Page 198 - KRCL ENglish

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Notes forming part of the Standalone Financial Statements as at 31 March, 2020
20a.6 The salient features of Capital Restructuring proposal as approved by Cabinet Committee on
Economic Affairs and given effect to , are as follows:

The Loans provided by the Ministry of Railways along with accrued interest theron as at 31st March,
2008 amounting to ` 3222.46 Crore were converted into Non-cumulative Preferential Shares
redeemable at the end of 20 years.

Likewise, the Ministry of Railways has provided nancial assistance amounting to `857.05 Crore by
way of subsription to Non-cumulative Preferential Shares redeemable at the end of 15 years towards
full debt servicing and 50% of the value of Bonds redeemable during nancial years 2008-09 to 2010-
11.

Thereafter these Non-Cumulative Redeemable 20 years/ 15 years Preference Shares totaling to
`4,079.51 crore held in the name of Ministry of Railways are converted into Compulsory Convertible
Non-cumulative Preference Shares (CCPS) w.e.f. 31/03/2015 with the approval of competent authority.
The approval of Central Government has been received on 26th December, 2017.
20a.7 There is a difference of ` 214.02 Crore in authorized share capital as per records of Ministry of
Corporate Affairs – MCA (` 8293.53 Crore) and as per company’s records (` 8079.51 Crore). At the time
of increase in authorized share capital for issue of Preference Shares, based on the approval of the
Cabinet Committee on Economic Affairs (CCEA) for 1st restructuring, the request for increase in
Authorized Share Capital to ` 4293.5339 Crore was submitted to Government and resolution was
passed in EGM dt.16.02.2009. Based on this Form 5 was led with ROC for the increase in Authorised
share capital. However, later the H’ble President of India approved the increase of ` 4079.51 Crore only.
Consequently the application was given to MCA for correction / reduction in authorised share capital in
line with approval of President of India. However, the same is not yet done and the Management is
pursuing for the same. Alternatively management will approach to Government of India to grant
approval for enhanced share capital in line with MCA.

20a.8 The details of Preference Shareholders holding more than 5% shares

2019

2019

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