PROCAL ELECTRONICS INDIA LTD.

Procal Electronics India Limited announced that its Statutory Auditor, M/s. PAMS & Associates, Chartered Accountants, has resigned effective June 12, 2026. The resignation is attributed to geographical constraints, as the auditor's firm is based in Bhubaneswar while the company operates in Mumbai. The closure of the auditor's Mumbai branch in 2024 made it challenging to manage audit requirements for a listed entity. The Board of Directors has accepted the resignation and is in the process of appointing a new Statutory Auditor.

Procal Electronics India Ltd has submitted a corrected Statement on Impact of Audit Qualifications. The company attributes the previous discrepancy to a clerical error where figures were based on quarterly results instead of audited yearly results for FY26. The statutory auditors have issued an unmodified opinion on the audited financial results for the year ended March 31, 2026. The filing details significant audit qualifications related to going concern, citing eroded net worth, continuous losses, lack of operations, and substantial current liabilities exceeding current assets. It also mentions the sale of assets and inventories by Canara Bank under SARFAESI Act proceedings, with incomplete supporting documents for verification.

Procal Electronics India Ltd has announced the closure of its trading window for the quarter ended June 30, 2026. This closure is in compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, and the company's internal code of conduct. The window will be shut for all directors, promoters, designated persons, and those with contractual or fiduciary ties to the company, effective July 1, 2026. It will reopen 48 hours after the declaration of the un-audited financial results for the specified quarter. This measure is standard practice to prevent insider trading during the sensitive period of financial result finalization.

Procal Electronics India Ltd's revised audited standalone financial results for the year ended March 31, 2026, reveal significant concerns about the company's ability to continue as a going concern. The auditor's report expresses an adverse opinion due to the erosion of net worth from continuous losses, lack of business operations, and current liabilities exceeding current assets. Canara Bank has taken possession of the manufacturing unit and assets under SARFAESI Act, 2002, and sold them through E-auction for ₹49.07 lakh. The auditors were unable to verify the accounting treatment of the sale proceeds. Legal proceedings between the bank and guarantors are pending.

Procal Electronics India Ltd's board meeting on May 30, 2026, approved the audited standalone financial results for the quarter and financial year ended March 31, 2026. The board also took on record the audit report with an unmodified opinion. However, the auditor has raised concerns about the company's ability to continue as a going concern due to continuous losses, lack of business operations, and significant financial stress. The company's assets in Silvassa were taken over and sold by Canara Bank under SARFAESI Act, 2002.

Procal Electronics India Ltd's board meeting on May 30, 2026, approved the audited standalone financial results for the quarter and financial year ended March 31, 2026. The board also took on record the audit report with an unmodified opinion, the statement of assets and liabilities, and the cash flow statement. However, the auditor's report highlights concerns about the company's ability to continue as a going concern due to continuous losses and the erosion of net worth.

Procal Electronics India Ltd has informed the BSE that the Board of Directors meeting, initially scheduled for May 29, 2026, to consider and approve the Standalone Financial Results for the quarter and year ended March 31, 2026, has been adjourned due to pending finalization of accounts. The meeting will now be held on May 30, 2026, to consider the financial results and other agenda items. The trading window for dealing in the company's securities will remain closed until 48 hours after the declaration of the financial results.

Procal Electronics India Ltd has scheduled a Board of Directors meeting on May 29, 2026, to consider and approve the audited financial results for the quarter and financial year ended March 31, 2026, along with the audit report issued by the statutory auditor. The meeting will also address any other matters with the chairman's permission.

Procal Electronics India Ltd has approved the takeover of its immovable and movable assets and inventory by Canara Bank through an E-Auction Sale. The sale was conducted under the provisions of the SARFAESI Act, 2002, as part of the Bank's recovery proceedings. The Company has also written off several long-standing debit and credit balances identified as not recoverable or payable, and has undertaken a re-grouping and reclassification of various accounts in ledgers and heads to reflect the true financial position. The Board Meeting to discuss these matters commenced at 05:30 P.M and concluded at 07:40 P.M on 31st March, 2026.

Procal Electronics India Ltd announced that its Board of Directors approved a takeover of immovable and movable assets and inventory by Canara Bank. The assets and inventory, which were in possession of Canara Bank, were sold through an E-Auction Sale Notice dated May 2, 2024, conducted under the provisions of the SARFAESI Act, 2002. The Company has also written off several long-standing debit and credit balances identified as not recoverable or payable, and undertaken a re-grouping and reclassification of various accounts in ledgers and heads to align the Company's financial records and reflect the true financial position.