Zicom CIRP Resolution Plan Approved: Key 2026 Update

NCLT approves the resolution plan

Zicom Electronic Security Systems Ltd has reached an important stage in its Corporate Insolvency Resolution Process, or CIRP. The National Company Law Tribunal, Mumbai Bench, approved Advaita Trading’s resolution plan for the company on September 24, 2026. The plan has a stated value of ₹17.76 crore. The approval was disclosed by the company in a September 25 CIRP public announcement. It follows several years of insolvency proceedings and an extended period without operating revenue. The tribunal’s approval is a formal development in the process governed by the Insolvency and Bankruptcy Code. Zicom operates in the security and safety segment.

Earlier filing before the Mumbai Bench

Before the approval, a resolution plan application had been filed with the NCLT Mumbai Bench. The next hearing date cited in that filing was July 17, 2026. The later September 24 approval indicates that the matter progressed before the tribunal after the planned hearing stage. The available disclosures identify Advaita Trading as the resolution applicant whose plan received approval. No further terms of the resolution plan have been provided in the supplied announcements. Therefore, details such as implementation conditions, creditor recoveries, ownership changes, or timelines are not available from the disclosed information. The confirmed plan value remains ₹17.76 crore.

CIRP has continued since July 2022

Zicom’s operating and financial disclosures place the tribunal decision in the context of a long-running insolvency process. CIRP proceedings for the company were initiated in July 2022. Since then, the company has continued to make disclosures related to the process, including Committee of Creditors outcomes and updates. A CIRP is designed to examine resolution proposals for a stressed company under the insolvency framework. Approval by the NCLT is a necessary stage for a resolution plan to move forward. The September order is therefore relevant for creditors, shareholders, and other stakeholders tracking the company’s status. The announcement does not state whether any additional regulatory or implementation steps remain.

FY25 results show no operating revenue

Zicom reported zero revenue from operations for the financial year ended March 31, 2025. The company recorded a net loss of ₹18.92 lakh in FY25, compared with a net loss of ₹35.38 lakh in FY24. The smaller loss does not change the reported absence of operating revenue. These results reflected the company’s operational hiatus during the CIRP period. The company’s business has historically included the manufacture and sale of electronic security systems and equipment. It has also provided annual maintenance services for electronic security products. Its sole reportable segment is Security and Safety.

Audit observations remain material

The FY25 standalone financial statements were submitted in August 2026 with an adverse audit opinion and going-concern uncertainty. Auditors cited unreconciled asset discrepancies and unverified receivables in the information provided. Certain balances under sundry debtors, loans and advances, and sundry creditors were subject to confirmation and consequential reconciliation. These observations are relevant because reliable financial records are important during resolution and implementation processes. The disclosed material does not quantify any eventual adjustments arising from reconciliations. It also does not state whether the approved plan addresses specific audit observations. The adverse opinion remains a key part of the company’s reported financial position.

Reported financial position

The supplied FY25 summary stated that total liabilities were ₹1,741.66 lakh. It also cited current borrowings of ₹1,18,246.34 lakh. Both figures are presented as disclosed in the source material. The supplied information does not explain the difference between these reported amounts or provide a reconciliation. Investors should therefore distinguish between the figures disclosed in the financial summary and the ₹17.76 crore value of the approved resolution plan. A plan value is not the same as annual revenue, profit, total liabilities, or a stated recovery amount for any individual creditor. The announcements provided do not specify distribution terms for financial or operational creditors.

Key disclosed figures

What the approval means for stakeholders

The NCLT approval provides a tribunal-backed outcome to the resolution-plan stage of Zicom’s CIRP. For the company, it follows a period marked by no operating revenue and continuing concerns over financial reporting and going concern. For creditors, the approved plan is the disclosed mechanism through which the insolvency process can advance. For shareholders, the announcement is material because a resolution plan can affect the company’s capital structure and future operations. However, the supplied disclosures do not provide terms that would allow an assessment of these effects. No claim about recoveries, shareholding changes, or business restart can be made from the available information. The confirmed development is limited to the plan’s approval and stated value.

Background of Zicom’s business

Zicom Electronic Security Systems Ltd is a public company incorporated under the Companies Act, 1956. Its shares have been listed on two stock exchanges in India, according to historical company information. The company has been engaged in electronic security systems, equipment sales, and related maintenance services. Historical financial documents describe Security and Safety as its only reportable segment. This operating background explains why its disclosures are relevant to India’s electronic security industry. But the FY25 result of zero operational revenue shows that the company was not reporting active revenue generation during the period covered. The resolution outcome will be assessed against that reported operational context.

Next disclosed steps

The available announcement confirms the NCLT Mumbai Bench approval dated September 24, 2026. It does not set out a subsequent implementation schedule or further hearing date after the order. It also does not provide the complete resolution plan or identify operational actions that may follow. Stakeholders will need to rely on future company and tribunal disclosures for any confirmed update on implementation. The financial statements and audit observations remain relevant reference points alongside the CIRP announcement. For now, the central fact is that Advaita Trading’s ₹17.76 crore plan has received NCLT approval. That approval marks the latest disclosed milestone in Zicom’s insolvency proceedings.