Harish Textile Engineers Limited has reported another default on its Non-Convertible Debentures, announcing on 08th April, 2026 its inability to pay interest due for the period January to March 2026. This latest development adds to the company's ongoing financial challenges with its Old Series-III and Series-IV debentures, following previous defaults and partial payments.

Latest Interest Payment Default

The company has defaulted on paying Rs. 3.65 lakh in interest for the period January 2026 to March 2026, which was due on 07th April, 2026. Out of the total interest amount of Rs. 7.38 lakh due for the period October 2025 to March 2026, the company had previously paid Rs. 3.73 lakh covering October to December 2025, leaving the balance amount unpaid.

Previous Payment Progress

Earlier, the company had made progress by paying interest due on the Old Series-III and Series-IV Non-Convertible Debentures up to 31st December, 2025 on 04th April, 2026. This included payments totaling Rs. 11.15 lakh covering different periods, representing progress on previously overdue obligations.

Outstanding Obligations and Debenture Structure

The current default amount stands at Rs. 2.11 crores in principal and Rs. 0.04 crores in interest. The 7% Unlisted, Secured, Unrated, Redeemable Non-Convertible Debentures were issued across four series with a total issue size of Rs. 4.23 crores. The debentures carry a 7% interest rate with half-yearly payment frequency on 30th September and 31st March every year.

Financial Constraints and Resolution Efforts

The company has attributed the delay in payment to ongoing financial constraints, with total financial indebtedness of Rs. 30.25 crores including short-term and long-term debt. The debentures currently have 20 investors as on the date of default. Harish Textile Engineers continues to engage with debenture holders through the Debenture Trustee and is making efforts to arrange necessary funds for settlement of outstanding interest and redemption obligations, remaining committed to fulfilling its obligations to debenture holders.

Harish textile engineers Limited has fulfilled its regulatory obligations by submitting the mandatory certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 for the quarter and year ended 31st March, 2026.

Regulatory Submission Details

The company submitted the certificate to BSE Limited on 8th April, 2026, through its Company Secretary and Compliance Officer, Priya Gupta. The submission was made in compliance with SEBI's regulatory framework governing depositories and participants.

Certificate Confirmation by RTA

Bigshare Services Private Limited, serving as the company's Registrar and Share Transfer Agent, issued the certificate on 6th April, 2026. The RTA confirmed compliance with several key regulatory requirements under the SEBI framework.

The certificate validates that:

• All securities received from depository participants for dematerialization up to 31st March, 2026 were properly confirmed to the depositories
• Securities comprised in the certificates have been listed on the stock exchange where earlier issued securities are listed
• Security certificates received for dematerialization have been mutilated and cancelled after due verification
• Names of depositories have been substituted in the register of members as registered owners within the mandated 15-day period

Regulatory Framework Compliance

The submission references multiple regulatory circulars, including NSDL/CIR/II/5/2019 dated 25th January, 2019, and SEBI's letter ref no. MRD/DOP2/DSA2/OW/2019/2498/1 dated 24th January, 2019. These guidelines establish the framework for dematerialization processes and reporting requirements.

Corporate Governance

The certificate submission demonstrates Harish Textile Engineers Limited's commitment to maintaining proper corporate governance standards and regulatory compliance. The company's adherence to SEBI's depositories regulations ensures transparent and efficient handling of securities dematerialization processes.

The digital signature authentication by Company Secretary Priya Gupta on 8th April, 2026, confirms the official nature of the submission and the company's formal acknowledgment of its regulatory responsibilities.