Minda Corporation Limited has informed stock exchanges about a significant regulatory development affecting its material subsidiary. The company disclosed under Regulation 30 of SEBI Listing Regulations that Minda Instruments Limited (MIL) has received a substantial GST penalty order from Maharashtra tax authorities.

GST Penalty Details

The penalty order was issued by the Office of the Deputy Commissioner of State Tax, Pune North East, Maharashtra, confirming a total GST demand for the financial year 2021-22. The regulatory filing provides comprehensive details of the penalty structure:

Nature of Violations

The GST demand stems from specific compliance issues identified by the tax authorities during their assessment of Minda Instruments Limited's operations for FY 2021-22. The key violations cited in the order include:

• Classification Issues: Problems related to the proper classification of goods under GST provisions
• Excess ITC Claims: Allegations of claiming Input Tax Credit beyond permissible limits

These violations fall under the relevant provisions of the Central Goods and Services Tax (CGST) Act, 2017, and corresponding provisions of the Integrated Goods and Services Tax (IGST) Act.

Company's Response Strategy

Minda Corporation has outlined its approach to address this regulatory challenge. The company's management has expressed confidence in the merits of their case and plans to pursue legal remedies available under GST law.

Regulatory Compliance

The disclosure was made pursuant to Clause 20 of Para A of Part A of Schedule III of SEBI Listing Regulations, demonstrating the company's commitment to transparent communication with stakeholders. The intimation was signed by Company Secretary Pardeep Mann and filed with both NSE and BSE on January 6, 2026.

This development highlights the ongoing regulatory scrutiny faced by companies in the auto ancillaries sector, particularly regarding GST compliance and proper classification of manufactured goods. The company's proactive disclosure and planned appeal process reflect standard corporate governance practices in addressing such regulatory challenges.

Minda Corporation Limited has issued and allotted commercial paper worth ₹100.00 crores with a discount rate of 6.35% per annum, as disclosed under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company informed both the National Stock Exchange of India Limited and BSE Limited about this financial instrument issuance.

Commercial Paper Details

The commercial paper issuance carries specific terms and conditions. The securities have been structured with the following details:

Market Listing

The commercial paper has been listed on the National Stock Exchange of India Limited (NSE). This listing provides liquidity options for investors and ensures compliance with regulatory requirements for such financial instruments.

Regulatory Compliance

Minda Corporation Limited has fulfilled its disclosure obligations by informing the stock exchanges about this commercial paper issuance. The company provided details to both NSE and BSE, ensuring transparency for all stakeholders. The disclosure includes material information required under SEBI regulations, such as the security description, issue size, redemption timeline, and pricing details.

This commercial paper represents a short-term debt instrument, providing the company with working capital financing while offering investors a fixed-return investment option.