Starchik Specialities Ltd has informed BSE that the Board of Directors of the Company at its meeting held on June 25, 2008, inter alia, has taken the following decisions:

1. The Board discussed and approved the draft Scheme of Reconstruction of Capital involving Reduction of Capital with simultaneous Preferential Issue of upto 46,00,000 shares / warrants u/s 391- 394 of the Companies Act, 1956 and the Board has authorized Shri. Sanjay Kumar Sanghi, Managing Director and Shri. Ritesh Kumar Sanghi, Director, to take all necessary steps for filing the scheme with the Stock Exchanges / High Court of Andhra Pradesh.

2. The Board also finalized the appointment of Advocate for the High Court process.