Date: June 18, 2026

Regulatory Compliance Disclosure

GST Demand Order Details

  • The company received an Order in Form GST DRC-07 dated June 18, 2026, from the Office of the Assistant Commissioner of State Tax, Investigation - B, Mumbai
  • The order pertains to Veer Savarkar Projects Private Limited, which was merged with Sri Lotus Developers and Realty Limited pursuant to the order of the Hon'ble Regional Director, Western Region, dated October 30, 2024
  • The demand covers financial years 2020-21, 2021-22, and 2023-24
  • The order was issued under Section 74 of the Central Goods and Services Tax (CGST) Act, 2017 and the Maharashtra Goods and Services Tax (MGST) Act, 2017
  • This order follows a Show Cause Notice dated April 28, 2026, which was previously reported to the stock exchanges

Financial Implications

  • Total demand breakdown by financial year (all amounts in Indian Rupees):

FY 2020-21:

  • CGST Tax: ₹3,44,696
  • SGST Tax: ₹3,44,696
  • CGST Interest: ₹3,03,937
  • SGST Interest: ₹3,03,937
  • CGST Penalty: ₹3,44,696
  • SGST Penalty: ₹3,44,696

FY 2021-22:

  • CGST Tax: ₹1,79,17,983
  • SGST Tax: ₹1,79,17,983
  • CGST Interest: ₹1,31,25,777
  • SGST Interest: ₹1,31,25,777
  • CGST Penalty: ₹1,79,17,983
  • SGST Penalty: ₹1,79,17,983

FY 2023-24:

  • CGST Tax: ₹27,976
  • SGST Tax: ₹27,976
  • CGST Interest: ₹9,133
  • SGST Interest: ₹9,133
  • CGST Penalty: ₹27,976
  • SGST Penalty: ₹27,976
  • The company states it has already paid the tax component of the aforementioned liabilities under protest
  • The company indicates there is no material impact on financials, operations or other activities due to this order

Company Response and Action Plan

  • The company believes the demand is not tenable
  • The company is in the process of filing an appeal with the Appellate Authority within the prescribed timeline
  • The appeal will include all necessary information, supporting documents and representations contesting the demand and claims raised