To,
The Members,
Alps Industries Limited
Your Directors have pleasure in presenting the 53rd Annual Report, together with the Audited Statements of Account of the Company for the financial year ended on 31st March, 2025 in terms of the Companies Act, 2013 and rules & regulations made there under & Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended from time to time. The Financial Statements have been prepared according to the relevant provisions of Companies (Indian Accounting Standards) Rules, 2015.
The Financial Performance of the Company, for the year ended March 31, 2025 is summarized below:
FINANCIAL RESULTS
(Rs. in Lacs)
Particulars |
Year Ended March 31, 2025 | Year Ended March 31, 2024 |
Total Income |
60.85 | 567.35 |
Operating Earnings/Losses before Financial Expenses, Depreciation & Amortization and Tax |
(61.94) | 268.03 |
Finance Cost |
6337.10 | 5891.88 |
Depreciation |
- | - |
Profit/(Loss) Before Tax |
(6399.04) | (5623.85) |
Tax Expenses |
- | |
Profit/(Loss) After Tax |
(6399.04) | (5623.85) |
Exceptional Items |
- | |
Surplus / (Deficit) of last year Add: |
(6399.04) | (5623.85) |
Surplus available for appropriation |
(93,275.01) | (86875.96) |
Appropriations |
- | |
Surplus/ (Deficit) carried to Balance Sheet |
(93,275.01) | (86875.96) |
Surplus available for appropriation |
- | - |
OPERATING SCENARIO
Your company is struggling to maintain the Revenue due to almost zero operative assets of the company which has hampered the entire business operations of the company very adversely in the current fiscal year. During the period under review your company has recorded a negative EBITDA of Rs. 61.94 Lakhs in comparison to negative EBITDA of Rs. 268.03 Lakhs in previous year. The PAT for the period is also negative at 6399.04 Lakhs in comparison to the previous year Negative PAT of Rs.5623.85 Lakhs.
FUTURE OUTLOOK - TECHNICAL FRONT
Your company tried to reduce the cost of operations during the year but could not maintain the Revenue due to zero operating assets during last year. However, company is trying to continue its business on the other model i.e. trading etc., even when the company is under CIRP of IBC.
FINANCIAL STATUS OF THE COMPANY
During earlier year, the lenders having more than 83% of the secured debts of the Company revoked their consent to the DRS/settlement scheme circulated by erstwhile Honble BIFR, interalia containing the restructuring of the debts of the Company, which was partly implemented. The Company objected to the said revocation of consent being unjustified and beyond terms of the scheme and further submitted an offer for settlement. M/s Edelweiss Assets Reconstruction Company Ltd., (presently holding more than 99% of the total secured debt of the Company) (EARC), had filed an OA before the DRT and further under the provisions of SARFAESI auctioned secured assets and have adjusted part of their dues with the realization made thereof. The Company was in discussion with EARC for settlement of its balance dues and Management of the Company with an expectation to get the revised settlement/restructuring proposal approved from lenders and accordingly, the Company would be meeting its revised financial obligations however in the meantime EARC has filed an application U/s 7 of the Insolvency and Bankruptcy Code (IBC), 2016 before Honble National Company Law Tribunal, Allahabad Bench (NCLT). Vide its order dated 13.9.2024, Honble NCLTs has admitted the above petition to initiate Insolvency proceeding, declared Moratorium against company and appointed Mr. Hemant Sharma having IBBI Regn No. IBBI/IPA-002/IP- N00015/2016-17/10019 as Interim Resolution Professional (IRP) in the matter. EARC has filed their claim for Rs. 6,11,939.59 lakh as on 13.9.2024 against the company. Further the Committee of Creditors (CoC) in its meeting passed the resolution for appointment of Mr. Hemant Sharma to continue to act as Resolution Professional in the matter and thereupon he took-over the management and operations of the Corporate Debtor in terms of Section 23 of the Code. Further, certain resolution plans for company have been received by the RP and presented before CoC for their approval and with the approval of CoC , the selected plan has been filed with the Honble NCLT for its approval. The future prospects of the company, as such, would be determined on the completion of CIRP. As above the Company, at present, is under the Corporate Insolvency Resolution Process ("CIRP") in terms of provisions of Insolvency & Bankruptcy Code, 2016 ("IBC/the Code").
