 "future retail, future group, big bazaar, bazar")
Two listed Future group firms -- Future Retail and Future Lifestyle Fashion -- on Tuesday expressed their inability to convene a board meeting before May 30, to approve their financial results for the quarter and year ended March 31, on account of vacant positions on their respective boards.
In the last two months, Future Retail Ltd (FRL), the flagship firm of Kishore Biyani-led Future Group, witnessed several top-level exits after the Rs 24,713-crore deal with Reliance Retail was called off.
Earlier this month, FRL's Chief Financial Officer C P Toshniwal and Company Secretary Virendra Samani had resigned from the company.
Its Managing Director Rakesh Biyani had also stepped down this month.
While at Future Lifestyle Fashion Ltd (FLFL), its Chairperson Shailesh Haribhakti had resigned from his position.
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"Pursuant to cessation/resignation of a few Directors in recent past, the composition and structure of the Board of Directors and Audit Committee of the Company has become imbalanced and not in compliance with the provisions of the Companies Act, 2013 and the SEBI Regulations, 2015," said FRL and FLFL in regulatory filings.
Although both companies have been taking necessary actions to fill the vacancies caused by such resignations, the present structure of the Board of Directors and the Audit Committee "would not be competent to approve the audited financial results" for the quarter and fiscal year ended March 31, 2022.
"In view of the above, Meetings of Board of Directors and Audit Committee to approve the captioned financial results would not be possible to be convened and held before May 30, 2022," said FRL and FLFL.
As per Securities and Exchange Board of India (SEBI) norms, companies are required to file their quarterly results, within 45 days from the end of the quarter, and in case of annual financial results, within 60 days from end of the financial year.
As per this timeframe, companies have to file their quarterly and annual results by May 15 and May 30 respectively.
The company would announce the results as early as possible, after the composition of the Board of Directors and Audit Committee complied and statutorily capable to approve it, both the companies said.
FRL is facing an insolvency petition filed by its lenders before the National Company Law Tribunal as it has committed defaults.
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