IGC Industries Limited has announced the appointment of Mr. Manoj Kumar Jhawar as an Additional Executive Director, effective September 20, 2025. The decision, made by the company's Board of Directors, aims to bring valuable industry expertise to IGC Industries' leadership team.

Appointment Details

Mr. Jhawar's appointment is subject to shareholder approval at the next General Meeting. He will serve as an Additional Executive Director and will be liable to retire by rotation.

Expertise and Experience

Manoj Kumar Jhawar brings over 15 years of experience in the logistics industry to IGC Industries. His areas of expertise include:

• Commercial operations
• Market development
• Business strategies
• Supply chain management
• Procurement
• Distribution networks

Educational Background

Mr. Jhawar holds a Bachelor's degree in Commerce, providing him with a solid foundation in business principles.

Independence and Relationships

The company has confirmed that Mr. Jhawar is not related to any existing directors of IGC Industries Limited, ensuring an independent perspective in his new role.

Company Background

IGC Industries Limited, formerly known as IGC Foils Limited, is headquartered in Kolkata with a corporate office in Telangana. The company operates under the CIN: L01100WB1980PLC032950.

This strategic appointment underscores IGC Industries' commitment to strengthening its executive team with experienced professionals from the logistics sector. As the company moves forward, Mr. Jhawar's extensive industry knowledge is expected to contribute to IGC Industries' growth and operational strategies in the coming years.

IGC Industries Limited , a company listed on the Bombay Stock Exchange (BSE), announced on August 14, 2025, that its statutory auditors, ADV & Associates, have submitted their resignation. This unexpected development comes amidst significant financial concerns raised in the auditor's review report.

Auditor Resignation Details

ADV & Associates, appointed on September 29, 2022, were originally scheduled to serve until the conclusion of IGC Industries' 41st Annual General Meeting in 2027. However, their tenure has been cut short by this sudden resignation. Prior to their departure, the auditing firm had completed the audit report for the financial year ending March 31, 2025, and the limited review report for the quarter ending June 30, 2025.

Financial Concerns Highlighted

The resignation letter from ADV & Associates, which was attached to the company's disclosure, revealed several alarming issues:

1. Rights Issue Proceeds: Out of the ₹42.22 crores raised through a Rights Issue, advances of ₹20.72 crores were given to various suppliers without proper documentation or purchase orders.

2. Unexplained Payment: A substantial payment of ₹20.00 crores was made to CNX Corporation Limited without any supporting documents or evidence of services rendered.

3. Misuse of Funds: The utilization of the Rights Issue proceeds deviated significantly from the stated objectives in the Offer Letter filed with the Stock Exchange.

4. Potential Rule Violations: The company appears to have accepted deposits totaling ₹41.53 crores from various individuals, potentially contravening the Companies (Acceptance of Deposits) Rules, 2014.

5. Going Concern Issues: The auditors raised substantial doubts about the company's ability to continue as a going concern, citing continuous losses in all four quarters of the financial year 2024-25 and the previous financial year 2023-24.

Financial Performance

The unaudited financial results for the quarter ended June 30, 2025, paint a grim picture of the company's financial health:

Management Response

IGC Industries Limited stated that detailed reasons for the auditors' resignation are provided in the attached resignation letter. The company confirmed that there are no other material reasons beyond those disclosed. Notably, the auditors indicated that no concerns were raised prior to the resignation and that no information requests were denied by the management.

Market Implications

This development raises serious questions about IGC Industries Limited's financial management and corporate governance practices. Investors and regulatory bodies are likely to scrutinize the company's operations and financial statements more closely in the coming days.

The resignation of statutory auditors, especially when accompanied by such significant financial concerns, often leads to increased market volatility for the company's stock. Shareholders and potential investors are advised to exercise caution and seek professional advice before making any investment decisions related to IGC Industries Limited.

As the situation unfolds, it remains to be seen how the company will address these issues and what steps regulatory authorities might take in response to the auditors' findings.