As per the Code it is required that the Company be managed as a going concern during the CIRP. Also the Board of Directors (Power Suspended) of the company have recommended to the RP to continue with the maintenance of the status of company as "Going Concern" in view of above and its expectation to get the revised settlement/restructuring proposal approved from lenders and accordingly, the Company would be meeting its revised financial obligations.
MEASURES TO REDUCE/CONTROL COST
During the year, your company has continuously tried to achieve the reduction in operating cost.
GOVERNMENT INITIATIVES- TEXTILE SECTOR
Indias textiles sector is one of the oldest industries in the Indian economy, dating back to several centuries. The industry is extremely varied, with hand-spun and hand-woven textiles sectors at one end of the spectrum, with the capital-intensive sophisticated mills sector at the other end. The fundamental strength of the textile industry in India is its strong production base of a wide range of fibre/yarns from natural fibres like cotton, jute, silk, and wool, to synthetic/man-made fibres like polyester, viscose, nylon and acrylic. The increasing preference for affordable, trendy fashion clothing that mimics high-fashion designs is expected to be the primary revenue driver. In order to attract private equity and employee more people, the government introduced various schemes such as the Scheme for Integrated Textile Parks (SITP), Technology Upgradation Fund Scheme (TUFS) and Mega Integrated Textile Region and Apparel (MITRA) Park scheme. The market for Indian textiles and apparel is projected to grow at a 10% CAGR to reach US$ 350 billion by 2030. Moreover, India is the worlds 3rd largest exporter of Textiles and Apparel. India ranks among the top five global exporters in several textile categories, with exports expected to reach US$100 billion. The textiles and apparel industry contributes 2.3% to the countrys GDP, 13% to industrial production and 12% to exports. The textile industry in India is predicted to double its contribution to the GDP, rising from 2.3% to approximately 5% by the end of this decade. Textile manufacturing in India has been steadily recovering amid the pandemic. The market for Indian textiles and apparel is projected to grow at a 10% CAGR to reach US$ 350 billion by 2030. Moreover, India is the worlds 3rd largest exporter of Textiles and Apparel. India ranks among the top five global exporters in several textile categories, with exports expected to reach US$100 billion.
The textiles and apparel industry contributes 2.3% to the countrys GDP, 13% to industrial production and 12% to exports. The textile industry in India is predicted to double its contribution to the GDP, rising from 2.3% to approximately 5% by the end of this decade.
Textile manufacturing in India has been steadily recovering amid the pandemic. Recognizing the importance of MSMEs in the textile sector, the budget introduces initiatives such as enhanced credit access, export promotion measures and the creation of the Bharat Trade Net. This digital platform will streamline trade documentation, facilitate smoother global integration and ease market access for small and medium textile enterprises. he Union Budget is not just a financial plan but a visionary blueprint for the future of Indias textile industry. By addressing critical areas such as cotton productivity, technical textiles, export promotion and handicrafts, it aims to create a more sustainable, innovative and globally competitive sector.
DIVIDEND
Due to the operational losses suffered by the company, your directors do not propose any dividend for the current financial year.
TRANSFER TO THE INVESTOR EDUCATION AND PROTECTION FUND
In terms of Section 124 of the Companies Act, 2013, there was no unclaimed dividend, relating to the financial year 2023-2024, which was due for remittance during the financial year 20242025. Hence no amount is due to be transferred to the Investor Education and Protection Fund established by the Central Government. Further in terms of Section 124 (6) of Companies Act, 2013 and the Rule 6 of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 there under and MCA Notification dated August 14, 2019, The unclaimed equity shares of the company, represented by the unclaimed/unpaid and lying in the Alps Industries Ltd. -Unclaimed Share Demat Physical Account of the company have been transferred to the Investor Education and Protection Fund Authority (IEPF) Authority. If any investors wish to claim their so transferred shares and unclaimed dividend, they have to comply provisions of section 124(6) of Companies Act, 2013 and the procedures specified under Rule 7 of the IEPF (Accounting, Audit, Transfer and Refund) Rules, 2016. The details of shares transferred to IEPF account can be visited at website of the company i.e. www.alpsindustries.com.
