MSTC Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Dec 2024

Notes:
1) With the completion of tenure of existing two Independent Directors on 31.10.2024, there are no Independent Director in the Board of the Company. Therefore, the Audit Committee could not be constituted. As a result, the Audit Committee meeting could not be held. The above results for the quarter and nine months ended 31st December 2024 have been prepared in accordance with Indian Accounting Standards (‘Ind AS’) notified under Section 133 of the Companies Act, 2013 read together with the Companies (Indian Accounting Standards) Rules, 2015 (as amended) and have been reviewed and approved by the Board of Directors in their meeting held on 10th February 2025. The statutory auditor has reviewed the results as required under regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 (SEBI LODR) as amended.
2) Pursuant to the Share purchase agreement dated 24.10.2024 executed among MSTC Limited, Ferro Scrap Nigam Limited (FSNL) and Konoike Transport Company Limited and receipt of sale consideration of Rs 32,000.00 Lakhs on 14.01.2025, MSTC has transferred its entire shareholding in FSNL to Konoike Transport Company Limited on 21.01.2025.
3) The Current Borrowings includes Rs 14,361.97 Lakhs (Previous period Rs 14,361.97 Lakhs) towards payment made by Standard Chartered Bank (SCB), after purchase of export bills of MSTC raised on foreign buyers against export of Gold Jewelleries to the buyers during 2008-09, under a Receivable Purchase Agreement. On non-receipt of the proceeds from the foreign buyers against the bills, SCB submitted claims with the Insurance Company, who, however, wrongfully repudiated the claim of SCB. Thereafter, SCB converted the receivables purchased from MSTC under the Receivables Purchase Agreement into loans/ debts as if owing by MSTC, claimed the amount from MSTC with interest and filed a case, being the Original Application (OA) in the Debt Recovery Tribunal (DRT), Mumbai in the year 2012, which MSTC has denied and disputed. The matter is sub-judice and is contingent in nature, at this juncture.
4) Exceptional item includes expenditure of Rs 3,055.32 lakhs, (USD 30.30 Lakhs and Rs 424.36 Lakhs) towards provision on account of very old arbitration awards under execution, which is subjudice and appreciation in value of investment in FSNL, of Rs 30,419.00 Lakhs (net of sale proceeds of Rs 32,000.00 lakhs minus Rs 1,581.00 lakhs, being original value of investment in FSNL) against transfer of shares of FSNL to Konoike Transport Company Limited.
5) The Board of Directors has declared second Interim Dividend @ 320% per equity share of face value of Rs 10.00 each i.e. Rs 32.00 per equity share for the financial year 2024-25.
6) Figures of the previous period/year have been regrouped/reclassified/rearranged to conform to the classification of the current period/year, wherever necessary.