yd November, 2018

To,	To,
National Stock Exchange oflndia Limited	BSE Limited
Exchange Plaza, Plot C-1 , 'G' Block,	Phiroze Jeejeebhoy Towers,
ISB Centre, Bandra-Kurla Complex,	Dalal Street, Fort,
Bandra (East), Mumbai-400 051.	Mumbai - 400 001.
Company Code No. NKIND	Company Code No. 519494

Dear Sir/Madam,

Sub: Outcome of Board Meeting held on 3rd November, 2018

In continuation to our communication dated 23rd October, 2018, informing the date of Board Meeting.

The Board of Directors of the Company at its meeting held today has approved the Unaudited Standalone Financial Results for the quarter/half year ended on 30th September, 2018.

The said results have been subjected to Limited Review by the Auditors of the Company and a copy of their Limited Review Report is enclosed.

The Board of Directors also took note of the job work agreement entered between the Company and N K Proteins Private Limited dated 16th October, 2018.

This intimation is issued in terms of Regulation 30(6) r.w. Part A of Schedule III of SEBI (Listing Regulations), 2015.

The Board Meeting concluded at ~; DO ~- N.

Kindly consider the same and take on your record.

Thanking You.

Yours Faithfully,

N~MITED

Ms. AKANKSHA SRIVASTAVA (Company Secretary & Compliance Officer)

Phone : 91 -79-66309999 Regd. Office : 7th Floor, Popular House, Ashram Road, Ahmedabad - 380 009. India.

Fax : 91-79-26589214 E-mail : [email protected] Plant : 745, Kadi-Thor Road, Kadi - 382 715. Dist. Mehsana (N.G.) Tele : (02764) 242613, 263884 (M): 9879544820, 8980002783/84 Email : [email protected]

CIN No.: L91110GJ1987PLC009905

CHARTERED ACCOUNTANTS

CA. (DR). HITEN PARIKH M.Com . LLB., FCA ., Phd CA. SANJAY MAJM UDAR B.Com , LLB., FCA

Limited Review Report on the Unaudited Financial Results for the Half year ended September 30, 2018 pursuant to tfie Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To the Board of Directors of N.K.INDUSTRIES LIMITED

We have reviewed the accompanying statement of unaudited financial results ("the statement") of N.K.INDUSTRIES LIMITED "the company" for the Half year ended 30th September, 2018 being submitted by the company pursuant to the requirements of Regulation 33 of the SEBI (Listing obligations & Disclosure Requirements) Regulation,2015,read with SEBI circular No.CIR/CFD/FAC/62/2016 dated 05TH July, 2016. This Statement which is the responsibility of the Company's Management and approved by the Board of Directors, has been prepared in accordance with recognition and measurement principles laid down in Indian Accounting Standard 34 "Interim Financial Reporting" as prescribed under Section 133 of Companies Act, 2013 ("the Act") read with relevant rules issued there under and other accounting principles generally accepted in India. Our responsibility is to issue a report on the Statement based on our review.

We conducted our review in accordance with the Standard on Review Engagement (SRE) 2410, "Review of Interim Financial information performed by the Independent Auditor" issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the financial statements are free of material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedures applied to financial data and thus provide less assurance than an audit. We have not performed an audit and accordingly, we do not express an audit opinion.

BASIS FOR QUALIFIED OPINION

·> 1. The Company had entered into financial arrangement with National Spot t ' Exchange Ltd (NSEL) through trading and Clearing Member, N.K. Proteins ' - Private Ltd (erstwhile N. K. Proteins Limited (NKPL) (Group' 1Company) by way of purchase and sales of various goods up to financial year 2012-13 . . . The trade payables and trade receivables arising · out of the said transactions through National Spot Exchange Limited (NSEL) from the concerns other than the group concerns are subject to confirmations by ., the respective parties/NSEL and reconciliations/adjustments, if any . • I Further, NSEL has suspended the trading on 31.07.2013, as per the I directions issued by the Government of India, Ministry _: of Consumer Affairs. NSEL has filed recovery proceeding~ against the group company . . NKPL and also against the company and the said proceedings are pending as on date. Further, the Home department, Government of Maharashtra ' has issued a notification under the Maharashtra Protection of Interest of Depositors (in financial establishments)-Act, 1999 (MPID Act) attaching the Land, Building & Plant & Machinery of the company located at Kadi , Gujarat. The company had challenged the notification issued by Home department of Maharashtra before Hon'ble Gujarat High Court which was disposed off vides its order dated 29th March 2017. The company preferred a Special Leave Petition before the Hon'ble Supreme Court of India and The Hon'ble Supreme Court of India had disposed off the ·special Leave Petition on 17th April, 2017 with a observatio~ to file an application before J: Hon'ble Bombay High Court, Mumbai, · and as informed by the .. . ~ management, the company has filed petition before the Hon'ble Bombay High Court in June 2017.Besides the above, the company 1has also filed its objections against the attachment notification before I the Designated Special MPID Court, Mumbai. In view of the fact that the matter is subjudice, we are unable to quantify the final liability and 1 its impact if any, on the loss of the company for the Half year ended on 30th Septemeber, 2018.

