Afcons Infrastructure Limited has received an inspection letter from the Office of Regional Director – Western Region, Ministry of Corporate Affairs, Government of India, on October 8, 2025. The letter relates to an inspection under Section 206(5) of the Companies Act, 2013, and is a continuation of an inspection undertaken in 2024. The company believes its legal position is robust and intends to defend its position vigorously.
Government Inspection Letter
Afcons Infrastructure Limited received an inspection letter on October 8, 2025, from the Office of Regional Director – Western Region, Ministry of Corporate Affairs, Government of India. This letter pertains to an inspection under Section 206(5) of the Companies Act, 2013.
Details of the Inspection
The inspection is a continuation of a process that began in 2024. The current letter covers additional projects and extends the inspection period up to the financial year 2024-25, covering a period from the financial year 2018-19 to 2022-23. The inspection seeks clarifications on certain alleged non-compliance or contravention of provisions of the Companies Act and certain accounting-related matters for additional projects.
Company’s Position and Response
Afcons Infrastructure believes that its legal position is robust and intends to vigorously defend the matter. The company plans to appropriately respond to the inspection letter. The company states that the issue relates to whether the accounting for specific projects is in line with the Companies Act and Indian accounting standards.
Potential Impact
The company states that the impact of the current inspection letter is not currently determinable, and therefore, any financial or operational impact cannot be quantified at this stage. However, Afcons believes that no material impact is expected.
Alleged Non-Compliances
The authority has identified alleged violations of Sections 128, 129, 134, and 143 of the Companies Act and certain Indian accounting standards.
Source: BSE
