Finolex Cables Limited has received a GST demand order from tax authorities for FY 2018-19, with the company disclosing the development to stock exchanges on January 3, 2026. The order was issued by the Superintendent (Vertical-3), CGST and Central Excise, Division-III, Indore, Madhya Pradesh, and received by the company via email on January 2, 2026.

Nature of GST Demand

The demand stems from a Show Cause Notice issued for mismatch of E-way bills and GST Returns for FY 2018-19. The tax authorities have alleged that the company has not paid GST on outward supply mentioned in these E-way Bills. The Superintendent, CGST has confirmed the demand under the Show Cause Notice.

Financial Impact Details

The total GST demand and penalty details are outlined below:

The company has assessed that this demand will not have a major impact on its operations, given the relatively modest amount involved.

Legal Recourse Available

Finolex Cables has the option to file an appeal before the Appellate Authority against this order. The company made this disclosure pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Regulatory Compliance

The disclosure was made in compliance with SEBI Listing Regulations and SEBI Circular reference SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023. The company has informed both BSE Limited and National Stock Exchange of India Limited about the order through proper regulatory channels.

This development represents a routine tax matter for the cable manufacturing company, with the financial exposure being limited and manageable within the company's operational framework.

Finolex Cables Limited has received a CGST order with a tax demand of ₹15.19 lakhs, as disclosed to the stock exchanges under Regulation 30 of SEBI Listing Regulations. The order was issued by the Superintendent AR – IV, Division – VII, CGST Ahmedabad, Gujarat, dated December 24, 2025, and received by the company on December 30, 2025.

Tax Demand Details

The CGST order confirms the demand under a Show Cause Notice related to Input Tax Credit (ITC) availed by the company during specific financial years. The total demand comprises tax and interest components as detailed below:

Nature of Allegations

The tax authorities have alleged that GST credit taken by the company is not available in GSTR-2A. The Show Cause Notice was issued for ITC availed during the following periods:

• Financial Year 2018-19
• Financial Year 2019-20
• Financial Year 2022-23

The company received the order online through the GSTN portal on December 30, 2025, following the original order date of December 24, 2025.

Company's Position and Next Steps

Finolex Cables has stated that the tax demand of ₹15.19 lakhs will not have a major impact on the company's operations. The company retains the option to file an appeal before the Appellate Authority against this order.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Sub-Para 20 of Para A, Part A of Schedule III of the SEBI Listing Regulations. The company has also complied with the requirements of SEBI Circular SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023, by providing detailed information about the tax order in the annexure to its disclosure.