~' .. ,. l.

:.. . ·,.;:

. . f .~:

I_ . , .

.. L,

1. The Directorate of Enforcement, Governme'nt of India has initiated proceedings against the company under section 5(1) of the prevention of Money Laundering Act, 2002, along with group company NKPL, and by virtue of the provisional attachment order dated 10/03/2015, attached the assets of the company comprising of Land, building, plant and machinery situated at Survey Nos.719, 720, 721, 732/1, 732/2, 733, 741, 743, 744, 745, Kadi Thol Road, Village Kadi Kasba , taluka- Kadi, District Mehsana-382715 Gujarat. As explained to us, The Company has preferred an appeal before the Hon'ble Appellate Tribunal under the Prevention of Money laundering Act, 2002 against the order of Adjudicating Authority. However, matter is subjudice, we are unable to quantify the liability and its impact if any, on the loss of the company for the Half year ended on 30th Septemeber,2018.
1. The Director of Enforcement (hereinafter referred to as ED), Government of India had initiated proceedings of search/seizure on 30.05.2018 on the group company NKPL, the promoters of the company Shri Nilesh Patel and Shri Nimish Patel, one of the family member as well as on the company and thereafter on 29.06.2018, the ED, Government of India, had preferred an application u/s 17(4) of the Prevention of Money Laundering Act, 2002 before the Adjudicating Authority, New Delhi, vide it's a Application No. OA/236 of 2018 against the company as well as group company NKPL and the promoters for retention of the seized properties and for continuation of order of freezing the properties, till finalization of the proceedings, of the properties mentioned in the application u/s 17(4) of the PMLA Act, 2002. The company along with Group Company and promoters challenged the show cause notice issued by the adjudicating authority New Delhi, before the Hon'ble High Court of Delhi and the Hon'ble High Court has set aside the said show cause notice. The adjudicating authority has issued a fresh show cause notice dated 30th August 2018 fixing hearing on oat~ October 2018, for filing the reply .The company has filed its reply on the said date and now the next hearing is on 5th November,2018 The matter is sJb-judice as on date and we are unable to quantify the liability and its impact, if any, on the financials of the company for the half year end11_ 30th Sptemeber,2018 ..

Qualified Opinion

Based on our review conducted as above, except as mentioned in qualified opinion, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with aforesaid accounting standard and other recognized accounting practices and policies have not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 read with Circular No. CIR/CFD/FAC/62/2016 dated July 5, 2016, including the manner in which it is to be disclosed, or that it contains any material misstatement.

EMPHASIS OF MATTER

The company had incurred huge losses in past years, and has also incurred loss during the half year ended on 30th September, 2018 and the company's net worth is negative. In spite of this in view of the management, the accounts have been prepared on "Going Concern basis".

Our report is not modified in respect of this matter of Emphasis.

OTHER MATTERS

I) Balance of Trade receivables, Loans & Advances & Trade payables are subject to confirmation from respective parties.
II) The closing stock as at 30.09.2018 is as taken, valued and certified by the Management.

Our Conclusion is not modified in respect of other matters.

Date: 03/11/2018 Place: Ahmedabad 4

N.K.lndustries Limited

Registered Office: 7th Floor.Popular House.Ashram Road, Ahmedabad - 380 009.

Works : 745, Kadi-Thor Road, KADl-382715 Dist.Mehsana (North Gujarat)

Standalone Unaudited Financial Results For The Half Year Ended On 30th September, 2018 CIN: L91110GJ1987PLC009905, Phone: 91-79-66309999, Email: nkil(@.nkproteins.com

