Oriental Aromatics received a revised ESG rating of Crisil ESG 56 for FY26, up from the previous rating of Crisil ESG 51. The upgrade was assigned by Crisil ESG Ratings & Analytics Limited based on public disclosures.

The rating agency communicated the revision to the company via email on September 2, 2026. Oriental Aromatics disclosed the development in a filing with stock exchanges on September 3, 2026.

Rating Methodology

Crisil is a SEBI registered Category-I ESG Ratings Provider. The agency assigned the rating independently without engaging the company for the assessment. The evaluation relied on public disclosures and other publicly available data to gauge performance on environmental, social, and governance parameters.

Regulatory Disclosure

The company made the disclosure pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates timely communication of material events to stock exchanges.

The information has been uploaded to the company’s website for investor reference.

Oriental Aromatics received a show cause-cum-demand notice from the Central GST and Central Excise, Vadodara, regarding transactions with a vendor classified as non-existent.

The company disclosed the receipt of the notice under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, on August 27, 2026. The communication was received via email on August 26, 2026.

Regulatory Action Details

The notice, bearing number Vad-1/Prev/SCN/51/Oriental/2026-27/Gr.E, was issued by the Office of the Principal Commissioner, Central GST and Central Excise, Vadodara-I. It is issued under Section 74 of the Central Goods and Services Tax Act, 2017.

The authority seeks details and clarifications concerning transactions undertaken with a specific vendor during the period from April 1, 2020, to March 31, 2025. The department’s investigation concluded that the vendor, whose GST registration was suspended, is a non-existent supplier.

Financial Implications

The notice proposes the recovery of Input Tax Credit (ITC) of ₹95,68,533 along with applicable interest and penalty under Section 74(1) of the CGST Act, 2017. Additionally, it proposes a penalty under Section 122(i) regarding ITC of ₹15,962 allegedly passed on to the non-existent supplier.

Oriental Aromatics stated that no financial liability has crystallized at this stage. The company is evaluating the transactions and will submit its response within prescribed timelines. Any potential liability will depend on the outcome of the proceedings.

What the Numbers Show

The regulatory scrutiny spans five financial years, indicating a retrospective review of compliance rather than an isolated incident. The proposed recovery amount of ₹95.68 lakh is specific to the ITC claimed from the identified vendor, suggesting the issue is contained to this particular supply chain relationship rather than a systemic failure across all vendors.