Family Care Hospitals Limited (Scrip Code: 516110) has announced the resignation of its statutory auditors, S.M Gupta & Co, Chartered Accountants, effective August 12, 2025. The resignation comes amidst a disagreement over professional fees, as disclosed in a regulatory filing to the BSE Limited.

Reasons for Resignation

S.M Gupta & Co, in their resignation letter, cited their inability to continue the audit engagement due to a proposed reduction in professional fees by Family Care Hospitals. The auditing firm stated that the revised fee structure was not commensurate with:

• The scope of work required
• The level of professional diligence necessary
• The resources needed to conduct the audit in compliance with applicable laws, regulations, and standards

Timeline and Impact

• The auditors had been serving for the financial year ending March 31, 2026
• The resignation takes effect from August 12, 2025
• Family Care Hospitals informed the BSE Limited of this change on August 13, 2025, in compliance with Regulation 30 of SEBI's Listing Obligations and Disclosure Requirements

Company's Response

Family Care Hospitals has acknowledged the resignation and has requested the clearance of all outstanding dues to the auditing firm. The company is now required to appoint new statutory auditors to ensure compliance with regulatory requirements.

Regulatory Compliance

The resignation and its disclosure follow the guidelines set by:

• Securities and Exchange Board of India (SEBI) circular no. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123, dated July 13, 2023
• SEBI circular no. CIR/CFD/CMD1/114/2019 dated October 18, 2019

These regulations ensure transparency in the resignation process of statutory auditors for listed companies.

The departure of statutory auditors over fee disputes highlights the challenges in maintaining a balance between cost management and ensuring high-quality audits in the healthcare sector. Stakeholders will be watching closely to see how Family Care Hospitals addresses this situation and appoints new auditors to maintain financial transparency and regulatory compliance.

Family Care Hospitals Limited (Scrip Code: 516110) has announced significant corporate developments following a board meeting held on August 5, 2025. The company's board of directors convened to address key financial and organizational matters, demonstrating its commitment to transparency and corporate governance.

Financial Results Approval

The board approved the unaudited standalone financial results for the first quarter ended June 30, 2025. While specific financial figures were not disclosed in the available information, the approval of these results marks an important milestone in the company's fiscal calendar.

Board Committee Reconstitution

In a move to strengthen its corporate structure, Family Care Hospitals Limited has reconstituted all of its board committees, effective August 5, 2025. The reconstitution encompasses four key committees:

1. Audit Committee
2. Nomination and Remuneration Committee
3. Stakeholders Relationship Committee
4. Risk Management Committee

New Committee Composition

All four committees will now be chaired by Mr. Nitesh Singh, a Non-executive Independent Director. The other members appointed to these committees are:

• Ms. Lucy Massey: Non-executive Non-Independent Director
• Mr. Dhananjay Parikh: Non-executive Independent Director

This uniform composition across all committees aims to ensure consistency and efficiency in the company's governance structure.

Meeting Details

The board meeting, which addressed these important matters, commenced at 4:15 PM and concluded at 5:17 PM on August 5, 2025.

Regulatory Compliance

In compliance with regulatory requirements, Family Care Hospitals Limited has duly informed the BSE Limited about these developments. The company has submitted the necessary documentation, including:

• Unaudited Standalone Financial Results for Q1 FY2025-26
• Limited Review Report from the Statutory Auditor
• Details of the reconstituted board committees

Integrated Filing

The company has also submitted an Integrated Filing (Financial) for the quarter ended June 30, 2025, in accordance with SEBI regulations and recent circulars. This filing includes various financial disclosures and statements on loans and debt securities.

Family Care Hospitals Limited's proactive approach in restructuring its committees and promptly reporting its financial results underscores its commitment to maintaining high standards of corporate governance and transparency.