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As a result of this infusion, which has had no impact on the shareholding structure of the Company, the Net Worth has been restored.The Promoter, Ricoh Company Limited, has also confirmed its support for at least 12 months from 18 November 2016 which gives the Directors further confidence.On 24 August 2016, the NCLT issued an Order granting the cancellation of the shares of either Ricoh Company Limited, or the Co - Promoter NRG Group Limited, and the preferential issue of the same number of shares for an amount equivalent to the estimated unaudited loss announced on 19 July 2016 i.e. On 14 October 2016, an Extraordinary General Meeting was held that approved the recapitalization by way of cancellation of the shares of NRG Group Limited and preferential issue of the same number of shares to NRG Group Limited.On 15 October 2016, the Board approved the cancellation, issue and allotment for the consideration of Rs 1,123 Crores.To the Members The Directors are pleased to present the 23rd Annual Report on the business and operations of the Company together with the Audited Accounts for the financial year ended 31 March 2016 FINANCIAL HIGHLIGHTS (Rs.in Lacs) GENERAL ECONOMIC REVIEW Global Economy Global growth in 2015-16 again fell short of expectations, slowing to 2.4 percent from 2.6 percent in 2015.These are detailed in Note 45 but primarily relate to one off items either through errors, incorrect accounting or falsification.

These are summarized as:- As can be seen above, the loss in the year ended 31 March 2016 is significantly impacted by exceptional items.

These investigations finally concluded on 17 November 2016 and enabled the filing of financial statements for the year ended 31 March 2016.

The financial statements for the year ended 31 March 2016 disclose a loss of Rs 1,118 Crores which has eroded the Company’s Net Worth as at that date.

In the disclosures accompanying the financial results, the Board of Directors stated that the financial results did not represent a true and fair view of the state of affairs of the Company and the reasons thereof.

The statutory auditors did not provide any opinion in their limited review report.

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