Aksh Optifibre is currently undergoing the Corporate Insolvency Resolution Process (CIRP) as directed by the NCLT. The company reported a net loss of Rs 13.07 crore for FY 2025-26. Investors face significant uncertainty due to ongoing debt litigation with major lenders like Union Bank of India and HDFC Bank, alongside qualified audit concerns regarding nearly Rs 30 crore in unprovided liabilities.
Aksh Optifibre Ltd Faces Insolvency Proceedings
Revenue at Rs 127.23 crore; Net loss stands at Rs 13.07 crore.
Reader Takeaway: Company under insolvency process with significant debt litigation and auditor-flagged unprovided liabilities totaling Rs 29.86 crore.
What just happened
Aksh Optifibre Limited is currently undergoing the Corporate Insolvency Resolution Process (CIRP) following an order from the NCLT Jaipur Bench dated June 19, 2026. While the NCLAT has directed the Interim Resolution Professional (IRP) to pause further steps, the company’s operations remain under the supervision of the IRP. The firm reported a consolidated net loss of Rs 13.07 crore for FY 2025-26, compared to a loss of Rs 25.97 crore in the previous fiscal year.
Why this matters
The company faces severe financial and legal headwinds. Statutory auditors have issued a qualified opinion, highlighting that the company failed to account for Rs 21.46 crore in interest and Rs 8.40 crore in cenvatable duty. The auditors state these provisions should have been recognized under Ind AS 37, while management claims they expect relief via an amnesty scheme. Furthermore, the company is battling recovery suits from Union Bank of India and HDFC Bank, with an additional demand of Rs 69.44 crore from Bank of Baroda regarding a corporate guarantee.
Risks to watch
Equity holders face limited visibility due to the ongoing insolvency process. The primary risks include the final outcome of the CIRP, the potential impact of unresolved auditor qualifications on the balance sheet, and the success of ongoing One Time Settlement (OTS) negotiations with creditors. Legal disputes regarding corporate guarantees remain a major pressure point for the company's valuation.
What to track next
Investors should closely monitor future NCLT and NCLAT hearings regarding the CIRP status. Additionally, any updates on the OTS progress with lenders and the reconciliation of the Rs 29.86 crore liability flagged by auditors will be critical for determining the company's long-term viability.