NSE/BSE Codes: BSE: 502175, NSE: SAURASHCEM

Summary of Key Information:

Nature of Event / Disclosure:

Regulatory disclosure under SEBI Listing Obligations and Disclosure Requirements Regulations, 2015 (Regulation 30) regarding receipt of Show Cause Notice from GST authorities.

Involved Parties / Authorities:

  • Office of the Assistant Commissioner of State Tax, Unit-87, B/H Mamlatdar Office, Rajendra Bhuvan Road Veraval, Gir Somnath-362265
  • Gujarat Siddhee Cement Limited (merged with Saurashtra Cement Limited)
  • National Company Law Tribunal, Ahmedabad Bench

Date / Timeline of Event:

  • Show Cause Notice received: Disclosed on August 25, 2026
  • Hearing date: September 18, 2026
  • Reply submission deadline: September 25, 2026
  • Audit period covered: 2020-21
  • NCLT merger order date: March 16, 2023

Brief Description of Outcome / Dispute:

Saurashtra Cement Limited received a Show Cause Notice under Section 74 of the Central Goods Services Tax Act, 2017 and Gujarat Goods and Services Tax Act, 2017. The notice alleges short payment of GST on Royalty/DMF/NMET (District Mineral Foundation/National Mineral Exploration Trust) payments. The notice stems from a Performance Audit on "Assessment, Levy and Collection of GST on Minerals" for the period 2020-21.

Impact of Outcome:

Financial Impact:

The total demand amounts to ₹29,47,85,060 (Rupees Twenty-Nine Crore Forty-Seven Lakhs Eighty-Five Thousand Sixty Only) towards tax, interest, and penalty. The company states that based on their assessment, the demand is not maintainable and they do not envisage any relevant impact on the financial, operations, or other activities of the Company.

Operational / Business / Strategic Impact:

No material operational or business impact disclosed. The company is evaluating the matter and will submit its reply within the prescribed time period.

Other Implications:

The disclosure is made in compliance with SEBI LODR Regulations requirements. The matter relates to Gujarat Siddhee Cement Limited, which was merged with Saurashtra Cement Limited pursuant to the NCLT Ahmedabad Bench order dated March 16, 2023.

Next Steps / Required Actions:

  • The company is evaluating the matter
  • Will submit reply to the Assistant Commissioner of State Tax, Unit-87 Veraval by September 25, 2026
  • Hearing scheduled for September 18, 2026