Luxury Time seeks shareholder nod for IPO proceeds variation

Luxury Time Limited has sought shareholder approval for a significant variation in the utilisation of its Initial Public Offering (IPO) proceeds, shifting capital allocation towards strategic investments and direct retail expansion. The Board of Directors, in a meeting held on August 14, 2026, approved the proposal to be put forward to members via special resolution through postal ballot.

The company plans to deploy the available IPO proceeds by March 31, 2028, subject to regulatory approvals. The revised object of utilisation marks a departure from the original prospectus, which primarily earmarked funds for working capital requirements.

Proposed Variation in IPO Proceeds

The total proposed deployment stands at ₹1,332 lakh, a marginal increase from the ₹1,325.13 lakh originally outlined in the prospectus. As of June 30, 2026, no amount from the IPO proceeds had been utilised.

Particulars	Amount as per Prospectus (₹ lakh)	Proposed Revised Object	Proposed Amount (₹ lakh)
New Retail Stores	281.76	Setting up and operating four stores directly under Luxury Time Limited	300.00
Working Capital	900.00	Strategic investments or acquisitions through subsidiaries, associates or joint ventures	1,000.00
General Corporate Purposes	143.37	General Corporate Purposes – balance amount	32.00
Total	1,325.13	Total Proposed Deployment	1,332.00

The shift reallocates the bulk of the working capital provision towards strategic growth opportunities, including acquisitions through wholly owned subsidiaries, associate companies, or joint venture companies. This structural change aims to provide greater flexibility for expansion beyond organic working capital needs.

Auditor Change and Governance Updates

The Board also addressed changes in the company’s audit and governance framework. It took note of the resignation of M/s S A R N U M & Co. LLP as Statutory Auditors, effective July 25, 2026. Based on the Audit Committee’s recommendation, the Board appointed M/s S A H A S & Associates, Chartered Accountants, to fill the casual vacancy. The appointment is effective from August 14, 2026, and will hold office until the conclusion of the ensuing general meeting, subject to shareholder approval.

Additionally, the Board re-appointed M/s Nilesh A. Pradhan & Co., LLP, as Secretarial Auditors and M/s Anil Singhal and Associates, Chartered Accountants, as Internal Auditors for the Financial Year 2026-27.

Annual General Meeting

The company scheduled its 18th Annual General Meeting (AGM) for Monday, September 21, 2026, at 3:00 pm at Hotel City Park in New Delhi. Mr. Pawan Chohan, who retires by rotation, has offered himself for re-appointment as a Director at the ensuing AGM. National Securities Depository Limited (NSDL) will facilitate remote e-voting for the AGM and the postal ballot process.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+2.48%	-1.59%	-6.20%	-13.07%	-62.10%	-62.10%

Luxury Time Limited received a compounding order dated August 06, 2026, from the Office of the Regional Director (Northern Region-I), Ministry of Corporate Affairs (MCA), addressing regulatory defaults in financial reporting. The order imposes compounding fees on key executives for failing to prepare and file consolidated financial statements of its joint venture across five financial years. The company notified the BSE of this development on August 11, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The compounding order targets specific individuals rather than the corporate entity. Chairman & Managing Director Ashok Goel and Whole-time Director Pawan Chohan have been directed to pay a compounding fee of ₹1,00,000 for each year of default. The violations span financial years 2019-20, 2020-21, 2021-22, 2022-23, and 2023-24. No fine, penalty, or compounding fee has been imposed upon Luxury Time Limited itself. The payment is required within 30 days from the date of the order.

Regulatory Details

The default stems from non-compliance with Section 129 of the Companies Act, 2013, which mandates that financial statements give a true and fair view of the state of affairs and comply with accounting standards. The MCA classified the act as unintentional. The company filed a suo-moto application for compounding under Section 441 of the Companies Act, 2013. The Registrar of Companies submitted its report on July 16, 2026, preceding the final order.

Executive	Role	Default Period	Compounding Fee
Ashok Goel	Chairman & Managing Director	FY20–FY24	₹1,00,000 per year
Pawan Chohan	Whole-time Director	FY20–FY24	₹1,00,000 per year
Luxury Time Limited	Company Entity	N/A	None

Compliance Status

The company has rectified the omissions in the financial statements for the affected years within the financial statements for FY25. The MCA noted no similar offenses compounded in the last three years and confirmed the act was not prejudicial to the interests of members or public interest. The order carries Company Application No. RDNR/LUXURY/COMP/441/2026/AC6832551.

What the Numbers Show

The imposition of fees solely on individual directors while exempting the company suggests the regulator viewed the failure as an oversight in governance execution rather than a systemic corporate fraud or insolvency risk. The rectification of data in FY25 filings indicates the underlying financial information exists but was not timely consolidated, mitigating long-term operational impact despite the procedural breach.