Part I						C) In Lacs,except per Share data
				Standalone
			Quarter Ended on			Cummulative	Year Ended
	Particulars	30/09/2018	30/06/2018	30/09/2017	30/09/2018	01/04/2018 to 01/04/2017 to30/09/2017	31/03/2018Audited
1	Income from operations
	(a)Net Sales / Income From Operations (net of Excise
	Duty)	22,592.63	9,033.28	1,627.28	31,625.91	8,129.35	11 ,283.75
	(b) Other Operating Income	133.80	91.86	4.86	225.66	15.31	61 .18
	Total Income (1)	22,726.42	9,125.14	1,632.14	31,851.56	8,144.65	11,344.92
2	Expenses
	a) Cost of materials consumed	23,169.32	7,940.35	-	31 ,109.67	-	-
	b) Purchase of stock-in-trade	1,138.65	726.59	143.51	1,865.24	5,148.06	5,007.50
	c) Changes in inventories of finished goods, work-in
	progress and stock in trade	(2,353.87)	(729.78)	408.90	(3,083.65)	297.14	297.14
	d) Excise Duty and Service Tax	-	-	-	-	-	-
	e) Employee benefits expenes	231 .91	236.44	230.29	468.35	451 .05	928.95
	f) Finance Cost	0.06	0.37	-	0.43	0.01	0.84
	g) Depreciation and amortisation expenses	168.25	165.36	279.87	333.61	610.85	969.48
	h) Other expenses	511 .13	814.23	709.46	1,325.36	2,130.39	4,397.06
	Total Expenditure	22,865.44	9,153.56	1,772.03	32,019.00	8,637.50	11,600.97
3	Profit /(Loss) before exceptional item (1-2)	(139.01)	(28.42)	(139.89)	(167.43)	(492.84)	(256.051
4	Exceptional Items	-	-	-	-	-	-
5	Profit /(Loss) before tax (3-4)	(139.01)	(28.42)	(139.89	(167.43)	(492.84)	(256.o5:
6	Tax expense	34.15	12.35	-	46.50	-	(35.56:
7	i) Current Tax	-	-	-	-	-	-
8	ii) Deferred Tax	34.15	12.35	-	46.50	-	(35.56:
9	Profit/ (Loss) for the period (5-6)	(104.86)	(16.07)	(139.89	(120.93)	(492.84]	(291.60:
	Other Comprehensie Income (OCI)
i	items that will not be reclassified to Profit & Loss	(4.90)	(4.80)	0.02	(9.70)	0.04	(19.39:
ii	Income taxs relating to items that will not be reclassified toprofit or loss	-	-	-	-	-	-
iii	items that will be reclassified to Profit or Loss	-	-	-	-	-	-
iv	Income taxs relating to items that will be reclassified toprofit or loss	-
10	Total Other Comprehensive Income (Net of Tax)	(4.90)	(4.80)	0.02	(9.70)	0.04	(19.39)
	Total Comprehensive Income for the period (9+10)	(109.76)	(20.87)	(139.87)	(130.63)	(492.80)	(310.99)
11	Paid-Up Equity Share Capital of Rs. 10 Each	600.99	600.99	600.99	600.99	600.99	600.99
	Earnings per share (for continuing operation) (of · 10/-each):
i	(a) Basic	(1.74)	(0.27)	(2.33	(2.01)	(8.20)	(4.85'
	(b) Diluted	(1.74)	(0.27)	(2.33	(2.01)	(8.20)	(4.85'
	Earnings per share (for discontinued operation) (of · 10/-each):
ii	(a) Basic	(1.74)	(0.27)	(2.33	(2.01)	(8.20)	(4.85'
	(b) Diluted	(1.74)	(0.27)	(2.33)	(2.01)	(8.20)	(4.85)

Notes:

The above financial results have been reviewed by t he Audit Committee and thereafter approved by the Board of Directors at its meeting held on 3rd November, 2018, and are published in accordance with the SEBI (LODR) Regulations, 2015.
As the Company has only one business segment, disclosure under Accounting Standard 17 on "Segment Reporting" issued by the Institute of Chartered Accountants of India is not applicable.

3.The figures of the last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the second quarter of the respective financial years.

Figures of the previous quarter have been regrouped/reclassified wherever necessary.

