Indian Overseas Bank has received a significant income tax demand notice of ₹502.29 crore from tax authorities for Assessment Year 2017-18. The bank disclosed this development under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, indicating its commitment to transparency with stakeholders.

Tax Demand Details

The demand notice was issued under Section 156 of the Income Tax Act, 1961, by the office of the Deputy Commissioner of Income-tax, Non-Corporate Circle-8, Chennai. The notice pertains to re-computation of income and disallowances made with regard to claims in the bank's income tax returns for AY 2017-18.

Bank's Response Strategy

Indian Overseas Bank has outlined a clear strategy to contest the demand notice. The bank is in the process of filing an appeal before the appropriate forum against the disallowances and additions made in the order within prescribed timelines. The management expressed confidence in their position, citing precedence and orders of appellate authorities.

Key aspects of the bank's response include:

• Filing appeal within prescribed guidelines
• Challenging disallowances and additions made by tax authorities
• Leveraging precedence from appellate authority orders
• Maintaining that adequate factual and legal grounds exist to substantiate their position

Expected Financial Impact

Despite the substantial demand amount, Indian Overseas Bank expects no financial implications from this notice. The bank's management believes it will successfully dispute the entire demand based on strong factual and legal grounds. This confidence stems from their assessment of similar cases and precedent orders from appellate authorities.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015. The bank provided comprehensive details through Form A, covering all aspects of the communication received from tax authorities. This transparent approach demonstrates the bank's commitment to keeping investors and stakeholders informed about material developments.

The bank confirmed that no penalties, restrictions, or sanctions have been imposed pursuant to this communication, and the matter relates specifically to income computation disagreements rather than compliance violations.

Indian Overseas Bank has announced a significant change in its Board composition with the appointment of Mr Thomas Mathew as RBI Nominee Director. The appointment comes as part of the Central Government's nomination process under banking regulations and represents a key leadership transition for the public sector bank.

Board Appointment Details

The Central Government, exercising powers under the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, has nominated Mr Thomas Mathew to the Board of Indian Overseas Bank. The appointment was formalized through Notification F.No.6/3/2011-BO.I dated March 3rd, 2026.

Professional Background and Experience

Following the initial appointment disclosure, Indian Overseas Bank has submitted a comprehensive profile of Mr Thomas Mathew as required under SEBI regulations. Mr Mathew retired as Principal Chief General Manager of Reserve Bank of India at the end of November 2025, serving as Regional Director of RBI for Kerala and Lakshadweep at the time of retirement.

Regulatory Framework and Compliance

The nomination follows established procedures under clause (c) of sub-section (3) of section 9 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970. This is read in conjunction with sub-paragraph (1) of paragraph 3 of the Nationalised Banks (Management and Miscellaneous Provisions) Scheme, 1970.

The bank has made this disclosure in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015, with the detailed profile submitted as per SEBI Circular requirements dated January 30th, 2026.

Mr Mathew's extensive experience across various RBI departments including Currency Management, Clearing House, and Department of Banking Supervision positions him well for his oversight role at Indian Overseas Bank. The appointment reflects ongoing governance processes in public sector banks, where RBI nominee directors provide crucial strategic guidance and regulatory oversight.