DCW Limited plans to contest a demand of ₹6.32 crore raised by the V.O. Chidambaranar Port Authority for interest and Goods and Services Tax (GST) on lease rent. The company received the communication, dated June 11, 2026, on June 16, 2026. The demand pertains to lease rent for the period from 2014 onwards up to April 30, 2026. DCW contends that the levy of interest is not authorized by a previous order passed by the Hon'ble High Court of Judicature at Madras.

The dispute stems from a Writ Petition (No. 20431 of 2014) filed by DCW challenging the revision in lease rent for periods between 2007 and 2014, and from 2014 onwards. On November 6, 2025, the High Court directed the company to pay ₹49,67,725 plus applicable GST for the 2007–2014 period in 24 equated monthly instalments. The court order stipulated that rent for the period from 2014 onwards would be determined and communicated by the Port Authority. However, the company asserts that the order does not permit the Port Authority to levy or recover interest.

Financial Implications

The Port Authority has demanded interest of ₹5,35,56,890 along with GST of ₹96,40,240, aggregating to ₹6,31,97,130. This amount is in addition to the lease rent of ₹3,64,01,370 (inclusive of GST) determined for the period from 2014 to April 30, 2026. DCW maintains that the demand for interest and GST is wholly unauthorised and untenable.

Legal Response and Disclosure

DCW stated that it will submit an appropriate reply or representation to the Port Authority to contest the demand. The company reserves all its rights and remedies available under the law. The disclosure was submitted to the exchanges under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company attributed a delay in disclosure to the time required for internal review and legal assessment of the demand.

DCW Limited has initiated the Second 100 days Campaign, titled Saksham Niveshak, to assist shareholders in claiming unpaid or unclaimed dividends and updating their KYC details. The campaign is effective from April 1, 2026, to July 9, 2026, following a circular dated March 27, 2026, issued by the Investor Education and Protection Fund Authority (IEPFA), Ministry of Corporate Affairs. This initiative targets all shareholders whose dividends have remained unpaid or unclaimed, aiming to facilitate proactive engagement and ensure the timely processing of entitlements.

The program focuses on several key objectives designed to safeguard shareholder investments. It enables the updation of KYC details, bank mandates, and contact information, alongside the verification of holdings to claim any outstanding dividends. A critical component of the campaign is the prevention of shares and dividends being transferred to the IEPFA due to prolonged inactivity.

Action Required for Shareholders

Shareholders are required to complete specific actions to ensure compliance and secure their entitlements. The company has outlined the following steps:

• Update KYC details, including Permanent Account Number and specimen signatures.
• Update Bank Mandates, specifically Bank Name, Branch Name & address, Bank Account Number, and IFSC Code.
• Update Nominee and Contact Information, such as postal address, email, and telephone numbers, against their folio or Demat Account.
• Verify if any dividend due is outstanding and claim the same.
• Verify holdings and claim any unpaid dividends or shares that may have already been transferred to IEPF.

Statutory Advisory and Contact

Under applicable statutory provisions, dividends that remain unclaimed for a period of seven consecutive years are liable to be transferred to the IEPFA, along with the corresponding underlying shares. The company strongly advises shareholders to utilize this campaign period to update their records and claim their dues to avoid such transfers.

For assistance or queries regarding shares or dividends, shareholders have been directed to contact the company's Registrar and Share Transfer Agent, M/s. Bigshare Services Private Limited. The communication was signed by Dilip Darji, Sr. General Manager (Legal) & Company Secretary, on behalf of DCW Limited.