Khandwala Securities received an administrative warning letter from the Securities and Exchange Board of India (SEBI) dated June 09, 2026, regarding violations of disclosure norms in a draft offer document. The regulator identified lapses in the documentation for the initial public offering of ArMee Infotech Limited, specifically concerning the independent auditor's examination report. The company stated that this communication has no impact on its financial, operational, or other activities.

The warning follows the submission of a draft offer document dated February 26, 2025, by Khandwala Securities. SEBI observed that the "Financial Information" section lacked the independent auditor's examination report on restated consolidated financial information. This omission was a violation of Regulation 24(2)(b) of the SEBI (Issue of Capital and Disclosure Requirement) Regulations, 2018, read with Clause 11 of Part A of Schedule V of the same regulations.

Consequently, the offer document was returned by SEBI. The regulator noted that the omission constituted a failure to exercise reasonable care and due diligence, leading to non-compliance with Regulation 24(3) of the ICDR Regulations and Regulation 13 of the SEBI (Merchant Bankers) Regulations, 1992.

Details of the SEBI Communication

The administrative warning letter was received by the company on June 10, 2026. The correspondence directed the company to improve its compliance standards to prevent recurrence and warned that future enforcement action could follow if such lapses continued.

In response to the communication, Khandwala Securities stated it would ensure compliance with the regulations and exercise due caution to avoid the recurrence of such events. The company has been advised to disclose the letter to the recognized stock exchanges and place it before the board of directors in the upcoming meeting.

Khandwala Securities Limited confirmed that its promoters have not created any encumbrance, directly or indirectly, on the equity shares held by them during the financial year ended March 31, 2026. This disclosure ensures that the shareholding structure remains free from pledged assets, which is a key indicator of financial stability for investors. The declaration was submitted to the stock exchanges on April 7, 2026.

The filing was made in compliance with Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. Paresh J. Khandwala, a promoter of the company, provided the confirmation on behalf of the entire promoter group and persons acting in concert. The document was addressed to BSE Limited and National Stock Exchange of India Limited.

Disclosure Details

The annual disclosure covers the status of shares held by the promoters for the specified financial year. The confirmation explicitly states that no shares were encumbered during this period.

The company secretary and compliance officer, Abhishek Joshi, submitted the filing to the exchanges on behalf of Khandwala Securities Limited. A copy of the disclosure was also forwarded to the Audit Committee of the company.