eMudhra (EMUDHRA) Investor update summary

Background and context

• Allegations were raised by 3i Infotech regarding the 2010 divestment of a subsidiary and redemption of preference shares, with claims of undervaluation, conflict of interest, and financial fraud, citing an impact exceeding ₹128 crores plus interest and damages.

• The divested entity was originally a wholly owned subsidiary, later acquired by Indus Innovest, with management changes over time.

• The divestment was conducted based on a Deloitte valuation report, with the sale price exceeding the valuation.

• The allegations pertain to events approximately fifteen years old, with none of the relevant management still at 3i Infotech Limited.

• Board members at the time were experienced professionals, and all procedures were followed as per corporate governance standards.

Allegations and responses

• Allegations include undervaluation, misrepresentation, lack of board disclosure, and financial fraud, all of which are denied, citing independent valuation, board oversight, and no conflict of interest.

• Second allegation concerns the redemption of INR 25 crore preference shares, with the process detailed, supported by agreements, and all shares redeemed as per agreed terms.

• All allegations are described as false, baseless, without merit, and time-barred.

• Detailed responses were provided to 3i Infotech Limited in 2024 and 2025, with offers for document inspection that were not reciprocated.

• The company intends to contest the matter through appropriate legal channels.

Regulatory and procedural disclosures

• Disclosure made in compliance with SEBI Listing Regulations and relevant Master Circular.

• No copy of the complaint has been received by the company as of the disclosure date.

• No litigation or settlement involving key management or promoters is applicable.