Madhucon Projects Limited Reports Rs 31.44 Crore Loan Default for Q3FY26

Madhucon Projects Limited , an infrastructure development company, has disclosed another significant loan default in its latest quarterly filing. The company reported details of its continued financial difficulties in a disclosure to stock exchanges on January 5, 2026, covering the quarter ended December 31, 2025.

Q3FY26 Default Details

Madhucon Projects Limited disclosed a default on loan payments for the quarter ended December 31, 2025. The company's default parameters show:

Parameter:	Amount (Rs Crore)
Principal Default:	31.44
Interest Default:	Nil
Other Defaults:	Nil
Date of Default:	December 31, 2025

The default involves secured loans from Punjab National Bank (formerly OBC/Punjab National Bank), representing a complete failure to repay the principal amount due on fund-based loans.

Current Financial Position

The company's financial standing reveals the extent of its debt burden:

Financial Metric:	Amount (Rs Crore)
Total Outstanding Fund-Based Loans:	31.44
Amount in Default:	31.44
Total Financial Indebtedness:	160.56
Outstanding Borrowings from Banks:	Nil

Notably, the company's total financial indebtedness has decreased from Rs 185.25 crore in the previous quarter to Rs 160.56 crore, indicating some debt reduction despite the ongoing default.

Regulatory Compliance

The disclosure was made in accordance with SEBI Circular reference No. SEBI/HO/CFD/CMD1/CIR/P/2019/140 dated November 21, 2019, which mandates listed entities to disclose defaults on loan payments. The filing was signed by D Malla Reddy, Company Secretary & Compliance Officer, and K. Venkateswarlu, Director cum CFO.

Debt Securities Status

The company reported no outstanding amounts or defaults in unlisted debt securities, including Non-Convertible Debentures (NCDs) and Non-Convertible Redeemable Preference Shares (NCRPS), indicating that the financial stress is primarily related to bank borrowings.

Market Implications

This latest default disclosure continues to highlight the financial challenges faced by Madhucon Projects Limited in the infrastructure development sector. The persistent inability to service debt obligations may impact investor confidence and the company's ability to secure future financing for its operations and projects.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.86%	-11.37%	-20.93%	-53.25%	-36.82%	-28.76%

Madhucon Projects Limited has issued a clarification regarding the resignation of Independent Director Mrs. Ch. Lakshmi Kumari, responding to queries from BSE Limited about the directorship change announced in November 2025.

Board Acceptance and Timeline

The company confirmed that Mrs. Ch. Lakshmi Kumari's resignation was formally processed through proper corporate governance channels. The resignation details are summarized below:

Parameter:	Details
Director Name:	Mrs. Ch. Lakshmi Kumari
DIN:	06942473
Position:	Independent Director
Resignation Date:	November 8, 2025
Board Meeting:	613th Board Meeting
Acceptance Date:	November 8, 2025

The resignation letter was placed before the board at its 613th Board Meeting and was accepted and approved on November 8, 2025. The original announcement regarding this directorship change was submitted to the stock exchange on the same date.

Resignation Details and Compliance

Mrs. Kumari submitted her resignation letter directly to the Board of Directors, citing personal reasons for her departure. In her resignation communication dated November 8, 2025, she stated her decision to tender resignation "from the position of Directorship of the Company due to my preoccupations and personal reasons with immediate effect."

The company has confirmed full compliance with regulatory requirements regarding the directorship change:

Mrs. Kumari is not holding any other directorships in other listed entities
No material reasons exist beyond those provided under Regulation 30 of SEBI (LODR) Regulations, 2015
Proper documentation has been submitted to relevant authorities

Regulatory Communication

The clarification was issued in response to an official email from BSE Limited dated December 15, 2025, requesting additional details about the Independent Director's resignation that was originally announced on November 8, 2025. Madhucon Projects Limited provided the complete resignation letter and board resolution details to ensure transparency and regulatory compliance.

The company's response, signed by Company Secretary and Compliance Officer D. Malla Reddy, included the original resignation letter as supporting documentation. This communication ensures that all stakeholders have complete information regarding the directorship change and the circumstances surrounding Mrs. Kumari's departure from the board.