Cargosol Logistics received an acquittal order from the Metropolitan Legal Services Authority Lok Adalat in Hyderabad on August 7, 2026. The order relates to charges under Sections 406 and 420 of the Indian Penal Code.

The company disclosed the development pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The acquittal followed an amicable settlement between the parties.

Case Details

The legal matter was originally filed as C.C. No 245 of 2018 before the Hon'ble III ACJM in Hyderabad. It stemmed from Crime No. 1017 of 2016 at the PS Banjara Hills, Hyderabad.

The complainant was K. Anil Kumar. The accused included Cargosol Logistics Pvt Ltd, represented by its director, along with Samuel Muliyl and Roshan Rohira. Other accused parties were Solon India Pvt Ltd, P. Chandramouleshwara Rao, and Poonam Shah.

Settlement Outcome

Under Section 21 of the Legal Services Authorities Act, the Lok Adalat passed an award after the de facto complainant compounded the offences. This compounding was based on a Memorandum of Understanding dated August 7, 2026.

Consequently, the accused were acquitted of the offences punishable under Sections 406 and 420 of the IPC. The award is final and binding, with no appeal permitted under Section 21(1) of the L.S.A. Act, 1987.

Financial Impact

Cargosol Logistics stated that the settlement application order has no material impact on the financial, operational, or other activities of the company.

The Board of Directors of Cargosol Logistics Ltd concluded its meeting on Tuesday, August 11, 2026, at its registered office in Mumbai, approving the re-appointment of Mr. Nitesh Wankhade as Internal Auditor for the financial year 2026-27. Alongside this governance decision, the Board authorized proposals to increase the company's borrowing power and investment limits up to ₹500 crore each, subject to shareholder approval at the upcoming Annual General Meeting (AGM). These moves aim to enhance financial flexibility for future growth initiatives while finalizing annual disclosures for FY26.

The Board approved several critical resolutions during the session, which lasted from 4:00 p.m. to 4:30 p.m. Key decisions included increasing the limit for investments, loans, guarantees, and advances to ₹500 crore under Section 186 of the Companies Act, 2013. Similarly, the borrowing power limit was raised to ₹500 crore under Section 180(1)(c) of the same Act. Both proposals require ratification by shareholders at the ensuing AGM. Additionally, the Board approved an increase in the limit for related party transactions to ₹250 crore, also pending member approval.

Internal Auditor Re-appointment

The Board formally re-appointed Mr. Nitesh Wankhade, a Practicing Chartered Accountant, as the Internal Auditor for the financial year 2026-27. The appointment was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. Mr. Wankhade brings over seven years of experience in Statutory Audit, Internal Audit, Risk Assessment, and Compliance requirements. His role will include providing advisory services on financial statements, internal controls, and statutory compliances.

Key Board Approvals

In addition to financial resolutions, the Board noted and took on record the Secretarial Audit Report for FY25-26. The Scrutinizer for the e-voting process, M/s. Jajodia & Associates Practicing Company Secretary, was finalized. The Board also fixed the record date for the closure of the Register of Members and Transfer Books to facilitate the AGM process. The Notice for the Annual General Meeting was approved, along with authorizations for directors to conduct the poll process and oversee e-voting.

Annual Disclosures Finalized

The meeting served as a crucial step in finalizing the company's annual reporting framework. The Directors' Report, including all necessary annexures, the Management Discussion Analysis, and the Corporate Governance Report for FY25-2026 were approved and adopted. This ensures that all material information regarding the company's performance and governance is available to shareholders before the AGM. The Board also authorized directors and representatives to attend the AGM of investee companies, ensuring active participation in related corporate governance matters.

Roshan Kishanchand Rohira, Managing Director, signed the outcome letter issued to BSE Limited on August 11, 2026. The meeting was convened pursuant to Regulation 29 of the Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The procedural steps, including the appointment of the scrutinizer and authorization of the Company Secretary, align with regulatory compliance requirements for public listed entities in India.