Disclosure under Regulation 30 of SEBI LODR Regulations
Gopal Snacks Limited has received a Show Cause Notice (SCN) from the Additional Commissioner, CGST HQ, Rajkot, Gujarat. The notice was received on 04th June 2026.
Nature of the Notice
The SCN bears number 27/HQ/RJT-II/ADC/2026-27 and was issued under Section 73(3) of the CGST Act, 2017. It pertains to GST liabilities for the financial year 2022-23.
Alleged Violations
The notice alleges misclassification of HSN code for the company's product "Fried Fryms." The authorities have advised the company to pay a sum of ₹16,55,65,440 (Sixteen Crore Fifty-Five Lakh Sixty-Five Thousand Four Hundred Forty Rupees), which represents the differential GST liability.
Legal Context and Impact Assessment
The company has previously filed Writ Petitions before the Hon'ble High Court of Gujarat against similar SCNs for the period FY2017-18 to FY2021-22. The court has granted stays on these notices, which will remain in effect until the matter is decided.
The company states that there is no impact on financial, operational, or other activities due to this intimation of tax being payable. The company will challenge the current SCN for FY2022-23 by filing its reply/submissions before the relevant authorities and seek similar legal protection.
Future Disclosures
The company commits to updating stock exchanges of any material developments in this matter in the future.