Regulatory Details
- Notice Number: SCN No. SEBI/EAD3/MS/SM/DIS/23926/2026
- Notice Date: 11.09.2026
- Date of Receipt: 11.09.2026
- Authority: Securities and Exchange Board of India (SEBI)
- Legal Basis: Issued under Rule 4(1) of the SEBI (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995
- Proceedings: Initiation of adjudication proceedings under Section 15I of the SEBI Act, 1995
- Regulatory Reference: Disclosure made under Regulation 30 read with Clause 20 of Para A of Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
Parties Involved
The adjudication proceedings are initiated against:
- The Company (Axel Polymers Limited)
- Its non-independent directors
- Other persons
Background and Allegations
The matter relates to allegations by the Office of the Commissioner, Central GST & Central Excise, Vadodara II that during the financial years 2021-22 to 2024-25, the Company:
- Wrongfully availed input tax credit without the physical receipt of inward supplies of goods
- Passed on such input tax credit without any actual supply of goods
Financial Impact
- The underlying GST matter involves a proposed recovery of input tax credit amounting to ₹31.57 crore, along with applicable interest and penalties
- The SEBI Show Cause Notice itself does not quantify any monetary penalty
- Financial implications will depend upon the outcome of the adjudication proceedings
- At present, the impact cannot be ascertained
Company Statement
The company states that this notice has no impact on its routine operations. The company will keep the stock exchange informed about further developments in the matter.
Previous Communications
This intimation is in continuation of previous communications dated 04.07.2024, 24.07.2024, and 04.02.2026 in respect of the GST Matter.