STATUS & CHANGES OF NON-INDEPENDENT DIRECTORS/ BOARD OF DIRECTORS /KMPS
During the period under review, there are no changes in the status of any Non-Independent Directors/ Board of Directors/KMPS except the powers of the Board have been suspended due the Order dated September 13 2024 of Honble NCLT as the company is under CIRP and all power are vested in the Resolution professional till further order.
RISK MANAGEMENT PLAN
Pursuant to section 134 (3) (n) of the Companies Act, 2013 & Regulation 17(9) of the SEBI (Listing Obligations and Disclosure Requirements) Rules 2015, the Company has framed an effective Risk Management policy in order to analyze, control or mitigate risk. The board periodically reviews the risks and suggests steps to be taken to control the same. The same is reviewed quarterly by senior management and also by the Audit Committee of the Board.
In compliance of Regulation 21 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 related to corporate governance, the Company is not mandatorily required to constitute the Risk Management Committee but for its own betterment has formulated the Risk Management Plan, as up dated from time to time. The Company continues to recognize that the Enterprise Risk Management is an integral part of good management practice. In terms of Policy, the Company is committed for managing the risk in a manner appropriate to achieve its strategic objectives. The Company will keep investors informed of material changes to the Companys risk profile through its periodic reporting obligations and ad hoc investor presentations. Accordingly the Company has framed procedures to inform members of Board of Directors about risk assessment and minimization procedures. The detailed policy can be viewed at the website of the Company i.e., www.alpsindustries.com.
POLICY FOR DETERMINATION OF "MATERIALITY"
In terms of the provisions of Regulation 30 Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Company has framed and up dated a policy for determination of "Materiality" and the Board of Directors has appointed the Company Secretary & Compliance Officer as the "Materiality Officer" to take care of the relevant compliances. The detailed policy can be viewed at the website of the company i.e., www.alpsindustries.com.
POLICY FOR PRESERVATION OF DOCUMENTS
In terms of the provisions of Regulation 9 Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 the company has framed a policy for preservation of documents. The detailed policy can be viewed at the website of the company
i.e. www.alpsindustries.com.
WHISTLE BLOWER POLICY / VIGIL MECHANISM
The Company has provided for adequate safeguards to deal with instances of fraud and mismanagement and to report concerns about unethical behavior or any violation of the Companys Code of Conduct. During the year under review, there were no complaints received under this mechanism. In terms of section 177 of the Companies Act, 2013 and Regulation 22 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company has established a Vigil Mechanism policy for the Directors and Employees to report genuine concerns in such manner as prescribed under Rule 7 of Companies (Meetings of Board and its Powers) Rules, 2014 and such a vigil mechanism has provided for adequate safeguards against victimization of persons who use such mechanism and made provisions for direct access to the chairperson of the Audit Committee, in appropriate or exceptional cases, instances of unethical behavior, actual or suspected, fraud or violation of the companys code of conduct etc. The detailed policy can be viewed at the website of the company i.e., www.alpsindustries.com.
NOMINATION & REMUNERATION, EVALUATION, BOARD DIVERSITY POLICY & FAMILIARIZATION PROGRAMME AND CRITERIA FOR MAKING PAYMENT FOR INDEPENDENT DIRECTORS
As mandated by the statutory provisions contained under section 178 of the Companies Act, 2013 and Regulation 19 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Nomination & Remuneration Committee of the Board has already formulated which is in force as on date. This policy contains guidelines on nomination and remuneration of Directors, Key Managerial Personnel (KMP) and Senior Management Personnel of the Company and Evaluation and Board Diversity policy for directors. This policy may be treated as a benchmark for determining the qualifications, positive attributes and independence of a Director, criteria for evaluation of Independent Directors and the Board, matters relating to the remuneration, appointment, removal and evaluation of performance of the Directors, Key Managerial Personnel and Senior Management Personnel of the Company.
