Shree Rama Newsprint Limited has secured a favorable ruling in its appeal against an order passed by Collector Surat, with the Appellate Authority quashing the disputed order and remanding the matter for fresh consideration.

Appellate Authority Ruling

The Special Secretary (Disputes), Government of Gujarat, serving as the Appellate Authority, issued an order dated 06.02.2026 that was received by the company on 09.02.2026. The ruling quashed the impugned order dated 01.05.2025 passed by Collector Surat and ordered the matter to be remanded back to the Collector for reconsideration.

Background of the Dispute

The company had challenged the order dated 01.05.2025 passed by Collector Surat before the Hon'ble Secretary (Dispute) Revenue Department, Government of Gujarat. This appeal was filed in continuation of the company's earlier communications to the stock exchanges dated 11.11.2025, 16.07.2025, and 16.05.2025, indicating an ongoing legal matter.

Regulatory Compliance

Shree Rama Newsprint Limited has fulfilled its disclosure obligations under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company provided comprehensive details as required under sub-para 20 of Para A of Part A of Schedule III of the SEBI Listing Regulations.

Impact Assessment

According to the regulatory filing, the company has indicated that there are no specific violations or contraventions committed or alleged to be committed in this matter. Additionally, the company has stated that there is no quantifiable impact on its financial, operational, or other activities in monetary terms at this stage.

The favorable appellate ruling represents a positive development for the newsprint manufacturer, as it successfully challenged the Collector's original order and secured a remand for fresh consideration of the matter.

Shree Rama Newsprint Limited has announced its quarterly financial results for Q3FY26 ended December 31, 2025, reporting significant losses alongside key corporate governance developments. The company also appointed a new independent director while continuing its asset disposal strategy.

Q3FY26 Financial Performance

The company's continuing operations showed challenging performance metrics for the quarter ended December 31, 2025:

Nine Months Performance Overview

For the nine months ended December 31, 2025, the company's financial position reflects continued operational challenges:

Board Appointments and Corporate Governance

The Board of Directors appointed Mr. Harshadbhai Baldevbhaji Patel (DIN: 01823595) as Additional Director in the category of Non-Executive Independent Director effective February 7, 2026. The appointment details are:

Mr. Patel brings extensive experience in accounting and banking services, having worked in cooperative banking with strong expertise in financial operations and compliance.

Paper Division Asset Disposal Strategy

The company continues its systematic disposal of paper division assets, which were classified as discontinued operations. The paper division assets are being disposed on a piecemeal basis for better value realization.

Going Concern and Material Uncertainty

The auditors highlighted material uncertainty regarding the company's ability to continue as a going concern. The company's current liabilities exceed current assets by Rs.11,675.13 lakhs, with total comprehensive losses of Rs.3,065.01 lakhs for nine months. Management remains committed to disposing non-core assets and exploring funding options to strengthen working capital position.