KRBL Limited , a prominent player in the Indian rice industry, has taken significant steps towards enhancing its corporate governance practices. The company has announced two major appointments: Mr. Desh Raj Dogra as an Independent Non-Executive Director and AZB & Partners as an independent law firm for a review.

Appointment of Desh Raj Dogra

KRBL Limited has appointed Mr. Desh Raj Dogra as an Independent Non-Executive Director, effective July 04, for a five-year term. This appointment was approved by shareholders at the 32nd Annual General Meeting held on September 24.

Mr. Dogra brings over 40 years of financial sector experience to KRBL. He retired as Managing Director and CEO of CARE Ratings Limited in 2016. During his tenure at CARE, he led the company's public listing in December 2012 and spearheaded various strategic initiatives, including acquisitions and international expansions.

Holding degrees in Agriculture from Himachal Pradesh University and an MBA from the University of Delhi, Mr. Dogra also serves as an Independent Director on multiple corporate boards, including IDFC First Bank and L&T Finance.

Appointment of AZB & Partners

In addition to Mr. Dogra's appointment, KRBL Limited has engaged AZB & Partners, a renowned law firm, to conduct an independent review of certain observations and submit a report to the relevant Board Committee.

Appointment Details

According to a disclosure made under SEBI listing regulations, this appointment follows an earlier intimation dated September 15, indicating that the company had been considering this move for some time.

Purpose of the Review

The primary objective of this appointment is to undertake a thorough review of unspecified observations. While the exact nature of these observations has not been disclosed, the engagement of an independent law firm suggests that KRBL Limited is committed to addressing potential concerns or issues in a transparent and professional manner.

Regulatory Compliance

The company's action aligns with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates prompt disclosure of material events or information to the stock exchanges, ensuring transparency for investors and stakeholders.

Company's Statement

Piyush Asija, Company Secretary and Compliance Officer of KRBL Limited, stated in the official communication:

"We have appointed M/s. AZB & Partners as the independent law firm to undertake a thorough review of the observations and submit their report to the relevant Board Committee."

Implications for Stakeholders

These moves by KRBL Limited demonstrate the company's commitment to maintaining high standards of corporate governance. By appointing an experienced independent director and engaging a reputable law firm, KRBL aims to ensure unbiased oversight and a comprehensive review of the matters at hand.

Investors and stakeholders will likely view these steps positively, as they reflect the company's proactive approach to addressing potential issues and maintaining transparency in its operations.

As the review process unfolds and Mr. Dogra assumes his new role, market participants will be keenly awaiting the outcomes and any subsequent actions that KRBL Limited may take based on these developments.

The company has not provided a timeline for the completion of the review or the submission of the report. Stakeholders are advised to stay tuned for further updates from KRBL Limited regarding these matters.

KRBL Limited , a prominent rice exporter, recently held an investor conference call to address concerns raised following the resignation of Independent Director Anil Kumar Chaudhary. The company's management provided clarifications on several issues, including board processes, a significant export receivables write-off, and Corporate Social Responsibility (CSR) fund utilization.

Director Resignation and Governance Review

Anil Kumar Chaudhary, who joined the board in August 2024, stepped down on September 8, 2025, citing concerns about board processes in his resignation letter. In response, KRBL's management stated that while Chaudhary's observations focused on board processes, no financial or legal compliance gaps were highlighted.

To address these concerns, the company has taken proactive steps:

• The board approved the appointment of an independent third-party firm to conduct a thorough review within 30 days.
• Separate meetings of Independent Directors and the Board were convened to discuss the observations.
• Mr. Dogra, an existing Independent Director, has joined the Audit Committee.

Anil Kumar Mittal, Chairman and Managing Director of KRBL, emphasized that the company has the support of the other three Independent Directors and plans to replace the resigned director within the statutory three-month timeframe.

Export Receivables Write-off

KRBL disclosed a significant write-off of INR 58.00 crore related to export receivables from a 2023 shipment to an African customer. Key points regarding this transaction include:

• The original contract, executed on February 7, 2023, was for approximately INR 79.00 crore.
• Despite receiving partial payments, including INR 17.00 crore in January 2023 and about INR 6.00 crore in FY 2024-25, a substantial amount remained unpaid.
• The company recorded expected credit loss provisions under Ind AS 109, totaling around INR 18.00 crore in FY24.
• With bank authorization, KRBL wrote off approximately INR 58.00 crore in FY25.

The management assured that this write-off was disclosed in the FY 2024-25 annual report and was presented to the audit committee, board, and statutory auditors.

CSR Fund Utilization

Addressing concerns about Corporate Social Responsibility (CSR) funds, KRBL reported:

• Over the past three years, including the current year to date, the company has spent approximately INR 40.00 crore on CSR activities.
• An unspent balance of INR 37.00 crore exists, including the current year's obligation.
• The company follows due process in CSR spending, with an annual operating plan presented and approved.
• Proper due diligence is undertaken before appointing implementing agencies or initiating projects.

Other Governance Matters

The management also addressed other governance-related issues:

• A proposed change in the object clause of the memorandum of association, related to land monetization and real estate projects, was explained as an enabling resolution to unlock shareholder value.
• The company clarified its process for determining variable pay and annual increments for persons holding office or place of profit, ensuring compliance with shareholder-approved limits.

As KRBL navigates these governance challenges, the company remains committed to transparency and adherence to regulatory standards. The upcoming independent review is expected to provide further clarity on the raised concerns and potentially lead to improvements in corporate governance practices.