Shree Securities Limited has received an advance intimation of resignation from its statutory auditor, M/s R.K. Kankaria & Co., effective on the date the company declares its financial results for the first quarter ended June 30, 2026. The resignation was communicated via a letter dated June 20, 2026, citing preoccupation elsewhere as the reason for the decision. The firm currently holds office until the conclusion of the Annual General Meeting for the financial year 2027-28.

Regulatory Compliance and Transition

The disclosure was made to the stock exchanges in accordance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The auditor referenced SEBI circular CIR/CFD/CMD1/114/2019 dated October 18, 2019, regarding the resignation process. Specifically, the circular mandates that if an auditor resigns after 45 days from the end of a quarter, they must issue the limited review or audit report for that quarter and the subsequent quarter before resigning.

Audit Status and Handover

M/s R.K. Kankaria & Co. confirmed that the annual accounts for the financial year ended March 31, 2026, have already been audited and signed as of May 28, 2026. The firm stated that it will complete the statutory review for the quarter ended June 30, 2026, provided the necessary documents and records are made available. Following the completion of this review, the firm will formally resign, requesting the board to make arrangements for the appointment of a new auditor to ensure a smooth transition.

Shree Securities Limited has submitted an application to reclassify five shareholders from the promoter and promoter group categories to the public category. The application, filed on June 16, 2026, follows the demise of a promoter and requests from other shareholders citing a lack of association with the company's operations. The reclassification is subject to approval by the stock exchanges where the company is listed, namely BSE Limited and Calcutta Stock Exchange Limited.

The shareholders seeking the change include Amrita Sharma, Manik Chand Pugalia, Subhash Chandra Dadhich, Faber Trexim Private Limited, and Meghshree Credit Private Limited. The company noted that Mr. Manik Chand Pugalia, a promoter, expired on December 04, 2024. Consequently, he ceases to be a promoter, and his name must be removed from the promoter category in the shareholding pattern and other statutory records. The other applicants confirmed they do not hold key managerial positions, participate in management, or possess special rights through shareholder agreements.

The applicants affirmed compliance with Regulation 31A(3)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. They stated they do not hold more than 10% of total voting rights, do not exercise control over the company's affairs, and have not been declared wilful defaulters or fugitive economic offenders. The company observed that the reclassification is consequential in nature and necessitated by the demise of Mr. Pugalia and the lack of involvement of the other applicants in routine business operations.

The company resolved that the reclassification would be effective subject to the approval of BSE Limited and Calcutta Stock Exchange Limited. Upon receiving necessary approvals, the company will effect the change in the shareholding pattern filed under Regulation 31 of the Listing Regulations from the immediate succeeding quarter. The company will also make necessary disclosures under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, and the SEBI (Prohibition of Insider Trading) Regulations, 2015.