Key Developments
This disclosure provides an update to an earlier disclosure dated July 21, 2026, regarding judicial proceedings concerning the Corporation's erstwhile tea estate in Singampatti, Tamil Nadu (Civil Appeal No. 6395-6397 of 2025 before the Supreme Court).
In its order dated May 29, 2026, the Hon'ble Supreme Court had, at paragraph 59, recorded that lease rent of ₹4,655 crore "remain to be recovered" by the State Government from the Corporation. The Corporation emphasized that the Civil Appeals did not pertain to the issue of lease rent payable.
The Corporation filed an Interlocutory Application (IA No. 207972 of 2026) seeking recall and expungement of paragraph 59 of the May 29, 2026 order. The basis for this application was that: (i) the Civil Appeals did not pertain to lease rent issues, (ii) no notice, demand, or computation of lease rent had been issued to or served on the Corporation, and (iii) no hearing or opportunity to object to such alleged lease rent had been provided to the Corporation.
Current Status
Vide its order dated August 19, 2026 (made available on the Supreme Court website on August 25, 2026), the Hon'ble Supreme Court allowed the Corporation's Interlocutory Application. The court recalled the observations contained in paragraph 59 of its May 29, 2026 order to the extent they referred to the lease rent liability of the Corporation. The court noted that the amount of ₹4,655.24 crore had neither been the subject matter of a notice served upon the Corporation nor been finally determined after affording the Corporation an opportunity of hearing.
Financial Impact
No quantified financial impact has been disclosed. The observation regarding the ₹4,655 crore amount has been recalled by the Supreme Court.
Future Actions
The Corporation will continue to take all necessary steps in the matter and will keep stakeholders appropriately informed of any material developments.