Lemon Tree Hotels Limited has disclosed receiving orders and challans from regulatory authorities totaling ₹16,736.00, as mandated under SEBI Regulation 30. The disclosure, made on December 31, 2025, follows a previous communication dated November 30, 2025.

Regulatory Orders Received

The company received orders from two separate authorities regarding different compliance matters. The disclosure provides detailed information about each order as required under SEBI regulations.

Nature of Violations

GST-Related Order

The larger order from the Gurugram tax authority pertains to short payment of Service Tax on abated value of service charge collected from customers. The order amount of ₹11,736.00 includes tax, interest, and penalty components for the financial year 2018-19.

Waste Management Violation

The Municipal Corporation Chandigarh issued a challan for ₹5,000.00 related to failure to deal with construction and demolition waste in accordance with Solid Waste Management Rules. This represents a current operational compliance issue.

Financial Impact Assessment

Lemon Tree Hotels stated that there is no material impact on financial operations except to the extent of the amounts specified in the orders. The total financial exposure from both orders amounts to ₹16,736.00, which the company considers non-material to its overall operations.

Regulatory Compliance

The disclosure was made in compliance with SEBI regulations, specifically Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company referenced recent SEBI circulars dated November 11, 2024, and December 31, 2024, in making this disclosure.

The disclosure was signed by Pawan Kumar Kumawat, Company Secretary and Compliance Officer, ensuring proper corporate governance protocols were followed in the communication to stock exchanges.

Lemon Tree Hotels has strengthened its footprint in Andhra Pradesh with the addition of Lemon Tree Suites Tirupati, marking a significant expansion in the southern region. The new property operates under a management model and adds substantial accommodation capacity to the company's growing portfolio.

Property Details

The Tirupati addition brings key specifications that enhance the company's presence in this important pilgrimage destination:

Strategic Market Position

The expansion into Tirupati represents a strategic move for Lemon Tree Hotels, positioning the company in one of India's most significant religious tourism destinations. Tirupati attracts millions of pilgrims annually, creating consistent demand for quality accommodation services. The management model approach allows the company to expand its brand presence while maintaining operational control without significant capital investment.

Regional Growth Strategy

This addition to the Andhra Pradesh market demonstrates the company's commitment to expanding its presence across key tourist and business destinations in southern India. The 228-key property significantly increases the company's room inventory in the region, providing enhanced capacity to serve the growing hospitality demand in this important pilgrimage center.

The new Lemon Tree Suites in Tirupati further solidifies the company's presence in Andhra Pradesh, adding to its portfolio of properties in the state. This expansion aligns with Lemon Tree Hotels' strategy to strengthen its foothold in key markets and cater to the diverse needs of travelers, whether for religious, business, or leisure purposes.