Key Quantitative Figures

  • Original penalty amount: ₹9,89,064
  • Refund amount: ₹10,81,413
  • Tax component: ₹9,89,064
  • Interest component: ₹92,349
  • Penalty waived: ₹9,89,064

Timeline of Events

  • December 30, 2024: Received Demand Order from Karnataka GST Department
  • December 24, 2024: Date of Invoice No. 118293 and E-Way Bill No. 162008896389
  • September 5, 2026: Refund Order issued by Joint Commissioner of LGSTO 38, Bengaluru
  • September 7, 2026: Refund Order received by Company at 9:00 am
  • September 7, 2026: Date of this disclosure letter

Parties Involved

  • Regulatory Authority: Karnataka GST Department, specifically the Joint Commissioner of the LGSTO 38 in Bengaluru

Legal and Regulatory References

  • Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
  • SEBI circular SEBI/HO/CFD/CFDPoD-1/P/CIR/2023/123 dated 13th July 2023
  • Section 129(3) of the SGST Act/Rules, 2017
  • Financial Year 2024-25

Details of the Case

The dispute originated from a discrepancy involving E-Way Bill No. 162008896389 and Invoice No. 118293, dated December 24, 2024. The Karnataka GST Department issued a Demand Order on December 30, 2024, imposing a penalty of ₹9,89,064 under Section 129(3) of the SGST Act/Rules, 2017.

The Company filed an appeal against this demand along with necessary supporting documents within the required timeframe. The Joint Commissioner reviewed the submission and issued a Refund Order that:

  • Waived the entire penalty amount of ₹9,89,064
  • Ordered a refund of ₹10,81,413 comprising:
  • Tax amount: ₹9,89,064
  • Interest amount: ₹92,349

Outcome

The original Demand Order stands annulled as a result of this Refund Order. The matter has been resolved in the Company's favor with a net positive financial impact of ₹10,81,413.

Financial Impact

The disclosure confirms a positive financial impact of ₹10,81,413, representing the refund amount to be received by the Company.