Nature of the Disclosure
This is a regulatory disclosure made by United Breweries Limited (Scrip Code: 532478, Symbol: UBL) under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The disclosure pertains to the receipt of a significant demand notice from a government authority.
Key Quantitative Figures
The company has received a demand notice totaling ₹116,25,28,199 (One Thousand One Hundred Sixty Two Crore Fifty Two Lakh Eighty One Thousand One Hundred Ninety Nine Rupees). The detailed breakdown of this amount is as follows:
- Market Fee: ₹9,34,63,851
- Penalty: ₹93,46,38,510
- Rural Development Fund (RDF): ₹9,34,63,851
- Interest on RDF (up to June 30, 2026): ₹4,09,61,987
Parties Involved
- Listed Entity: United Breweries Limited
- Issuing Authority: Assessing Authority-cum-Secretary, Market Committee, Patiala
- Company Representative: Nikhil Malpani, Company Secretary & Compliance Officer
Details of the Alleged Violation
The Assessing Authority alleges that United Breweries Limited purchased, stored, and processed barley within the notified area of the Market Committee, Patiala, during the six-year period from April 2020 to March 2026. The authority contends that the company failed to deposit the applicable Market Fee and Rural Development Fund (RDF) on these transactions. A key point of the allegation is that barley brought into Punjab from outside the state is deemed to have been purchased or sold within the notified market area, making it liable for these fees.
Financial and Operational Impact
Based on its initial assessment, the company expects that the financial impact, if any, will be limited to the amount demanded under the notice (₹1162.53 crore). The disclosure states that the impact is quantifiable and limited to this monetary demand.
Company's Response and Rationale
The company is challenging the assessment order and demand notice before the appropriate forum. It considers the order to be "arbitrary, factually and legally incorrect." The company states it will continue to uphold the highest standards of compliance, governance, and business conduct.