Diligent Media Corporation received a show cause cum demand notice from the GST authority on August 31, 2026, proposing a recovery of ₹1.08 crore.

The notice was issued by the Assistant Commissioner, Anti-Evasion, CGST & CX, Mumbai Central Commissionerate. It pertains to input tax credit (ITC) availed by the company in respect of business transactions with a vendor whose GST registration was cancelled ab initio.

Notice Details

The authority invoked Section 74 of the CGST Act, 2017, read with corresponding provisions of the IGST and MGST Acts. The demand comprises two primary components:

• Recovery of ₹1.08 crore towards ITC availed by the company for FY22.
• An additional tax demand of ₹4,90,164 towards short-payment of outward tax liability for FY21.

The notice also includes applicable interest and penalty charges alongside the principal tax demands.

Company Response

Diligent Media stated that the SCN seeks clarification regarding the eligibility and entitlement to avail the aforementioned ITC. The company is currently seeking appropriate legal advice. It intends to challenge the proposed demand before the appropriate appellate authority or forum as advised.

Financial Impact

The company disclosed that except for the amounts mentioned in the notice, there is no other impact on its financial or operational activities. The potential liability remains contingent upon the final outcome of the legal proceedings.

Diligent Media Corporation promoter Primat Infrapower & Multiventures Private Limited has declared that no new encumbrances have been created on its equity holdings as of March 31, 2026. The entity, which holds 5,909 equity shares constituting 0.01% of the company’s total share capital, confirmed the absence of any direct or indirect charges on these shares during the financial year 2025-26, other than those previously disclosed. This status update provides clarity on the promoter’s pledge position, a key metric monitored by investors for assessing liquidity risk and control stability within the corporate structure.

The disclosure was submitted to BSE Limited and National Stock Exchange of India Limited on April 6, 2026, in compliance with Regulation 31(4) of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The filing was executed by Sachin Shrinivas Bhattad, Authorised Director of Stress Credit Resolution Private Limited, who serves as the Resolution Professional and Insolvency Professional for Primat Infrapower & Multiventures Private Limited.

Shareholding and Regulatory Context

Primat Infrapower & Multiventures Private Limited is identified as one of the promoters of Diligent Media Corporation Limited. Under the SEBI Takeover Regulations, substantial shareholders and promoters are required to disclose any encumbrance on their shares to ensure transparency regarding potential changes in beneficial ownership or security interests held by third parties. The specific reference to Regulation 31(4) mandates that such disclosures be made promptly to the stock exchanges where the securities are listed.

The declaration explicitly states that no encumbrances were made directly or indirectly during the financial year 2025-26, excluding those already in the public domain. This confirms that the promoter’s stake remains free from fresh pledges or liens as of the reporting date. Stress Credit Resolution Private Limited, holding registration number IBBI/IPE-0094/IPA-3/2023-24/50059 valid up to December 31, 2026, facilitated the communication from its Mumbai office at Ghatkopar (East).

What the Numbers Show

The minimal stake size of 0.01% suggests that Primat Infrapower & Multiventures Private Limited holds a nominal or residual interest in Diligent Media Corporation Limited, likely retained post-restructuring or insolvency resolution processes given the involvement of an Insolvency Professional. The absence of new encumbrances on such a small fraction of equity indicates no immediate pressure on this specific promoter entity to leverage its remaining stake for funding. For investors, the confirmation of no new pledges reinforces the stability of the disclosed ownership structure, ensuring that there are no hidden liabilities attached to this promoter’s shares that could trigger forced sales or transfer of control events in the near term.