Ansal Properties Appoints a Forensic Auditor for FY17–FY26 After Its New Board Flags 'Possible' Irregularities

The board of Ansal Properties & Infrastructure, reconstituted on February 3 and 5, 2026, approved the appointment of SLO Technologies Private Limited (AdvaRisk) as forensic auditor with effect from August 19, 2026, covering transactions from April 1, 2016 to March 31, 2026. The outcome was filed with the exchanges at 18:33 IST on August 20, after market close.

The filing sets out the reason. At the handover in February, the erstwhile board represented that there were 'no fraudulent, irregular, undisclosed or undervalued transactions' and that the company was being handed over as a 'clean slate'. The new board's preliminary review of books, borrowings, fund utilisation and related-party transactions 'identified that certain transactions were executed which appear to involve possible' undervaluation, illegal transactions with related or connected parties, transactions without adequate documentation or approvals, use of borrowed funds for other purposes, possible diversion or misapplication of funds, and transactions concerning customer receipts and RERA-designated accounts.

Each item is stated in the filing as a possibility identified in a preliminary review. The forensic audit is the process by which the board intends to establish whether, and to what extent, any of them occurred.

The audit does not arrive in a vacuum. The company's FY25 audited results, approved by the board on June 17, 2026 (standalone figures had been disseminated in November 2025 without board approval during the insolvency process), carry a modified audit opinion from statutory auditor MRKS & Associates, with a Statement of Impact of Audit Qualifications filed alongside. A corporate insolvency resolution process continues, confined by the NCLAT's order of January 7, 2026 to the Lucknow and Rajasthan projects.

On June 16, 2026, the company obtained an order from the Saket district court in a commercial suit it filed against DMI Alternative Investment Fund, DMI Alternatives, DMI Finance, Vistra ITCL and Trait IT Park, seeking a rendition of accounts and an injunction on 5,55,64,816 promoter-pledged shares pending, among other things, 'completion of forensic audits'. The court directed the parties to maintain status quo. That suit concerns the company's lenders and pledged shares; it is not a proceeding against former directors.

The Q4 FY25 loss dominates the year. Share capital is ₹78.70 crore (15.74 crore shares of ₹5); that is paid-up capital, not net worth, and should not be read as a measure of the balance-sheet cushion.