SEDEMAG Mechatronics Limited has informed stock exchanges about receiving a penalty order of ₹74,93,508 from the Income Tax Department. The company disclosed this information on March 25, 2026, in compliance with SEBI Listing Regulations regarding mandatory disclosure of regulatory actions.

Penalty Details and Background

The penalty order was issued by the Assessment Unit, National Faceless Assessment Centre, Income Tax Department under Section 270A of the Income Tax Act, 1961. The company received the order via email on March 24, 2026, at 5:04 PM IST.

Nature of Violation

The penalty stems from the disallowance of weighted deduction related to expenditure incurred on the company's in-house R&D Unit. Specifically, the issue concerns:

• Disallowance under Section 35(2AB) of the Income Tax Act
• R&D Unit approved by Department of Scientific and Industrial Research (DSIR)
• Matter currently pending on merits before the Bombay High Court

Company's Response and Next Steps

SEDEMAG Mechatronics has announced its intention to challenge the penalty order through proper legal channels. The company's response includes:

• Filing an appeal before the appropriate appellate authority
• Seeking advice from tax advisors on the matter
• Expressing confidence in achieving a favorable outcome

Financial Impact Assessment

Despite the substantial penalty amount, the company has assessed that the order will not have any material financial impact. This assessment is based on:

• Company's evaluation of prevailing law
• Advice received from tax advisors
• Expectation of successful appeal outcome

The disclosure was made in accordance with Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, which mandates disclosure of regulatory actions against listed entities. The information has also been uploaded to the company's website at www.sedemac.com for public access.

SEDEMAG Mechatronics Limited has issued a correction to its regulatory filing with stock exchanges, addressing an inadvertent error in the designation of one of its Key Managerial Personnel. The correction was communicated to BSE Limited and National Stock Exchange of India Ltd on March 14, 2026.

Correction Details

The company clarified that Mr. Amit Arun Dixit's designation was incorrectly mentioned as Managing Director in its earlier disclosure, when his actual position is Joint Managing Director. This correction pertains to the company's disclosure submitted on March 11, 2026 to BSE Limited and March 12, 2026 to National Stock Exchange of India Ltd.

Updated Key Managerial Personnel List

The corrected list of Key Managerial Personnel authorized to determine materiality of events and make regulatory disclosures is as follows:

Regulatory Compliance

The correction was made pursuant to Regulation 30(5) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation governs the authorization of Key Managerial Personnel to determine the materiality of events or information and to make disclosures to stock exchanges under Regulation 30 of the SEBI Listing Regulations.

Company Information

The disclosure was signed by Mr. Prasad Rajendra Chavan, Company Secretary and Compliance Officer, and has been made available on the company's website at www.sedemac.com . SEDEMAG Mechatronics Limited, formerly known as SEDEMAG Mechatronics Private Limited, operates from its registered office and technical center in Pune, Maharashtra, with two manufacturing facilities in the region.