The Board of Directors of GVK Power and Infrastructure Ltd has informed exchanges that the delay in finalising its results and holding annual general meeting was due to a CBI case filed against its subsidiary Mumbai International Airport Limited (MIAL).
The CBI had filed an FIR against MIAL, wherein it had alleged diversion of funds by some of the executives of the company.
Following a couple of notices from the BSE and the NSE on the delay in finalising results, the Board, which met on December 21, 2020, informed that unless the probe process is completed, the company cannot finalise and publish the audited financials for the FY 2019-20 as also the succeeding quarterly results. Consequently, the AGM for this year has also got delayed.
In the meantime, after the FIR, the GVK Group had signed up with the Adani Group for divestment of its stake in MIAL.
“As a result of this uncertainty, which is not in our control, the Board is not sure, at this point of time, about informing the investors and regulatory authorities about the timelines on publication of these results,” it informed.
The company received notices from the stock exchanges with respect to non-publication of audited financial results for FY 2019-2020 and un-audited financials for QI and Q2 of FY 2020-21 within the stipulated time frame and the consequential actions thereon.
The Board also stated that the company had already informed SEBI and stock exchanges that it is awaiting MIAL (the company’s material subsidiary) board/auditors to submit their report on the audited financials for the FY 2019-20, which is pending due to the FIR.