Tricom Fruit Products Ltd Management Discussions

Industry structure and developments

The Company operates primarily in the leading exporter of processed fruits in the form of puree, puree concentrate and frozen clear juice concentrate. Presently there is no production in the factory due to discontinued operation.

Opportunities and Threats

Agricultural Sector is a backbone of Indias economy. It provides major employment opportunities to the rural population and consequently it provides a large domestic market for manufactured goods. However, Stock piling canned and frozen fruit and vegetables, Supply chain issue, labour force shortage are threat to the Agro industries.

Segment wise or product-wise performance

As there is no production in the factory due to discontinued operation there is no discussion on segment

wise or product wise performance.

Outlook

Edelweiss Asset Reconstruction Company Limited (EARC) who is in the possession of all the Assets of the Company has sold the Assets. During the year under review Company has applied with NCLT Mumbai voluntarily for Corporate Insolvency Resolution Process.

The Honble National Company Law Tribunal, Mumbai Bench, ("NCLT"), had vide its order dated August 13, 2024 ("Order") admitted the application for initiation of the Corporate Insolvency Resolution Process ("CIRP") of Tricom Fruit Products Limited in terms of the Insolvency and Bankruptcy Code, 2016 read with the rules and regulations framed thereunder, as amended from time to time ("Code").

Further, the NCLT vide the Order had appointed Mr. Prakash Dattatraya Naringrekar as the Interim Resolution Professional. Later in 2nd Committee of Creditors meeting held on 9th October 2024 via Electronic mode, had appointed Mr. Prakash Dattatraya Naringrekar as Resolution Professional.

Pursuant to the order of Commencement of the Insolvency Resolution Process and in consonance with the stipulation contained in section 17 of the IBC,2016, the powers of the Board of Directors of the Company stand suspended and are vested in an exercised by Mr. Prakash Dattatraya Naringrekar, Interim Resolution Professional.

Risks and concerns

The company has laid down a well-defined risk management mechanism covering the risk mapping and trend analysis, risk exposure, potential impact and risk mitigation process. A detailed exercise is being carried out to identify, evaluate, manage and monitor and non-business risks. The Audit Committee and the Board periodically review the risks and suggest steps to be taken to manage/ mitigate the same through a properly defined framework. During the year, a risk analysis and assessment was conducted and no major risks were noticed, which may threaten the existence of the company.Due to discontinued operation company is facing cash crunch difficulties in the company.

Since the company is under CIRP, no forward looking remarks have been presented. The future developments, opportunities, threats, outlook of the company as well as risk and concerns are subject to the outcome of NCLT order.

Internal control systems and their adequacy

The Company has put in place an adequate system of internal controls commensurate with the size and nature of operations to ensure that the transactions are properly recorded, authorized and the assets are continuously monitored and safeguarded. The internal control system is backed up by well documented policies, guidelines and procedures. The adequacy and effectiveness of the Internal Control Department is reviewed by the Audit Committee of the Board which recommends control measures from time to time.

Further, all the payments are being approved only by interim resolution professionaland resolution professional post assumption of his office as interim resolution professional and resolution professional.

Discussion on financial performance with respect to operational performance

The financial statements have been prepared in compliance with the requirement of the Companies Act, 2013 and Indian Accounting Standards in India. During the year under review, your company reported loss during the year.

employed.

As operation of company is closed for last few years due to possession of assets taken over by Edelweiss Assets Reconstruction Company and it is sold by it in May 2021, there is no material development in number of employees of the company as compared to previous year.

financial year) in key financial ratios - Nil

Details of any change in Return on Net Worth as compared to the immediately previous financial year-

There was no revenue in current year as well as last year.

Property, plant and equipment of the Company has been sold by Edelweiss Asset Reconstruction

Company. As there are no assets available in the Company.