RPP Infra Projects Ltd has received a prosecution sanction order from the Income Tax Department for delayed remittance of Tax Deducted at Source (TDS) worth ₹1.92 crores. The company disclosed this development to stock exchanges on December 15, 2025, under regulatory compliance requirements.

Prosecution Order Details

The Income Tax Department, Coimbatore issued Order No. CMBR03758G/2022-23/ORDER U/S 279(1)/CIT(TDS)/2025-26 dated December 8, 2025. This order sanctions prosecution under Section 279(1) of the Income Tax Act, 1961, for offences under Section 276B(a) read with Section 278B.

Individuals Named in Prosecution

The prosecution sanction covers three entities:

• RPP Infra Projects Limited (the company)
• Smt. Nithya Arulsundaram, Whole-Time Director and CFO
• Shri P. Arul Sundaram, Managing Director

Both directors were identified as persons in charge of and responsible for the conduct of business during the relevant period when the TDS delays occurred.

Company's Response and Current Status

RPP Infra Projects explained that the delay in disclosure arose due to an internal coordination gap during a transition in the company's compliance function. The matter came to the attention of the Secretarial Department during internal coordination, following which prompt steps were taken to assess disclosure requirements.

Financial and Operational Impact

The company clarified that the prosecution sanction order does not impose any immediate monetary penalty or fine. The entire TDS amount along with applicable interest has already been remitted to the credit of the Central Government, ensuring no additional financial liability has crystallized as of the disclosure date.

To avoid penalties, RPP Infra Projects has filed a request for compounding with the Income Tax Department. The financial impact, if any, is yet to be communicated by the statutory authority. The company committed to making necessary disclosures in accordance with applicable regulations upon receipt of such communication.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Para A, Part A of Schedule III and SEBI Master Circular dated November 11, 2024. The company emphasized that the delay was inadvertent and without any intent to withhold material information from stakeholders.

RPP Infra Projects , a prominent player in the infrastructure sector, has announced a significant boost to its order book with the acquisition of new contracts. The company has successfully secured multiple projects with a combined value of ₹693.60 million (₹69.36 crore).

Contract Details

Implications for Stakeholders

The securing of these new contracts represents a positive development for RPP Infra Projects and its stakeholders. These new business opportunities are expected to contribute to the company's growth and potentially enhance its market position in the infrastructure sector.

Company Outlook

While specific details about the nature of these contracts or their timelines have not been disclosed, the substantial value of ₹693.60 million suggests that these projects could have a meaningful impact on the company's operations and financial performance in the coming periods.

Investors and market watchers will likely keep a close eye on how these new contracts translate into revenue and profit for RPP Infra Projects in upcoming financial reports. The successful execution of these projects could potentially strengthen the company's track record and position it for further growth in the competitive infrastructure industry.

Stakeholders are advised to monitor the company's future announcements and financial reports for more detailed information on the progress and impact of these newly acquired contracts.