Simbhaoli sugars Limited has filed its quarterly compliance certificate with stock exchanges, confirming adherence to SEBI regulations for the quarter ended March 31, 2026. The submission demonstrates the company's commitment to maintaining regulatory compliance in its securities operations.

Regulatory Compliance Filing

The company submitted its compliance certificate under Regulation 74(5) of the SEBI (Depositories and Participants) Regulations, 2018 to both BSE Limited and the National Stock Exchange of India Limited on April 7, 2026. The certificate covers the quarter and year ended March 31, 2026, ensuring transparency in the company's depository operations.

Dematerialization Compliance Confirmation

Mas Services Limited, serving as the Registrar & Share Transfer Agent for Simbhaoli Sugars Limited, provided comprehensive confirmation of compliance with dematerialization requirements. The certificate confirms that all securities received from Depository Participants during the period from January 1, 2026 to March 31, 2026 were processed within the stipulated timeframe.

Key compliance confirmations include:

• Securities received for dematerialization were confirmed within 15 days of receipt
• Security certificates were properly mutilated and cancelled after verification
• Depository names were substituted in the register of members within 15 days
• Updates were communicated to depositories and stock exchanges within the required timeframe
• Register of members was updated accordingly

Corporate Information

Simbhaoli Sugars Limited operates as a certified company under FSSC22000 version 6.1, ISO9001:2015, and ISO14001:2015 standards. The company is engaged in multiple business segments including specialty sugars, potable alcohol, ethanol, and power generation. The filing was signed by Jagriti Sharma, Company Secretary & Compliance Officer, ensuring proper authorization and documentation of the regulatory submission.

Simbhaoli Sugars Limited's consolidated financial results for FY25 have received an adverse opinion from statutory auditors Mittal Gupta & Co., highlighting significant material uncertainties and accounting irregularities amid the company's ongoing Corporate Insolvency Resolution Process (CIRP).

Auditor's Adverse Opinion Details

The independent auditor's report dated March 11, 2026, issued an adverse opinion on the consolidated annual financial results, stating that the financial statements "do not give a true and fair view" due to material and pervasive issues. The audit covered the holding company and its subsidiaries: Integrated Casetech Consultants Private Limited (ICCPL), Simbhaoli Specialty Sugars Private Limited (SSSPL), and Simbhaoli Power Private Limited (SPPL).

Major Financial Irregularities Identified

The auditors identified several critical issues affecting the financial statements' accuracy:

CIRP Status and Going Concern Issues

The company has been under CIRP since July 11, 2024, following an NCLT Allahabad Bench order, with Mr. Anurag Goel appointed as Interim Resolution Professional. The National Company Law Appellate Tribunal (NCLAT) issued an interim order on July 24, 2024, staying further CIRP proceedings while allowing the IRP to continue managing operations, with the next hearing scheduled for March 24, 2026.

The auditors expressed significant doubt about the company's ability to continue as a going concern, citing continuous cash losses, current liabilities exceeding current assets, defaults in payments to lenders and sugarcane farmers, and negative net worth.

Subsidiary Company Challenges

The audit revealed serious issues across subsidiary companies:

Simbhaoli Power Private Limited received a disclaimer of opinion due to:

• Non-operational turbine throughout the year causing revenue decline
• Disputed receivables of ₹1,116.19 lakhs from holding company
• Pending legal proceedings alleging oppression and mismanagement

Integrated Casetech Consultants Private Limited received an adverse opinion for:

• Unbilled revenue disputes of ₹462.57 lakhs without adequate provisions
• Long-outstanding receivables totaling ₹234.31 lakhs without impairment
• Overstated deferred tax assets of ₹108.56 lakhs

Financial Impact Assessment

The auditors provided a detailed impact analysis showing significant differences between reported and adjusted figures:

Management Response and IRP Oversight

The company's management, operating under IRP supervision, acknowledged the audit qualifications while expressing confidence in resolving disputes and continuing operations through the CIRP framework. The financial results were signed by CFO Dayal Popli and taken on record by IRP Anurag Goel, with appropriate disclaimers regarding the IRP's limited liability for the financial statements' accuracy.

The IRP emphasized that these consolidated financial statements have been taken on record solely for statutory compliance purposes, with the IRP not accepting personal liability for any errors or misstatements in the accounts.