of FCCBs into equity.

⚙️ Operational Drivers

Raw Materials

Primary raw materials include cement, steel, sand, and bricks for real estate and EPC projects. While specific percentage breakdowns are not disclosed, these typically constitute 60-70% of project costs in civil contracting.

Import Sources

Raw materials are primarily sourced locally within Maharashtra (Nashik region) to support domestic projects. For African projects, sourcing is planned through the UAE-based subsidiary.

Key Suppliers

Specific supplier names are not disclosed in the provided documents; however, the company manages day-to-day procurement through its Whole Time Director, Manohar Karda, focusing on raw material cost management.

Capacity Expansion

Current operations are focused on residential projects ranging from 1BHK to penthouses in Nashik. Expansion plans involve low-cost housing development in the ECOWAS and COMESA regions of Africa, funded by the 950 FCCBs issued in November 2022.

Raw Material Costs

Project costs are a significant driver of revenue recognition under Ind AS 115. In FY2021, total expenses were INR 100.53 Cr. Fluctuations in steel and cement prices directly impact the 'cost to complete' estimates, which can lead to overstatement or understatement of revenue.

Manufacturing Efficiency

Efficiency is measured by the 'cost to complete' workings versus budgeted costs. Auditors identified the measurement of revenue over time as a Key Audit Matter due to the high level of management judgment required in estimating these costs.

Logistics & Distribution

Distribution costs are primarily related to the marketing of residential real estate units in Nashik micro-markets, where the company holds a leadership position.

📈 Strategic Growth

Growth Strategy

Growth is targeted through geographic diversification into Africa (ECOWAS/COMESA) for low-cost housing and the expansion of the 'Business Support Services' segment. The company is also converting FCCBs to equity to reduce debt pressure and improve the financial position for new project bidding.

Products & Services

Residential apartments (1BHK to penthouses), Civil Contracting services, Real Estate Development, and Business Support Services.

Brand Portfolio

Dharan Infra-EPC (formerly KBC Global Limited).

New Products/Services

Introduction of 'Business Support Services' to the real estate sector, which contributed to a 72.64% increase in EBITDA in Q2 FY2022.

Market Expansion

Targeting the African continent (ECOWAS & COMESA regions) for infrastructure and low-cost housing projects through its UAE subsidiary.

Market Share & Ranking

Market leadership across micro-markets in the Nashik region.

Strategic Alliances

Maintains a robust JD (Joint Development) partnership ecosystem for real estate projects.

🌍 External Factors

Industry Trends

The industry is shifting toward low-cost housing and infrastructure EPC. Dharan is positioning itself to capture this by pivoting from pure real estate to Infra-EPC and expanding into developing African markets.

Competitive Landscape

Competes with local real estate developers in Nashik and mid-sized EPC firms in the civil contracting space.

Competitive Moat

The moat is based on a strong local foothold and market leadership in Nashik. However, this moat is currently threatened by financial instability, NPA status, and modified audit opinions which may limit future project financing.

Macro Economic Sensitivity

Highly sensitive to interest rates and real estate demand in India. The NPA status makes the company particularly vulnerable to changes in banking regulations and credit availability.

Consumer Behavior

Demand in Nashik is driven by residential buyers looking for a range of housing options from affordable 1BHKs to premium penthouses.

Geopolitical Risks

Expansion into Africa (ECOWAS/COMESA) introduces risks related to regional political stability and cross-border regulatory compliance.

⚖️ Regulatory & Governance

Industry Regulations

The Company is subject to RERA for real estate and RBI regulations for FCCBs. It is currently in the process of resubmitting a compounding application to the RBI for violations related to FCCB end-use and reporting.

Taxation Policy Impact

The company reported a tax expense of INR 7.67 Cr in FY2021 on a PBT of INR 27.93 Cr.

Legal Contingencies

The Company has pending litigations as of March 31, 2025, disclosed in Note 51 of the financial statements. There is a material uncertainty regarding the company's ability to continue as a going concern due to accumulated losses and regulatory non-compliance.

⚠️ Risk Analysis

Key Uncertainties

Material uncertainty exists regarding the 'Going Concern' status (100% impact risk) due to persistent losses and RBI compounding issues. The NPA classification of loans prevents accurate financial tracking and increases the risk of asset seizure.

Geographic Concentration Risk

High concentration in Nashik, Maharashtra, though the company is attempting to diversify into Africa to mitigate this.

Third Party Dependencies

Dependent on Global Focus Fund Ltd for FCCB funding and AD Banks for regulatory clearances (LRN 202206106).

Technology Obsolescence Risk

The company's accounting software lacks a mandatory 'audit trail' (edit log) feature, violating Rule 11(g) of the Companies Rules, which poses a significant regulatory and data integrity risk.