Praveg Limited has received a show cause notice from the Goods and Services Tax (GST) authorities regarding alleged wrongful availment of input tax credit worth INR 19,10,758 for the financial year 2020-21. The company disclosed this development in compliance with SEBI regulations on April 7, 2026.

GST Notice Details

The show cause notice, dated March 26, 2026, was issued under Section 74(1) of the Central Goods and Services Tax Act, 2017, read with applicable provisions of the Gujarat Goods and Services Tax Act, 2017. The company received the notice via email on April 7, 2026.

Alleged Violations

The GST authorities have alleged that Praveg Limited wrongly availed and utilized input tax credit based on invoices issued by certain suppliers whose GST registrations were cancelled, including cases of cancellation ab-initio. According to the show cause notice, such input tax credit is considered inadmissible under Section 16 of the CGST Act, 2017.

The specific allegations include:

• Non-fulfillment of conditions prescribed under Section 16(2)(a) and 16(2)(c)
• Non-payment of tax by the suppliers to the government
• Failure to reverse ineligible input tax credit within prescribed time, contravening Section 39(7) of the CGST Act, 2017
• Alleged contravention of Section 50 of the CGST Act, 2017 regarding non-payment of applicable interest

Company's Response and Impact Assessment

Praveg Limited stated that it believes it has complied with applicable GST laws and regulations and has adequate grounds to substantiate its position. The company is currently preparing a suitable response to be filed within the prescribed timelines.

Financial Implications

The total amount involved in the show cause notice is INR 19,10,758, plus applicable interest and penalty as may be determined by the authorities. However, the company has assessed that it does not foresee any immediate material impact on its financials, operations, or other activities while the matter is under review.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, ensuring transparency with stakeholders regarding this regulatory development.

Praveg Limited has officially disclosed the voting results for its postal ballot conducted under Regulation 44 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company submitted the comprehensive voting results to BSE Limited, confirming shareholders' overwhelming approval for all three proposed special resolutions.

Postal Ballot Process Overview

The postal ballot was conducted entirely through remote e-voting, with the voting period running from February 21, 2026, to March 22, 2026. The company's total outstanding shares stood at 26140695, with 13480719 votes polled, representing a participation rate of 51.57%.

Resolution 1: Loan and Guarantee Authorization

Shareholders approved the special resolution authorizing the company to advance loans, provide guarantees, and securities to Praveg Safaris Tanzania Limited under Section 185 of the Companies Act, 2013. This resolution received exceptional support with 99.94% votes in favor.

Resolution 2: Leadership Appointment

The change in designation cum appointment of Mr. Vishnukumar Vitthaldas Patel (DIN: 02011649) as Chairman and Managing Director was approved with 99.94% support. This resolution involved both a change in designation and appointment to the top leadership position.

Resolution 3: Director Redesignation

Shareholders approved the change in designation of Ms. Bijal Kiran Parikh (DIN: 07027983) from Executive Director to Non-Executive Director with 99.84% support. This resolution received slightly more opposition compared to the other two resolutions but still maintained overwhelming approval.

Regulatory Compliance and Scrutinizer Validation

The postal ballot process was scrutinized by M/s. ALAP & CO. LLP, Practicing Company Secretaries, who confirmed that all resolutions met the requirements under Section 114(2) of the Companies Act, 2013. The scrutinizer's report validated the fairness and transparency of the remote e-voting process conducted through NSDL's platform. Company Secretary Mukesh Chaudhary signed the disclosure letter submitted to BSE Limited, ensuring compliance with regulatory requirements. No invalid votes were recorded across any of the three resolutions, indicating the effectiveness of the electronic voting system.