To provide insights into the Company to enable the Independent Directors to understand the Companys business in depth that would facilitate their active participation in managing the Company, familiarization Program have been formulated and introduced by the Company to simplify the understanding of various responsibilities and rights of the Independent Directors during the year under review. The SEBI vide Circular No. SEBI/HO/CFD/CMD/CIR/P/2017/004 dated January 5, 2017 has issued Guidance Note on Board Evaluation for all listed entities. It has been reviewed by the Board of Directors and noted the criteria for evaluation of Board as a Whole, Non Independent Directors and Independent Directors of the Company. Further in terms of SEBI circular SEBI/HO/CFD/CMD/CIR/P/2018/79 dated May 10, 2018 the Disclosures on Board Evaluation additional requirement like Observations of board evaluation carried out for the year, Previous years observations and actions taken, and Proposed actions based on current year observations have been made part of policy. The board of directors of the Company in their meeting held on 14, August 2024 has been reviewed along with the revised policy on Board Evaluation and the same has been placed on the website of the company after adoption by Board of directors in the afore said meeting. The detailed updated policy and the Familiarization Program imparted to Independent Directors can be viewed at the website of the company i.e. www.alpsindustries.com.
In terms of Regulation 34 & 46 of and schedule V the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the criteria for making payment to the Non Executive Directors is being complied and is available at Company website www.alpsindustries.com.
CHANGE IN THE TERMS OF CONVERSION OF CUMULATIVE REDEEMABLE PREFERENCE SHARES.
The Board of Directors at their meeting held on August 14, 2024 recommended and further approved at the Annual General meeting held on September 30 2024 for extension of terms from 11th to 16th years to 19th to 20th years from the Original Cut off date i.e. January 31 2009 for 24,85,84,042 Cumulative Redeemable Preference Shares ("CRPS") of face value and issue price of Rs. 10 each, aggregating to Rs. 2,48,58,40,420 issued in terms of erstwhile CDR dated 27.10.2009 and further Re-work of CDR dated May 4 2011 The necessary Corporate action have been approved by the NSDL vide letter dated May 7 2025.
PROCEEDING PENDING UNDER THE INSOLVENCY AND BANKRUPTCY CODE, 2016
In terms of the requirement of Companies (Accounts) Amendment Rules 2016 dated March 24 2021 it is to be mentioned that M/s Edelweiss Assets Reconstruction Company Ltd. has filed an application U/s 7 of the Insolvency and Bankruptcy Code (IBC), 2016 before Honble National Company Law Tribunal, Allahabad Bench (NCLT. Honble National Company Law Tribunal, Allahabad Bench (NCLT). Vide its order dated 13.9.2024, Honble NCLTs has admitted the above petition to initiate Insolvency proceeding, declared Moratorium against company and appointed Mr. Hemant Sharma having IBBI Regn No. IBBI/IPA-002/IP- N00015/2016-17/10019 as Interim Resolution Professional (IRP) in the matter. EARChas filed their claim for Rs. 6,11,939.59 lakh as on 13.9.2024 against the company. The Company, at present, is under the Corporate Insolvency Resolution Process ("CIRP") in terms of provisions of Insolvency & Bankruptcy Code, 2016 ("IBC/the Code"). Further, certain resolution plans for company have been received by the RP and with the approval of CoC, the selected plan have been filed with the Honble NCLT for its approval. The future prospects of the company, as such, would be determined on the completion of CIRP.
RELATIONSHIP WITH INVESTORS
To have the participation by all the valued investors in the voting pattern for any proposal and in terms of the compliance of the Section 108 of the Companies Act, 2013 and Companies (Management and Administration) Rules, 2014 made there under and in terms of Regulation 44(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company has made arrangements for e-voting facility through which any investor can participate in the AGMs through e-voting and need not struggle to attend the meetings in person.
In view of the massive outbreak of the COVID-19 pandemic since previous years, pursuant to the Circular No. 14/2020 dated April 08, 2020, 17/2020 dated April 13, 2020, 18/2020 dated 21.4.2020, 20/2020 dated May 05, 2020 and 22/2020 dated 15.6.2020 and Circular No.
02/2021 dated January 13, 2021 and General circular No. 02/2022 dated May 05, 2022 and further Circular No. 10/2022 dated 28.12.2022 and Circular No. 09/2023 dated 25.09.2023 issued by Ministry of Corporate Affairs and Rule 20(4)(v) of the Companies (Management and Administration) Rules 2014, due to massive outbreak of the COVID-19 pandemic since previous years to maintain the social distancing, issued by the Ministry of Corporate Affairs, physical attendance of the Members to the forthcoming AGM venue is not required. Hence, Members have to attend and participate in the ensuing AGM though VC/OAVM.
