Stock Report

Airfloa Rail Technology Ltd updates on adjudication order of ROC, Chennai

Posted On : 2026-01-21 11:25:54( TIMEZONE : IST )

Airfloa Rail Technology Limited ('Airfloa' or 'Company') has addressed a timing-related procedural delay in the transfer of certain unspent CSR amounts for FY20-FY23, with all applicable amounts transferred in full. The matter is compliance-related in nature, has no impact on the company's operations or profitability, and the Company will file necessary appeal with the Regional Director, in due course of time.

Background

As prescribed under the Companies Act, 2013, the company has identified and resolved a timing-related procedural delay in the transfer of certain unspent Corporate Social Responsibility (CSR) amounts to the designated funds. The company voluntarily submitted a suo moto adjudication application to the Registrar of Companies (RoC) about CSR-related transfers for fiscal years FY20, FY21, FY22, and FY23 after conducting an internal assessment. Prior to the initiation of any adjudication proceedings by the Adjudicating Authority, the relevant unspent CSR payments were transferred in full.

Impact Assessment

The management views that this issue has no bearing on the business's operations, execution capabilities, or governance structure and views it as a procedural compliance lapse restricted to the timing of statutory transfers. Ongoing projects, client relationships and vendor engagements have not been impacted. The company has received adjudication orders from the RoC imposing penalties aggregating to ₹90.0 lakhs on the company for respective fiscal years. The management believes that these penalties are not material to the company's profitability.

Next Steps

While the company respects the regulatory process, it has made voluntary disclosures, filed a suo moto application, and taken prompt corrective steps. The company will file necessary appeal with the Regional Director. The company has further strengthened its internal compliance monitoring and review mechanisms to ensure timely adherence to all statutory requirements going forward.

Shares of Airfloa Rail Technology Limited was last trading in BSE at Rs. 258.65 as compared to the previous close of Rs. 276.85. The total number of shares traded during the day was 302000 in over 174 trades.

The stock hit an intraday high of Rs. 270.00 and intraday low of 255.00. The net turnover during the day was Rs. 79207800.00.