Manali Petrochemicals has informed stock exchanges about receiving a significant court order regarding ongoing legal proceedings. The company received the order on 31st March 2026, which was dated 25th March 2026 from the Hon'ble Madras High Court that disposes of multiple writ petitions related to wage revision and service conditions.

Court Order Details

The Madras High Court order addresses three writ petitions filed by the company challenging awards from the Industrial Tribunal, Chennai:

Background of Legal Proceedings

The writ petitions were filed to challenge awards passed by the Industrial Tribunal, Chennai in two specific cases dealing with employment matters affecting the company's workforce:

Company's Response and Assessment

Manali Petrochemicals has indicated that it is currently evaluating the implications of the court order in consultation with its legal counsel. The company's official communication to stock exchanges outlined its approach:

• Assessment of financial implications with legal advisors
• Evaluation of legal ramifications of the court order
• Commitment to take appropriate steps as advised by legal experts
• Promise to keep stock exchanges informed of material developments

Regulatory Compliance

The disclosure was made under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's communication referenced SEBI circular HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026.

The company has assured stakeholders that it will continue to provide updates on any further material developments related to this legal matter as the situation evolves.

Manali Petrochemicals Limited has secured a significant legal victory with the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) ruling in its favor, setting aside a customs duty demand of Rs 3.83 crore plus interest on quicklime imports. The company received the final order on April 1st and has formally notified stock exchanges under Regulation 30 of SEBI Listing Regulations.

CESTAT Ruling Details

The tribunal's final order dated March 23rd allowed the appeal filed by Manali Petrochemicals against the Directorate of Revenue Intelligence (DRI), Mumbai's adjudicating authority order from July 2019. The original dispute centered on the classification of imported quicklime products.

Classification Dispute Resolution

The core issue involved the proper classification of quicklime imports under the Customs Tariff Index (CTI). The DRI had alleged misclassification, claiming the products should fall under CTI 2825 9090 instead of CTI 2522 1000 as declared by the company.

The tribunal's decision was based on technical specifications of the imported goods:

Tribunal's Reasoning

CESTAT upheld the company's original classification under CTI 2522 1000, determining that the calcium oxide purity of the imported goods ranged between 91% and 95%. This purity level falls below the 98% threshold required for classification under CTI 2825 9090, supporting the company's position and setting aside the entire demand.

Regulatory Compliance and Financial Impact

The company has formally communicated this development to BSE and NSE under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. Company Secretary G Sri Vignesh signed the official intimation on April 2nd.

The company is currently assessing the financial impact of writing back the provision made for this contingency. Manali Petrochemicals has committed to taking appropriate steps as applicable and will keep the stock exchanges informed of any further material developments in this matter.

This favorable ruling eliminates a significant contingent liability for the company and validates its import classification practices for quicklime products.