Vakrangee Limited has received a GST demand order of Rs. 25.17 lakh from tax authorities in Mumbai, the company disclosed in a regulatory filing dated March 31, 2026. The demand order was issued by the Office of the Assistant Commissioner of CGST & Central Excise, Mumbai on March 30, 2026.

GST Demand Breakdown

The total demand of Rs. 25.17 lakh comprises equal components of central and state GST liabilities:

The order was passed under Section 122(1)(ii) of the CGST Act, 2017, read with similar provisions under MGST Act, 2017 and Section 20 of the IGST Act, 2017.

Nature of Tax Violation

The GST demand stems from disallowance of Input Tax Credit claimed by the company. Input Tax Credit allows businesses to set off taxes paid on purchases against their output tax liability, and disallowance typically occurs when authorities find discrepancies in documentation or eligibility criteria.

Company's Response and Impact Assessment

Vakrangee has indicated that the GST demand will have no material impact on its financial, operational, or other business activities. The company maintains that the demand is not maintainable and has expressed its intention to challenge the order through appropriate legal channels.

Regulatory Compliance

The disclosure was made under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company filed the disclosure through its Company Secretary and Compliance Officer, Amit Gadgil, ensuring compliance with mandatory reporting requirements for material events that could impact investor interests.

Vakrangee is currently in the process of filing an appeal against the GST demand order, indicating the company's confidence in challenging the tax authorities' decision through the established appellate mechanism.

Vakrangee Limited has announced a strategic partnership with Bajaj General Insurance Limited to expand its insurance service offerings across its extensive network. The collaboration, formalized through a corporate agency arrangement, represents a significant step in enhancing financial inclusion across India's underserved markets.

Partnership Details and Service Expansion

Under the new arrangement, Vakrangee will leverage its IRDAI Corporate Agency Registration No. CA0249 to distribute Bajaj General Insurance products through its network of Vakrangee Kendras. The partnership encompasses a comprehensive suite of general insurance products designed to serve diverse customer segments.

Strategic Focus on Financial Inclusion

The partnership specifically targets areas where formal financial services remain limited, with a significant emphasis on Tier 4 to Tier 6 geographies. This initiative is designed to bridge the accessibility gap in insurance services and enable millions of customers in remote locations to access general insurance solutions seamlessly.

Vedant Nandwana, Managing Director of Vakrangee Limited, emphasized the strategic importance of this collaboration: "We are pleased to collaborate with Bajaj General Insurance Company Limited, a well-established and respected player in the general insurance industry. This strategic engagement reinforces our efforts to deepen the reach of essential financial services across India."

Network Infrastructure and Service Integration

Vakrangee Kendras operate as exclusive branded outlets providing an integrated suite of services beyond insurance. The comprehensive service portfolio includes:

• Banking and financial services
• ATM services
• Assisted e-commerce
• E-governance solutions
• Healthcare services
• Logistics support

This multi-service approach positions Vakrangee Kendras as one-stop solutions for customers' daily needs, with the insurance partnership further strengthening the service ecosystem.

Company Background and Market Position

Incorporated in 1990, Vakrangee has established itself as one of India's largest Last Mile Distribution Platforms, operating both physical and digital ecosystems with pan-India presence. The company delivers real-time banking, financial services, insurance, e-governance, e-commerce, and logistics services to unserved rural, semi-urban, and urban markets.

Bajaj General Insurance Limited, formerly known as Bajaj Allianz General Insurance Company Limited, brings its comprehensive insurance product suite and strong ICRA AAA rating to the partnership. The company specializes in motor, health, travel, home, and specialized policies including cyber and pet insurance, with a focus on digitalization and customer-first solutions.