Sayaji Hotels (Indore) Limited has received a substantial penalty order from the Indore Municipal Corporation (IMC) regarding property tax assessment violations. The company disclosed this development to BSE Limited on March 17, 2026, in compliance with regulatory requirements under SEBI Listing Regulations.

Penalty Details and Timeline

The Commissioner of Indore Municipal Corporation imposed a penalty of ₹32,69,780 on the company under the provisions of the Madhya Pradesh Municipal Corporation Act, 1956. The order was originally passed on March 6, 2026, but was received by the company on March 16, 2026.

Nature of Violation

The penalty order pertains specifically to property tax assessment issues. The Indore Municipal Corporation has classified this as a case involving tax assessment violations, leading to the substantial financial penalty imposed on the hospitality company.

Company's Response and Legal Action

Sayaji Hotels (Indore) Limited has announced its intention to challenge the penalty order through appropriate legal channels. The company stated it will take necessary legal action against the said order and committed to keeping the stock exchange informed of any further developments as required under regulatory obligations.

Financial Impact

The penalty of ₹32,69,780 represents a quantifiable monetary impact on the company's financial position. This amount will need to be accounted for in the company's financial planning, pending the outcome of any legal proceedings the company may initiate.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary and Compliance Officer Aaditya Kasera signed the regulatory filing, ensuring proper compliance with stock exchange notification requirements.

Sayaji Hotels (Indore) Limited has successfully concluded its insolvency proceedings before the National Company Law Tribunal (NCLT) Indore Bench. The Hon'ble NCLT disposed of the petition filed under Section 9 of the Insolvency and Bankruptcy Code, 2016, on March 11, 2026, following an amicable settlement between the parties.

Case Background and Resolution

The insolvency petition was originally filed by Ujaas Energy Limited as the operational creditor against Sayaji Hotels (Indore) Limited as the corporate debtor. The case was registered as CP(IB)/60(MP)2025 before the NCLT Indore Bench. Following negotiations between both parties, a settlement agreement was reached, leading to the resolution of the dispute.

NCLT Proceedings and Timeline

The matter was heard and reserved for orders on February 18, 2026. Ujaas Energy Limited filed an application for withdrawal of the main petition on February 27, 2026, which was processed as IA/131(MP)/2026. The NCLT accepted this withdrawal application and disposed of it on March 09, 2026, after both parties confirmed that the matter had been amicably settled.

The final order was pronounced on March 11, 2026, by the Hon'ble Members Brajendra Mani Tripathi (Judicial) and Man Mohan Gupta (Technical). The company received the disposal order on March 14, 2026, and promptly informed the BSE about the conclusion of proceedings.

Regulatory Compliance and Disclosure

Sayaji Hotels (Indore) Limited maintained transparency throughout the process by providing regular updates to the stock exchange. The company had previously submitted intimations to BSE on August 21, 2025, February 27, 2026, and February 28, 2026, regarding the ongoing proceedings.

Case Conclusion

With the NCLT's acceptance of the withdrawal application and the disposal of the main petition, all proceedings initiated under Section 9 of the Insolvency and Bankruptcy Code, 2016, have been concluded. The settlement demonstrates the company's ability to resolve disputes through negotiation and maintain its operational continuity. The matter now stands fully resolved with no further legal proceedings pending in this regard.