Camlin Fine Sciences Responds to BSE Query on Increased Trading Volume

Camlin Fine Sciences Limited has issued a formal response to BSE Limited regarding a surveillance inquiry about increased trading volume in the company's shares. The response, dated January 8, 2026, addresses concerns raised by the stock exchange's surveillance department.

Company's Regulatory Compliance Position

The company emphasized its commitment to regulatory transparency, stating that it has consistently informed stock exchanges about all relevant events and information as mandated under Regulation 30 of the SEBI (LODR) Regulations, 2015. These disclosures cover events that may impact the company's operations or performance.

Parameter	Details
Query Date	January 8, 2026
BSE Scrip Code	532834
Regulation Reference	SEBI (LODR) Regulations, 2015 - Regulation 30
Signatory	Rahul Sawale, Company Secretary & VP Legal

Response to Volume Inquiry

Camlin Fine Sciences clarified its position regarding the ability to comment on share price and volume movements. The company stated that since its equity shares are freely traded on stock exchanges, it cannot provide commentary on the movement in price or volume of its equity shares.

Key Communication Details

The response was digitally signed by Rahul Sawale, who serves as Company Secretary and VP Legal for Camlin Fine Sciences Limited. The communication was addressed to BSE Limited's surveillance department at their Dalal Street office in Mumbai.

Regulatory Framework Context

The inquiry falls under standard stock exchange surveillance procedures, where exchanges monitor unusual trading patterns and seek clarifications from listed companies. Companies are required to disclose material information that could affect their share prices, but they typically cannot comment on market-driven trading activities beyond their control.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-1.21%	+4.07%	+4.86%	-48.88%	+13.47%	+26.65%

Camlin Fine Sciences Limited has received a demand order from tax authorities regarding alleged GST compliance issues totaling ₹48.59 lakh. The company disclosed this development on December 31, 2025, in compliance with SEBI listing regulations.

Order Details and Financial Impact

The Assistant Commissioner from the Office of CGST & Central Excise, Division-IV, Palghar Commissionerate issued the order on December 30, 2025. The demand encompasses multiple components of tax liability and penalties.

Component	Amount (₹)	Details
CGST	22,61,630	Ineligible Input Tax Credit
SGST	22,61,630	Ineligible Input Tax Credit
IGST	3,35,409	Ineligible Input Tax Credit
Total ITC Demand	48,58,669	Primary tax liability
Interest	To be calculated	Under Section 50(1)
Penalty	50% of demand	Under Section 122(2)(b)

Nature of Alleged Violations

The order was issued under Section 74(9) of the CGST Act, 2017, concerning Input Tax Credit discrepancies. The tax authorities identified issues related to short or non-reversal of ITC for exempted, nil-rated, and non-GST supplies during financial years 2018-19 and 2019-20.

The violations specifically pertain to:

Discrepancies between ITC reversals shown in GSTR-3B returns
Actual ITC required to be reversed as declared in GSTR-9 annual returns
Non-compliance with Rule 42 and Rule 43 of CGST Rules, 2017

Company's Response and Business Impact

Camlin Fine Sciences has clarified that the tax demand will not materially impact its financial, operational, or other business activities. The company has examined the order thoroughly and is in the process of filing an appeal against the decision.

The disclosure was made pursuant to Regulation 30 and Schedule III of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015, ensuring transparency with stakeholders regarding regulatory developments.

Next Steps

The company is preparing its legal response to challenge the order through the appropriate appellate channels. This approach indicates management's confidence in defending against the alleged violations and protecting shareholder interests.