Further in terms of Regulation 20 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Section 178 of the Companies Act, 2013 and Companies (Meetings of Board and its Powers) Rules, 2014 made thereunder, the Company has framed Stakeholder Relationship Committee which is fully committed and accountable to the valued investors, who have reposed the confidence in the company by investing their hard earned
money in the company and supported the management in such a crucial time.
The relationship with the investors continues to be cordial. Your companys management is fully aware and dedicated for survival of the company and committed to take all efforts to resolve the investors grievances received during the year to the satisfaction of the investors within a reasonable time. M/s Alankit Assignments Limited, the R & T Agent of the company, continued to extend their positive contribution to resolve the Investors grievances efficiently and effectively, whenever they arose. By contribution from all concerned, the investor grievances have been resolved to the fullest satisfaction of investors. We sincerely place on record, the appreciation for our valued investors, who have contributed and reposed the confidence in the company at this difficult time. The management not only believes in legal compliance related to the investors, but also morally protects their interest, and treats them as part of Alps Group. In its endeavor to improve investor services, your Company has created an investor section, and designated exclusive E-Mail ID for the purpose of registering complaints by investors and necessary follow up action by the company / compliance officer in compliance with Regulation 46 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The e-mail ID is: investorsgreviences@alpsindustries.com.
HUMAN RESOURCES - CONSOLIDATION OF MANPOWER
With unparallel support of the management as well as employees, the Company sailed through the tough time and trying to stay it identity. In-line with the national policy of gender equality and policy to restrict the sexual harassment, there has not been any case of sexual harassment reported. The companys concerns for welfare of its workforce continued during the year and accordingly Group pension/Accident Insurance policy/ESI policies were continued further as in the past. As was anticipated business operations as well as manpower have been drastically curtailed. It will be ensured that there is no Industrial dispute due to such scenario. During the year, with consistent review and efforts for optimization of available manpower resources, no. of employees was 02 as compare to 03 last year, to achieve the cost reduction and optimum level matching with the present requirement of the company. In view of non-existence of any operating assets during the year, the Company has reduced its employees strength drastically.
The information in accordance with the provisions of Section 197 of the Companies Act, 2013 and rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, read the Companies (Particulars of Employees) Rules, 1975, duly amended by the Companies (Particulars of Employees) Rules, 1999 and further amended vide G.S.R. No. 289(E) dated March, 31, 2011, is not applicable to the company as none of the employee is drawing remuneration more than the limits prescribed/specified under the said Rules during the financial year 2024-25.
RE-APPOINTMENT OF NON-INDEPENDENT DIRECTORS BY ROTATION AND AS WHOLE TIME DIRECTOR
In terms of the provisions of Section 152 of the Companies Act, 2013 and Companies (Appointment and Qualification of Directors) Rules, 2014 & Article No. 106, 107 & 108 of the Articles of Association of the Company, Mr. Sandeep Agarwal, Managing Director (DIN: 00139439) Non-Independent and Executive Promoter Director Designated as Managing Director, , recommended by the Nomination & Remuneration Committee and by the Board of Directors at their meeting held on August 14, 2025 for re-appointment, who retires by rotation and eligible for re appointment and offer himself for reappointment, at the ensuing Annual General Meeting. The disclosures as required under the provisions of Companies Act 2013 Regulation 17 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 related to Corporate Governance Published elsewhere in the Annual Report.
NUMBER OF BOARD MEETINGS
Minimum Four pre scheduled Board meetings are held every year. In case of any exigency/emergency, resolutions are passed by circulation. During the Financial Year 2024-25 the Board of Directors met four times on 09/05/2024, 14/08/2024, 14/11/2024 and 14/02/2025. The maximum gap between any two meetings was less than one hundred and twenty days, as stipulated under section 173 of Companies Act, 2013 and Regulation 17 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Secretarial Standards.
