Shriram Finance Ltd. recorded a significant block trade on the National Stock Exchange (NSE), highlighting institutional activity in the stock. The transaction involved a substantial volume of shares and represents notable trading interest in the financial services company.

Block Trade Details

The block trade executed on NSE involved key parameters that demonstrate the scale of institutional participation:

Transaction Significance

Block trades are typically executed by institutional investors, mutual funds, or large stakeholders looking to buy or sell substantial quantities of shares. These transactions are conducted through special trading sessions to minimize the impact on regular market trading and price discovery.

The execution price of Rs. 1020.00 per share for this block trade provides insight into the institutional valuation of Shriram Finance shares. The substantial transaction value of Rs. 34.47 crores indicates significant institutional interest in the company's stock.

Market Impact

Such large-volume transactions often reflect institutional portfolio adjustments, strategic investments, or divestment decisions. The block trade mechanism allows for efficient execution of large orders while maintaining market stability and reducing potential price volatility that could result from executing such large volumes through regular trading sessions.

Shriram Finance Limited has received penalty orders from Tamil Nadu tax authorities totaling ₹1.56 crore for GST violations related to its erstwhile subsidiary. The company informed stock exchanges on January 28, 2026, about the penalties imposed by the Commercial Tax Officer, Chennai South, Tamil Nadu, under Regulation 30 of SEBI listing regulations.

Penalty Details and Breakdown

The penalties were imposed through an order dated January 27, 2026, covering two financial years related to erstwhile Shriram City Union Finance Limited, which was amalgamated with Shriram Finance effective April 1, 2022.

Nature of GST Violations

The penalties were imposed under Section 74 of the Central Goods and Service Tax Act, 2017, read with the Tamil Nadu Goods and Service Tax Act, 2017, and the Integrated Goods and Services Tax Act, 2017. The violations identified by tax authorities include:

• Disallowance of input tax credit taken on payment of Reverse Charge Mechanism (RCM)
• Credit note issues for both financial years

Both financial years faced identical violation categories, with the tax demand and penalty amounts being equal for each respective year.

Company's Response and Impact Assessment

Shriram Finance has stated that there is no material impact on the company's financial, operational, or other activities due to these penalty orders. However, the company has adopted a cautious approach given the quantum of amounts involved.

Regulatory Compliance and Next Steps

The company has fulfilled its disclosure obligations under SEBI regulations by promptly informing both BSE Limited and National Stock Exchange of India Limited about the penalty orders. Out of commercial prudence, Shriram Finance is awaiting opinion from its tax consultant regarding the Tamil Nadu state demand orders before determining its course of action.

The penalty orders relate to the pre-amalgamation period of Shriram City Union Finance Limited, highlighting the ongoing compliance obligations that companies face even after corporate restructuring events.