NSE/BSE Codes: BSE: 544203, NSE: ABDL

Summary of Key Information:

Nature of Event / Disclosure:

Regulatory disclosure regarding update on arbitration proceedings against Canteen Stores Department (CSD), Ministry of Defence.

Involved Parties / Authorities:

  • Allied Blenders and Distillers Limited (Claimant)
  • Canteen Stores Department (CSD), Ministry of Defence (Respondent)
  • Sole Arbitrator appointed by Bombay High Court
  • Securities and Exchange Board of India (SEBI)
  • BSE Limited
  • National Stock Exchange of India Limited

Date / Timeline of Event:

  • Previous disclosure: November 9, 2024
  • Oral Order by Sole Arbitrator: September 26, 2026
  • Written order received by Company: September 30, 2026 at 15:52 PM IST
  • Disclosure filing date: October 01, 2026
  • Reference No: 75/2026-27

Brief Description of Outcome / Dispute:

The Company had initiated arbitration proceedings against Canteen Stores Department regarding disputes arising from debit notes and recoveries pertaining to supplies of Officer's Choice Prestige Whisky. The Sole Arbitrator, appointed by the Bombay High Court under Section 11 of the Arbitration and Conciliation Act, 1996, issued an oral order dated September 26, 2026 (written order received September 30, 2026) under Section 16 of the Act. The Arbitrator held that no Arbitration Agreement exists between the parties and consequently that the Arbitral Tribunal lacks jurisdiction to continue the proceedings. The order is limited only to the issue of jurisdiction and does not adjudicate the merits of the Company's claims.

Impact of Outcome:

Financial Impact:

No material disclosures regarding specific financial impact, penalties, or claim amounts provided in this disclosure.

Operational / Business / Strategic Impact:

Termination of arbitral proceedings requires the Company to pursue alternative legal remedies for recovery of disputed claims. The jurisdictional ruling does not affect the underlying merits of the claim regarding debit notes and recoveries for Officer's Choice Prestige Whisky supplies.

Other Implications:

The disclosure represents a procedural setback in the Company's legal strategy against CSD, requiring initiation of new proceedings for claim recovery.

Next Steps / Required Actions:

The Company intends to pursue appropriate legal remedies against the said Order to protect its interests and to initiate appropriate proceedings for recovery of the disputed claim.