KEY MANAGERIAL PERSONNEL
During the period under review there are no changes in the Existing KMPs of the Company viz. Mr. Sandeep Agarwal, Managing Director, Mr. Jamil Ahemed Khan, CFO and Mr. Ajay Gupta Company Secretary & Asstt. Vice President -Legal. Hence they continued to be KMPs of the Company.
INTER CORPORATE LOANS, GUARANTEES AND INVESTMENTS
During the year under review company has not given any Inter Corporate Loans, Guarantees and Investments covered under section 186 of the Companies Act, 2013.
CORPORATE SOCIAL RESPONSIBILITY
Due to net loss suffered by the company during the financial year 2023-24, in terms of the provisions under Section 135 of the Companies Act, 2013, the company was not required to make expenditure on the CSR activities in the financial year 2024-25. Your company has CSR Committee which had been constituted by the board of the company. The CSR Committee have framed a Corporate Social Responsibility Policy (CSR Policy) duly approved by the Board at their meeting held on 12.8.2016, indicating the activities to be undertaken by the Company to fulfill the expectation of our Stakeholders and to continuously improve our social, environmental and economical performance while ensuring sustainability and operational success of the Company. The Company would also undertake other need based initiatives in compliance with Schedule VII to the Companies Act, 2013 and Companies (Corporate Social Responsibility Policy) Rules 20I4, if required.
Due to losses in previous financial year i.e. 2023-24, the requirements for annexing the Statement of Annual Report on CSR Activities in terms of the provisions of section 135 and Rule 8 of Companies (Corporate Social Responsibility Policy) Rules, 2014, are not applicable.
RELATED PARTY TRANSACTIONS
In terms of the Section 188 Companies Act 2013 and Companies (Meetings of Board and its Powers) Rules, 2014 and further in terms of Regulation 23 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 related to the Corporate Governance, the Company has formulated a Policy on Materiality of Related Party Transactions and the same is duly reviewed and updated from time to time as required and latest on August 14, 2025 at the meeting of Board of Directors.
During the year under review the Company has entered into related party transactions which are at the market prevailing prices and on arms length basis and are in its ordinary course of business and in terms of IND AS 24. Hence there are no conflicts of interest and in compliance with the Policy on Materiality of Related Party Transactions. It is also hereby confirmed that the limit of Rs. 1.00 crore of per transaction as approved at the meeting of Board of directors held on May 09, 2024 has been adhered to during the year. Further in terms of the Section
188 of the Companies Act 2013 and Companies (Meetings of Board and its Powers) Rules, 2014, during the year under review, company has not entered into related party transactions which are not at the prevailing market prices and on arms length basis. Hence there are no conflicts of interest of the company. Hence the requirement to annex the Form AOC-2 in the report does not arise.
DIRECTORS RESPONSIBILITY STATEMENT
In compliance with the provisions of Section 134(5) of the Companies Act 2013, the Board confirms and submits the Directors Responsibility Statement:
In the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;
The directors had selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit and loss of the company for that period;
The directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;
The directors had prepared the annual accounts on a going concern basis; and
The directors, in the case of a listed company, had laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively which means the policies and procedures adopted by the company for ensuring the orderly and efficient conduct of its business, including adherence to companys policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information;
The directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
PARTICULARS OF EMPLOYEES
In terms of the provisions of section 197 of Companies Act, 2013, read the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, as amended from time to time, none of the employee is drawing remuneration more than the limits prescribed/specified under the said rules during the financial year 2024-25. In terms of Rule 5(2) of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 as amended, the details of top ten employees drawing remuneration are enclosed as Annexure 1.
However Particulars of employees, under Section 197 of the Companies Act 2013 and applicable Rules made there under, having paid in excess of the remuneration to Whole Time Directors as on March 31, 2025 is not applicable as no remuneration has been paid to the any whole time directors of the company during the year.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
Information in accordance with the provisions of Section 134 (3) (m) of the Companies Act, 2013 read with Rule 8(3) of the Companies (Accounts) Rules, 2014 regarding conservation of energy, technology absorption and foreign exchange earnings and outgo has been given in the statement annexed as Annexure-II here to and forms part of this report.
