Interworld Digital Limited reported a net loss of ₹19.17 lakh for the quarter ended June 30, 2026 (Q1FY26), a sharp deterioration from the ₹5.89 lakh loss recorded in the corresponding period of FY25. The company generated zero revenue from operations during the quarter, continuing a prolonged period of operational dormancy attributed to the fraudulent diversion of its core business and intellectual property by former Managing Director Mr. Manmohan Gupta.

The financial results were approved by the Board of Directors at a meeting held on August 12, 2026, alongside the Limited Review Report issued by statutory auditors Nemani Garg Agarwal & Co. The auditors qualified their conclusion on the standalone financial results, citing significant irregularities including the absence of operational revenue since the business shift and outstanding statutory dues.

Financial Performance

The company’s total expenses for the quarter stood at ₹19.17 lakh, driven primarily by employee benefit expenses of ₹3.48 lakh and other expenses amounting to ₹15.68 lakh. With no income from operations or other sources to offset these costs, the loss before tax matched total expenses at ₹19.17 lakh. No tax expense was recognized for the period.

Auditor Observations and Liabilities

Nemani Garg Agarwal & Co. highlighted several critical matters in their review report:

• Business Diversion: The auditors confirmed that there has been no revenue from operations for a long time because the past MD shifted the entire business to his own entity. The company is reportedly making efforts to recover this business.
• Statutory Dues: Outstanding service tax, TDS, and professional tax aggregating to ₹1.91 crore remain unpaid since FY09-10. Service tax returns have not been filed since FY11-12, with no provision made for associated interest or penalties.
• ROC Fees Dispute: A provision of ₹55.97 lakh exists for ROC fees related to an authorized capital increase in FY10-11. The company is challenging the applicability of revised fees under the Companies Act, 2013, via a writ petition pending in the Delhi High Court.
• Investments and Receivables: The company has not disclosed the realizable value of ₹1.47 crore invested in unquoted non-current investments, preventing impairment estimation. Management maintains that all outstanding debtors are fully realizable, contrary to IND AS 109 requirements for estimated credit losses.

Corporate Actions

The Board also transacted administrative business during the meeting:

• Resignation: Mrs. Shivangi Agarwal resigned as Company Secretary and Compliance Officer effective June 30, 2026.
• Appointment: Ms. Hritika Verma was appointed as the new Company Secretary and Compliance Officer effective August 12, 2026. She is a Qualified Company Secretary and Associate Member of the Institute of Company Secretaries of India.

What the Numbers Show

The divergence between the static paid-up equity capital of ₹4,783.77 lakh and the negligible operational activity underscores the company's current status as a shell entity in transition. While the balance sheet retains substantial reserves (₹3,524.53 lakh as per the previous year), the absence of revenue combined with persistent compliance liabilities—specifically the ₹1.91 crore in unpaid statutory dues and the pending ROC fee litigation—indicates that the company’s near-term focus remains on legal recovery and regulatory cleanup rather than commercial operations.

Interworld Digital Limited has accepted the resignation of Mrs. Shivangi Agarwal as its Company Secretary and Compliance Officer, effective from the close of business hours on June 30, 2026. The resignation was submitted to pursue better career opportunities and future professional growth. The company disclosed this development in a filing to BSE Limited, citing Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The resignation letter will be placed before the Board of Directors in an upcoming meeting for formal noting. Faizal Bavaraparambil Abdul Khader, Director of Interworld Digital Limited, signed the intimation sent to the stock exchange. The company confirmed that it would file Form DIR-12 and other necessary forms with the Registrar of Companies, as well as inform the stock exchanges and other authorities regarding the change.

Details of Resignation

The following table outlines the key details regarding the change in the company's compliance officer position:

The filing referenced the SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. A copy of the resignation letter was enclosed as part of the regulatory disclosure.