Educomp Solutions Limited has notified BSE and NSE about its failure to submit financial results for the quarter ended December 31, 2025, within the regulatory deadline prescribed under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's inability to meet compliance requirements stems from ongoing insolvency proceedings and operational constraints that have persisted since 2017.

Corporate Insolvency Resolution Process Status

The company has been operating under Corporate Insolvency Resolution Process (CIRP) since May 30, 2017, when the National Company Law Tribunal (NCLT) initiated proceedings under the Insolvency and Bankruptcy Code, 2016. The management and board powers have been suspended and transferred to Resolution Professionals as mandated by the IBC provisions.

After six years of proceedings across NCLT, NCLAT, and Supreme Court, a resolution plan was approved on October 9, 2023. However, the Successful Resolution Applicant (SRA) failed to implement the approved plan and subsequently filed an appeal against the NCLT order. The NCLAT dismissed this appeal, and contempt proceedings against the SRA are currently underway.

Operational Challenges Affecting Financial Reporting

The company has identified several critical factors preventing timely submission of quarterly results. Outstanding payments to the statutory auditor have resulted in delayed audit support, creating a cascading effect on financial statement preparation.

Key Operational Issues:

• Auditor Payment Delays: Outstanding dues to statutory auditors affecting timely audit completion
• Sequential Audit Dependencies: Pending audits for quarters ended June 30, 2025, and September 30, 2025
• CFO Departure: Chief Financial Officer has left the organization with recruitment challenges
• Resource Constraints: Operating with skeleton staff and no financial support from creditors

Statutory Auditor Appointment Complications

The company faces additional legal complexities regarding auditor appointments. The five-year term of the current statutory auditor was scheduled to end at the 31st Annual General Meeting, which should have been held by September 30, 2025, but has not yet taken place.

The Resolution Professional, in consultation with lenders, has recommended appointing a new statutory auditor for the next five years, subject to shareholder approval. However, uncertainty remains about whether the new auditor can conduct audits and limited reviews before formal shareholder approval.

Regulatory Compliance and Future Outlook

Despite these challenges, the company has assured exchanges that efforts are underway to finalize pending financial statements as early as possible. The caretaker Resolution Professional continues to manage operations under NCLT supervision while awaiting further orders regarding rebidding or liquidation proceedings.

The company's prolonged insolvency status since May 2017 has created significant operational constraints, making it difficult to attract qualified personnel and maintain regular business operations. The lack of immediate visibility regarding company revival has compounded recruitment challenges, particularly for senior positions like the CFO role.

Educomp Solutions Limited has announced significant auditor appointments as part of its regulatory compliance under SEBI listing regulations. The company, currently under resolution proceedings, has secured new audit partnerships to ensure continued statutory compliance.

Statutory Auditor Appointment

The Resolution Professional, with concurrence from lenders, has approved the appointment of GDR Associates LLP as the company's statutory auditors. The appointment details are as follows:

GDR Associates LLP, established in 1997 as a partnership firm before converting to LLP status, brings substantial experience to the role. The firm operates with 17 partners, of which 4 partners specialize specifically in statutory audit services, providing 24 years of accumulated expertise in the field.

Secretarial Auditor Recommendation

In addition to the statutory auditor appointment, the Resolution Professional has recommended Vimal Chadha Associates for the secretarial auditor position. This appointment covers a five-year consecutive period commencing from financial year 2025-26, also subject to shareholder approval at the upcoming Annual General Meeting.

Vimal Chadha Associates operates as a peer-reviewed proprietorship firm under Company Secretary CP No. 18669, ensuring compliance with secretarial audit requirements under corporate governance norms.

Regulatory Compliance Framework

The appointments have been made in adherence to multiple regulatory frameworks:

• SEBI Regulations: Compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
• Companies Act: Adherence to applicable provisions of Companies Act, 2013 and associated rules
• SEBI Circular: Following SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024

The appointments address vacancies created by the expiry of previous auditor terms, ensuring continuity in the company's audit and compliance functions. Both appointments require formal shareholder approval at the company's ensuing Annual General Meeting, with remuneration to be determined by the Resolution Professional in consultation with the respective auditors.

These appointments reflect Educomp Solutions' commitment to maintaining governance standards while navigating its resolution process under the guidance of Resolution Professional Mahender Kumar Khandelwal.