STATUTORY AUDITORS
M/s A S GOEL & Co., Chartered Accountants, Ghaziabad (FRN NO. 017868C) as Statutory Auditors have submitted their resignations vide letter dated August 14 2025 due to pre occupation with other assignments, which have been accepted at the meeting of board of directors under the chairmanship of IRP, held on August 14 2025.
Further the board of director under the chairmanship of Mr. Hemant Sharma, M/S O. Aggarwal & Co Chartered Accountants FRN 005755N have appointed as Statutory Auditors of the company to full fill the casual vacancy arise due to resignation of the existing Statutory Auditors under Section 139 (8) of the Companies Act, 2013 and Companies (Audit and Auditors) Rules, 2014, initially for a period of maximum three months from the date of appointment or the approval from the members of the company at the General Meeting, whichever is earlier and the recommendation for their appointment as Statutory Auditors of the company for a further period of four years from the conclusion of 53th AGM till the conclusion of 57th AGM, is made to the members.
INTERNAL AUDITORS
In terms of Section 138 of the Companies Act, 2013 and Companies (Accounts) Rules, 2014, the Board of Directors at their meeting held on February 14, 2025 has approved the arrangement of in-house internal audit though the requisite qualified and experienced officials of the company to conduct the internal audit of the company for the financial year 2025-26.
DEPOSITS
During the year, your company has not raised any money by way of Deposits under the provisions of Companies Act, 2013 and Companies (Acceptance of Deposits) Rules, 2014.
INTEGRATED REPORT
The Company has provided Integrated Report, which encompasses both financial and nonfinancial information to enable the Members to take well-informed decisions and have a better understanding of the Companys long-term perspective.
CORPORATE GOVERNANCE DISCLOSURES
The Management Discussion and Analysis is given as an Annexure-III to this report and further the requirements of Regulation 27 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 on the Corporate Governance practices followed by the Company and the Statutory Auditors Certificate on Compliance of mandatory requirements as Annexure-IV along with the non-mandatory information under corporate governance is annexed as part II of Corporate Governance Report. It has always been the endeavor of your company to practice transparency in its management and disclose all requisite information to keep the public well informed of all material developments.
SECRETARIAL AUDIT REPORT
In terms of the Section 204 of the Companies Act, 2013 and Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Board of Directors at their meeting held on February 14 2025, company has appointed M/s. Umesh Kumar & Associates, Company Secretaries New Delhi to provide the Secretarial Audit Report for the Financial Year ended on March 31, 2025. In compliance of aforesaid requirement, they have provided the Secretarial Audit Report which has been annexed with Board report as Annexure V and the
Secretarial Audit Report of the Material Indian Subsidiary company i.e., Alps Energy Private Limited is being annexed in the annual report elsewhere.
APPOINTMENT OF SECRETARIAL AUDITORS
As per the requirement of Section 204 of the Companies Act, 2013 and Companies (Appointment & Remuneration of Managerial personal) Rules 2014 and in terms of ICSI guidelines pertaining thereto and as per SEBI circular no. SEBI/LAD-NRO/GN/2024/218 dated December 12 2024, company is required to appoint Peer reviewed Secretarial Auditors for the next five financial year i.e. 2025-26 to 2029-30 to conduct the Secretarial Audit. The Secretarial Audit Report has to be incorporated in the Board Report for the respective years. On the recommendation of Audit Committee and Board of directors the appointment of M/S. Reshi & Associates, FRN. JK536600 Company Secretaries, as Secretarial Auditors of the company, is recommended for approval of the Members of the company.
ABSTRACT OF THE ANNUAL RETURN
In terms of amended section 92 of the Companies Act 2013, and as amended vide Companies (Amendment) Act 2017 and further vide notification dated May 7, 2018, the extract of the Annual Report as on March 31, 2025 being attached with the Directors Report as Annexure VI.
STATUS OF HOLDINGS IN SUBSIDIARY COMPANIES
As per Section 2(87) of the Companies Act, 2013, as amended vide Notification No. S.O. 1833(E) dated 8th May, 2018, M/s. Alps Energy Pvt. Ltd. remains to be the Subsidiary company of the Alps Industries Ltd. by way of controlling the voting powers to the extent of 69.75% in its aggregate voting powers of the aforesaid company. In terms of Regulation 24 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Mr. Vikas Lamba (DIN: 09573001), Independent & Non-Executive Director of the Company continues to be representative director in the aforesaid "Material subsidiary" company i.e. M/s. Alps Energy Pvt. Ltd. and M/s Alps USA Inc, being "Material subsidiary" in terms of Regulation 24 of the amended SEBI Circular SEBI/LAD-NRO/GN/2015-16/013 dated 2.9.2015.
