Indo euro indchem Limited has received a GST demand order from tax authorities and subsequently provided clarification to BSE Limited regarding the delayed disclosure of this regulatory development. The chemical company initially disclosed the GST demand order on April 15, 2026, and responded to BSE's query about the delayed submission on April 16, 2026.

GST Demand Order Details

The demand order was issued by the office of Assistant Commissioner of Central GST & Central Excise, Division-I, Mumbai Central Commissionerate, and was received by the company on March 13, 2026. The order pertains to alleged violations under the CGST Act, 2017, along with corresponding sections under Maharashtra SGST Act, 2017 and IGST Act 2017.

Alleged Violations and Financial Impact

The GST authorities have alleged that the company fraudulently availed Input Tax Credit (ITC) through inward supplies supported by fake or bogus e-way bills. The financial implications include both the alleged ITC amount and substantial penalties.

The penalty has been imposed on account of alleged suppression of facts and resultant availment of inadmissible ITC through the generation of fake invoices and e-way bills.

BSE Query Response and Disclosure Timeline

BSE Limited questioned the company about the delayed submission of the corporate announcement under Regulation 30 of SEBI (LODR) Regulations, 2015. In response, Managing Director Vardhman Shah clarified that the delay occurred due to internal review processes.

Key reasons for the delayed disclosure include:

• Internal review by company management and GST team to determine prima facie substance
• Assessment of the amount involved in the matter
• Consultation with tax consultants for appropriate legal strategy
• Time required due to the matter being related to past transactions

The company emphasized that the required details were submitted in accordance with SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, and provided comprehensive information in Annexure A of their response.

Company's Defense Strategy

Based on advice from tax consultants, Indo Euro Indchem has decided to contest the order through appropriate legal channels. The company's response strategy includes:

• Filing appropriate response within prescribed timelines
• Defending the matter before appropriate appellate authority
• Pursuing suitable legal remedies through proper channels
• Treating the financial impact as contingent liability

Operational Impact Assessment

According to the company's disclosure, there is no impact on operations and other activities due to this order. The financial impact has been classified as a contingent liability, indicating the company's confidence in its defense strategy. The management emphasized that normal business operations continue unaffected while the legal proceedings are pursued through appropriate channels.

Indo euro indchem Limited has submitted its quarterly compliance certificate to BSE Limited, fulfilling regulatory requirements under SEBI (Depositories and Participants) Regulations, 2018. The certificate covers the quarter ended March 31, 2026, and was filed on April 15, 2026.

Regulatory Compliance Details

The certificate was issued under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018, which mandates specific compliance requirements for listed companies regarding dematerialization processes. The document confirms that all securities received from depository participants for dematerialization during March 2026 were properly processed within prescribed timelines.

Certificate Issuance and Verification

Purva Shareregistry (I) Pvt. Ltd., serving as the company's Registrar and Share Transfer Agent, issued the compliance certificate. The RTA confirmed that securities received for dematerialization were properly accepted or rejected, and that all security certificates were mutilated and cancelled after due verification by depository participants.

The certificate also confirms that depositories' names were substituted in the register of members as registered owners within the prescribed timelines, ensuring full compliance with regulatory requirements.

Corporate Governance

Managing Director Vardhman Shah, holding DIN 00334194, signed and submitted the certificate to BSE Limited's Department of Corporate Services. The submission included digital signatures and proper authentication, demonstrating the company's commitment to maintaining transparent corporate governance practices.

The filing represents routine compliance with SEBI regulations, ensuring that Indo Euro Indchem Limited maintains its good standing with regulatory authorities and continues to meet all mandatory disclosure requirements for the quarter ended March 31, 2026.