Flair Writing Industries received a show cause notice for ₹26,27,665 from the State Tax Officer in Valsad, Gujarat. The notice pertains to GST scrutiny for the fiscal year 2022-23.

The company disclosed the receipt of the notice under Section 73 of the CGST Act, 2017, on August 31, 2026. This follows an earlier audit observation from the same period that cited a higher aggregate amount of ₹78,80,221.

Breakdown of Liability

The current quantified amount in the show cause notice comprises tax, interest, and penalty components. The detailed breakdown is as follows:

What the Numbers Show

The quantified liability has decreased significantly from the initial audit observation. The amount cited in the earlier audit observation was ₹78,80,221, whereas the current show cause notice aggregates to ₹26,27,665. This reduction suggests a narrowing of the disputed scope or adjustment in calculations during the scrutiny process.

Company Response

Flair Writing Industries stated it will submit its reply and pursue the matter on merits before the relevant authorities. The company asserted that there is no material impact on its financials, operations, or other activities.

Any financial impact will be limited to the final liability determined upon adjudication, comprising tax, interest, and penalty.

Flair Writing Industries shareholders approved all seven resolutions at its 10th Annual General Meeting on August 27, 2026, with voting support exceeding 99.9% for key items. The company appointed Price Waterhouse Chartered Accountants LLP as statutory auditor for five years and declared a final dividend of ₹0.50 per share.

The virtual meeting saw participation from 63 members via video conferencing, while remote e-voting remained open from August 24 to August 26, 2026. Scrutinizer Keshav Purohit of KPUB & Co confirmed that all resolutions were passed with the requisite majority under Section 108 of the Companies Act, 2013.

Voting Results Overview

The combined results of remote e-voting and e-voting conducted during the AGM reflect strong shareholder backing for the board’s proposals. Out of 50,558 shareholders on the cut-off date of August 19, 2026, 62 members voted in favour of the financial statements and auditor appointment.

Resolutions regarding the re-appointment of Mr. Mohit Khubilal Rathod and Mr. Sumit Vimalchand Rathod also passed with over 99.93% support. A small fraction of votes (approximately 0.06%) were cast against the re-appointment of Mr. Mohit Khubilal Rathod as director and whole-time director.

Auditor Appointment Details

Shareholders approved the appointment of Price Waterhouse Chartered Accountants LLP (PwC) as statutory auditors for a term of five years commencing from April 1, 2026. The tenure covers the period from the conclusion of the 10th AGM until the conclusion of the 15th AGM.

Key details of the appointment include:

• Tenure: Five consecutive years (April 1, 2026 to March 31, 2031).
• Scope: Statutory Audit for Flair Writing Industries Limited.
• Firm Profile: PwC has more than 125 Assurance Partners as of December 31, 2025, and holds a valid peer review certificate.
• Network: The firm is a member of Price Waterhouse & Affiliates, a network registered with the ICAI.

The firm, registered with the Institute of Chartered Accountants of India under Firm Registration No. 012754N/N500016, was established in 1991 and converted into a limited liability partnership in 2014. It operates from its registered office in New Delhi and maintains 17 branch offices across India.

Other AGM Resolutions

The virtual meeting, chaired by Chairman Mr. Khubilal Jugraj Rathod, transacted several other agenda items alongside the auditor appointment and dividend declaration:

• Adoption of standalone and consolidated audited financial statements for the year ended March 31, 2026.
• Declaration of a final dividend of ₹0.50 per equity share of face value ₹5 each.
• Re-appointment of Mr. Vimalchand Jugraj Rathod and Mr. Mohit Khubilal Rathod as directors retiring by rotation.
• Re-appointment of Mr. Mohit Khubilal Rathod and Mr. Sumit Vimalchand Rathod as Whole-time Directors for five years.

Governance and Compliance

Mr. Vishal Kishor Chanda, Company Secretary & Compliance Officer, confirmed that the meeting adhered to SEBI LODR Regulations and MCA circulars. E-voting remained open for 15 minutes post-meeting for remote participants who had not voted earlier.

Mr. Keshav Purohit of KPUB & Co was appointed as the scrutinizer to ensure fair voting processes. The results will be communicated to stock exchanges and the Registrar and Transfer Agent within two working days.