Debt-ridden Vishal Retail today denied fudging accounts, blaming it on printing errors by auditors, and said the firm would soon complete its corporate debt restructuring exercise.
Reacting to a report that the company inflated profits and under-reported losses during the nine months ended December 2008, Vishal Retail Chairman Ram Chandra Agarwal said it was all misinterpretation.
"It is a printing mistake by the auditors. They are making the changes. The report by the auditors has been misinterpreted," Agarwal said.
The media account, quoting a limited review report by the firm’s auditor, Haribhakti and Company, had said the retailer stated a net profit of Rs 48.93 crore instead of Rs 20.24 crore for the nine months ended December 2008. The report also said the retailer under-reported losses for the year ended March 31, 2009 at Rs 88.94 crore instead of Rs 94.49 crore.
Denying the allegations, Agarwal said, “Such misinformation has been spread by people who have vested interests and do not want the company to come out of crisis.” Officials of Haribhakti and Co could not be reached for comments.
