Ushanti Colour Chem replaces auditor after firm dissolution

Ushanti Colour Chem Limited replaced DJNV & Co. as statutory auditor on November 5, 2026, after the outgoing firm resigned because it was being dissolved. Ushanti Colour Chem appointed Bansi S. Mehta & Co. on the same date to fill the vacancy and conduct the statutory audit for the financial year ending March 31, 2027, subject to shareholder approval.

Why did Ushanti Colour Chem change its statutory auditor?

Ushanti Colour Chem changed its statutory auditor because DJNV & Co. was being dissolved, according to its November 5, 2026 disclosure. The board noted and accepted the firm’s resignation with immediate effect after receiving its resignation letter dated November 5, 2026. The company identified DJNV & Co. by firm registration number, or FRN, 115145W.

The company’s statutory-auditor-change table gives dissolution of the audit firm as the reason for the change and records November 5, 2026 as the cessation date. The audit committee and board also placed on record their appreciation for DJNV & Co.’s contribution. The filing does not state that the change resulted from a disagreement over the September 30, 2026 financial results.

DJNV & Co. issued a limited review report dated November 5, 2026 on Ushanti Colour Chem’s unaudited standalone results for the half year ended September 30, 2026. The firm said nothing had come to its attention to indicate that the standalone statement did not make the disclosures required under Regulation 33 of the Securities and Exchange Board of India, or SEBI, Listing Regulations, or contained a material misstatement.

When did Ushanti Colour Chem appoint the replacement auditor?

Ushanti Colour Chem appointed Bansi S. Mehta & Co. on November 5, 2026, the same date on which DJNV & Co.’s resignation became effective. The board made the appointment on the audit committee’s recommendation to fill the casual vacancy under Section 139 of the Companies Act, 2013. The board meeting ran from 3:00 PM to 3:45 PM Indian Standard Time.

The appointment remains subject to shareholder approval, while its disclosed term is to conduct the statutory audit for the financial year ending March 31, 2027. Ushanti Colour Chem has therefore disclosed an immediate replacement for the vacancy, but has not stated a shareholder-meeting date in the November 5, 2026 announcement.

The disclosed timetable shows that both the outgoing auditor’s cessation and the new firm’s appointment occurred on November 5, 2026. The company did not disclose a gap between the two events, an audit-fee arrangement, or a separate transition plan. Its stated mechanism was the replacement of an auditor following the resignation caused by the firm’s dissolution.

Who is Ushanti Colour Chem’s new statutory auditor?

Ushanti Colour Chem appointed Bansi S. Mehta & Co., Chartered Accountants, as its statutory auditor, identifying the firm by FRN 100991W. The company said the firm was established in 1958 and has offices in Mumbai, Delhi, Ahmedabad, Surat, Chennai and Hyderabad. Its profile states that it has 24 partners and more than 235 professionals.

According to Ushanti Colour Chem’s disclosure, Bansi S. Mehta & Co. serves more than 500 clients in sectors including banking and financial services, manufacturing, pharmaceuticals, infrastructure, fast-moving consumer goods, aviation, telecom, real estate and technology. The company also cited the firm’s experience in statutory audits of listed and unlisted entities, corporate restructuring, mergers and acquisitions, valuation and regulatory compliance.

The profile is the company’s description of Bansi S. Mehta & Co. rather than a performance comparison with DJNV & Co. The filing says the incoming auditor will undertake the statutory audit for the year ending March 31, 2027. It does not disclose that Bansi S. Mehta & Co. has reviewed the half-year results ended September 30, 2026.

What did Ushanti Colour Chem report for September 2026?

Ushanti Colour Chem reported standalone revenue from operations of Rs 43.69 crore for the six months ended September 30, 2026, compared with Rs 44.90 crore for the corresponding six months ended September 30, 2025. Total revenue declined to Rs 45.52 crore from Rs 46.10 crore over the same periods, while the board approved both standalone and consolidated unaudited results on November 5, 2026.

Despite the lower revenue, standalone profit before tax rose to Rs 3.86 crore for the September 2026 half year from Rs 59.46 lakh a year earlier. Standalone net profit increased to Rs 2.86 crore from Rs 24.72 lakh. Basic and diluted earnings per share were Rs 2.06, compared with Rs 0.22 in the corresponding 2025 half year.

The half-year numbers were subject to a limited review rather than a statutory audit. DJNV & Co. explained in its November 5, 2026 report that a review is limited primarily to inquiries of company personnel and analytical procedures, and therefore provides less assurance than an audit. The auditor did not express an audit opinion on the September 2026 standalone statement.

Did the outgoing auditor modify its review conclusion?

DJNV & Co. did not modify its conclusion on Ushanti Colour Chem’s standalone unaudited results for the half year ended September 30, 2026. In the report dated November 5, 2026, the firm said nothing had come to its attention to suggest that the statement was not prepared in accordance with applicable accounting standards and Regulation 33 disclosure requirements.

The report noted that the six months ended March 31, 2026 was a balancing figure between the audited full-year figures and the figures for April 1, 2025 to September 30, 2025 compiled by management. DJNV & Co. specifically said its conclusion was not modified in respect of that matter. This statement concerns the limited review of the standalone half-year results, not the statutory audit for the year ending March 31, 2027.

The November 5, 2026 announcement refers to DJNV & Co.’s resignation letter and related disclosures required under Regulation 30 of the SEBI Listing Regulations. The supplied filing pages identify dissolution as the reason for resignation and the effective date as November 5, 2026. They do not provide further detail on the auditor handover beyond the appointment, shareholder-approval condition and stated audit term.

Conclusion

Ushanti Colour Chem completed a same-day statutory-auditor transition on November 5, 2026, with DJNV & Co. ceasing after its dissolution and Bansi S. Mehta & Co. appointed to fill the resulting vacancy. The outgoing firm had also issued an unmodified limited-review conclusion on the standalone September 2026 half-year results, when net profit was Rs 2.86 crore versus Rs 24.72 lakh a year earlier.

The next disclosed matter to watch is shareholder approval for Bansi S. Mehta & Co.’s appointment. Ushanti Colour Chem has specified that the firm is to conduct the statutory audit for the year ending March 31, 2027, but the November 5, 2026 filing gives no date for the shareholder decision or further audit-transition timetable.