Vikas WSP Limited, a company currently undergoing corporate insolvency resolution process (CIRP), has announced a significant update regarding its ongoing legal proceedings. The hearing for the approval of its Resolution Plan by the National Company Law Tribunal (NCLT), Chandigarh Bench, has been rescheduled to November 12.

Key Developments

• The application bearing IA No. 1538/2022, pertaining to the approval of the Resolution Plan, was initially scheduled for hearing on October 8.
• The hearing took place on September 3, along with Section 19(2) and other matters.
• During this hearing, the Brief Note filed by the Resolution Professional was taken on record by the NCLT.

Company Status

Vikas WSP Limited has been under CIRP since February 2, 2022. During this period:

• The company's affairs, business, and assets are being managed by the Resolution Professional.
• The powers of the board of directors are vested in the Resolution Professional, Mr. Darshan Singh Anand.
• Mr. Anand was initially appointed as the Interim Resolution Professional by the NCLT, Chandigarh Bench.
• He was subsequently continued as the Resolution Professional by the second committee of creditors (CoC) in its meeting held on March 17, 2022.

Disclosure and Compliance

The company has made this disclosure in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (LODR). This information has been communicated to the BSE Limited, where Vikas WSP Limited's shares are listed under the Scrip Code 519307.

What's Next

Stakeholders and interested parties should mark their calendars for November 12, when the NCLT is expected to further hear the application for approval of the Resolution Plan. This hearing could potentially determine the future course of action for Vikas WSP Limited and its stakeholders.

As the company navigates through this critical phase of corporate insolvency resolution, all eyes will be on the outcome of the November hearing, which could have significant implications for the company's future operations and structure.

Vikas WSP Limited , a company currently undergoing Corporate Insolvency Resolution Process (CIRP), has submitted its Annual Secretarial Compliance Report for the financial year ended March 31, 2025, revealing several compliance challenges and operational difficulties.

Insolvency Proceedings and Management

The company has been under CIRP since February 2, 2022, with Resolution Professional Darshan Singh Anand managing operations. In August 2022, the Committee of Creditors approved a resolution plan by Arcbolt Space and Foods Private Limited with 100% votes, which is currently pending approval before the National Company Law Tribunal (NCLT).

Compliance Challenges

The report highlights several compliance issues faced by the company:

1. Delayed Financial Filings: The company experienced delays in submitting financial results for multiple quarters, including those ended June 30, 2024, September 30, 2024, December 31, 2024, and March 31, 2025.

2. Non-Installation of Structured Digital Database: Vikas WSP has not installed the Structured Digital Database (SDD) as required under SEBI (Prohibition of Insider Trading) Regulations, 2015, citing financial constraints due to the ongoing CIRP.

3. Directors' KYC Non-Compliance: None of the company's directors have filed their required KYC forms, resulting in disqualification under Section 164 of the Companies Act, 2013.

4. Late Filing of Annual Secretarial Compliance Report: The company filed its Annual Secretarial Compliance Report for the financial year 2023-24 on May 31, 2024, one day past the deadline.

Operational Difficulties

The Resolution Professional reported significant operational challenges:

1. Non-Cooperation from Ex-Management: The RP filed applications with NCLT seeking cooperation from the former management regarding Rs. 423.00 crore freehold land and other assets.

2. Departure of Key Personnel: The Company Secretary-cum-Compliance Officer left without authorization, leading to delays in compliance and the inability to hold the 36th Annual General Meeting for FY 2023-24.

Financial Penalties

BSE imposed penalties totaling Rs. 1,53,400.00 for various compliance delays, including late submission of financial results and the Annual Secretarial Compliance Report.

Future Outlook

The Resolution Professional has stated that all practicable efforts are being made to ensure necessary compliances to the extent possible. The company awaits NCLT's approval of the resolution plan, which could potentially lead to new management and improved compliance in the future.

As Vikas WSP Limited navigates through its insolvency process, addressing these compliance issues and operational challenges will be crucial for its potential turnaround and future stability.