The Limited Review Report on the unaudited standalone financial results for the quarter/half year ended on 30th September, 2018 contains qualification regarding transactions entered by company during f.y. 2012-13 through trading and clearing member with NSEL. With respect to the said qualification it is to be submitted that National spot Exchange Limited (NSEL) has served a notice to N K Proteins Private Limited (Formerly known as N K Proteins Limited) who was a Trading and Clearing Member at NSEL and N K Industries Limited was only a client Company of Trading Member i.e. N K Proteins Limited. As regards, the balances of trade receivables and trade payables arising out of the transactions through NSEL platform, the same cannot be confirmed pursuant to the pendency of litigations and as the matter is still pending before the respective authorities. Further, the Home Department, Government of Maharashtra has issued a notification under the MPID Act, 1999 securing the attachment of Land & Building and Plant & Machinery of the Company. Against this the Company had challenged the notification issued by Home department, Government of Maharashtra, before the Hon' ble High Court of Gujarat. The Hon'ble Gujarat High Court had disposed off the application of the Company vide its order dated 29th March 2017.Against the said order the Company had preferred a Special Leave Petition before the Hon' ble Supreme Court of India. The Hon'ble Supreme Court of India had disposed off the Special Leave Petition on 17/04/2017, with an observation to file an application before the Hon'ble Bombay High Court. The Company has filed petition before the Hon'ble Bombay High Court in June 2017. Besides the above, the Company has also filed its objections against the attachment notification before the Designated Spl MPID Court, Mumbai. The matter
The Auditors' report on the standalone financial results for the year ended on 31st March, 2018 contains qualification regarding proceedings initiated by the Directorate of Enforcement under the Prevention of Money Laundering Act, 2002. With respect to the said qualification it is hereby clarified that the Company has preferred an appeal before the Hon'ble Appellate Tribunal under the Prevention of Money Laundering Act, 2002. The matter is sub-'udice.
As reported by the Auditors reagrding the search & seizure carried out by the Enforcement Directorate on the group Company N K Proteins Private Limited and the promoters Mr. Nilesh Patel and Mr. Nimish Patel on 30/05/2018 and thereafter on 29/06/2018, pursuant to which the Directorate of Enforcement has filed an application u/s 17(4) of the Prevention of Money Laundering Act, 2002 against the Company before the Adjudicating Authority, New Delhi for retention of the seized properties and for continuation of order of freezing the properties, till finalization of the proceedings, of the properties mentioned in the application u/s 17(4) of the PMLA Act, 2002. Against the said proceedings the company along with Group Company and promoters challenged the show cause notice issued by the adjudicating authority New Delhi, before the Hon'ble High Court of Delhi and the Hon'ble High Court has set aside the said show cause notice. The adjudicating authority has issued a fresh show cause notice dated 30th August 2018 fixing hearing on 08th October, 2018, for filing the reply .The company has filed its reply on the said date and now the next

PLACE : AHMEDABAD 3rd November, 2018

STATEMENT OF ASSETS AND LIABILITIES FOR THE HALF YEAR ENDED ON 30TH SEPTEMBER, 2018

	·s:'Nd':· I PART( cu D,\RSv ljl;ii'diii]l)!'i•l!;); !1tl':f1tlft. • u'lil'liiffiii4i wd: r0i)!. ''i!tlJ,l!h'i, ijNo'i;·~•wV@Jy;		crJot•i, J"'"'• :;l:iI'.;;.VJ: . ?>c<br>,:"''.:',;:!i;t'	='' %?! m' ?'ttF '''"W'W
	1	2	3	4
	ASSETS
1	Non-current assets
a)	Property, Plant and Equipment	8	13 669.95	13 872.93
b)	Capital work-in-progress	8	. 529.02	542.23
c)	Investment Property
d)	Goodwill
e)	Other Intangible assets	8	.33	.35
f)	Intangible assets under development
g)	Biological Assets other than bearer plants
h)	Financial Assets
	(i) Invest ments	9	188.39	188.39
	(ii) Trade receivables	10
	(iii) Loans	11	6 682.74	6 682.63
	(iv) Secu rity Deposits
i)	Deferred tax assets (net)		1372.16	1325.66
j)	Other non-current assets	12	5175.58	5170.67
2)	Current assets
a)	Inventories	13	3 903.67	473.27
b)	Financial Assets
	(i) Investments
	(ii) Trad e receivables	14	42.46	3 946.13
	(iii) Cash and cash equivalents	15	41.77	36.13
	(iv) Bank balances other than (iii) above	16	45.84	44.15
	(v) Loans	17	269.40	268.26
	(vi) Others (to be specified)
c)	Current Tax Assets (Net)
d)	Other current assets	18	73.23	40.56
	TOT AL ASSETS		31994.55	32 591.36
	EQUITY & LIABILITIES :
	EQUITY:
a)	Equity Share capital	1	600.99	600.99
b)	Other Equity	2	( 31 708.38)	( 31577.75)
	LIABILITIES :
1)	Non-Current Liabilities
a)	Financial Liabilities
	(i) Borrowings
	(ii) Trade payables	3	5.7 944.92
	(iii) Other financial liabilities (other than those specified in item (b), to			62 609.99
b)	Provisions	4
c)	Deferred tax liabilities (Net)		283.40	271.92
d)	Other non-current liabilities
2)	Current liabilities
a)	Financial Liabilities
	(i) Borrowings

	(ii) Trade payables(iii) Other financial liabilities (other than those specified in item (c)	5	4 641.33	505.59
b)	Other current liabilities
c)	Provisions	6	142.95	116.81
d)	Current Tax Liabilities (Net)	7	89.34	63.82

	Total Equity and Liabilities		31994.55	32 591.36

* I ~

AI assistant

N.K.Industries Ltd. Interim / Quarterly Report 2019