FINANCIAL STATEMENTS/ PERFORMANCE OF SUBSIDIARY COMPANIES
The Company continued to have two subsidiaries at the end of the financial year viz; M/s. Alps USA Inc. incorporated in USA and M/s. Alps Energy Pvt. Ltd incorporated in India. As required under Section 129(3) of the Companies Act, 2013 and applicable rules, the Financial Statements of these Subsidiary Companies are being annexed along with the separate statement containing the salient features of the financial statement of its subsidiaries and associate companies in terms of Rule 5 of Companies (Accounts) Rules, 2014.
Further in terms of the provisions of Section 134 (3) (m) of the Companies Act, 2013 read with Rule 8(1) of the Companies (Accounts) Rules, 2014 regarding the report on the highlights of performance of subsidiaries and their contribution to the overall performance of the company during the period under report in the prescribed Form AOC -1, is enclosed as Annexure-VII in the Annual report.
AUDITORS OBSERVATIONS
Observations in the Auditors Report dated June 27, 2025 are dealt within Notes to Accounts at appropriate places and being self-explanatory, need no further explanations with regard to Audit qualifications for the year under audit, as per the requirement under Regulation 33 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, and further amended by SEBI Notification No. SEBI/LAD-NRO/GN/2016-17/001 dated May 25,
2016 and as amended on May 9, 2018 and Circular No. CIR/CFD/CMD/56/2016 dated May 27, 2016 issued by the Securities and Exchange Board of India (SEBI), the Statement on Impact of Audit Qualifications signed by Mr. Hemant Sharma, RP under IBC, Managing Director/ Chairman of the Audit Committee and Auditors have been submitted with stock exchanges and forming the part of Annual Report.
GENERAL DISCLOSURES
No disclosure or reporting is required in respect of the following items as there were no transactions on these items during the year under review:
1. Details relating to deposits covered under Chapter V of the Companies Act 2013.
2. Issue of equity shares with differential rights as to dividend, voting or otherwise.
3. Issue of shares (including sweat equity shares) to employees of the Company under any scheme save and except ESOS referred to in this Report.
4. Neither the Managing Director nor the Whole-time Directors of the Company receive any remuneration or commission from any of its subsidiaries.
5. No significant or material orders were passed by the Regulators or Courts or Tribunals which impact the going concern status and Companys operations in future except the initiation of CIRP proceedings vide order dated 13.9.2024 issued by Honble NCLT, Allahabad on the initiation of application u/s 7 of the IBC by Secured Lender.
6. In terms of section 143 (12) of the Companies Act, 2013 it is hereby confirmed that there are no frauds reported by auditors other than those which are reportable to the Central Government.
During the year under review, there were no cases filed pursuant to the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.
ACKNOWLEDGMENT
Your directors take this opportunity to thank the Honble NCLT, Banks, Resolution Professional, ARCs, Reserve Bank of India, Central and State Governments Authorities, Regulatory Authorities, Securities Exchange Board of India, Stock Exchanges, NSDL, CDSL, Stakeholders, Customers and Vendors for their continued support and co-operation, and also thank them for the trust reposed in the Management. The Directors place on record their appreciation for the efficient and loyal services rendered by the Staff also acknowledge the help, support and guidance from the various Statutory Bodies, Government and SemiGovernment Organizations and thank for investors for their continues support during the year.
For and on behalf of the Board of |
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DATE: AUGUST 14, 2025 PLACE: GHAZIABAD |
Alps | Industries Limited |
P.K. Rajput |
(HEMANT SHARMA) | (SANDEEP AGARWAL) |
Non- executive and |
MANAGING DIRECTOR | |
Non- independent |
Insolvency Resolution Professional | |
DIN-00597342 |
Registration Number IBBI/IPA- 002/1PNO0015/2016-2017 /10019 | DIN: 00139439 |
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