Shiv Texchem Appoints US Legal Counsel to Seek Removal from OFAC Sanctions List
Shiv Texchem Limited has taken decisive action by appointing US-based legal counsel to formally engage with OFAC for removal from the sanctions list. The company continues to maintain that it has no business dealings with Iran or sanctioned entities, while operations remain uninterrupted and financial stability is maintained through domestic banking channels.
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Shiv Texchem Limited , a Mumbai-based chemicals company, has provided a significant update on its efforts to address its inclusion on the U.S. Treasury sanctions list. The company has now appointed US-based legal counsel and formally commenced engagement with the Office of Foreign Assets Control (OFAC) to seek removal from the sanctions list.
Latest Developments
In a disclosure dated January 07, 2026, Shiv Texchem announced several key developments in its ongoing efforts to resolve the sanctions matter:
| Action Taken: | Details |
|---|---|
| Legal Counsel: | Appointed US-based legal counsel through Indian legal advisors |
| OFAC Engagement: | Formally commenced removal process per prescribed procedures |
| Process Nature: | Procedural, detailed, and jurisdiction-specific with multiple regulatory review stages |
| Timeline: | To be communicated in due course with periodic updates |
Company's Position and Operations
Shiv Texchem has reiterated its stance regarding the sanctions matter, emphasizing that it maintains no prohibited business relationships. The company's operational status remains stable despite the ongoing regulatory challenges.
| Operational Status: | Current Position |
|---|---|
| Iran Relations: | No business, financial, or commercial dealings with Iran |
| Sanctioned Entities: | No dealings with sanctioned jurisdictions, entities, or individuals |
| Business Operations: | Continued uninterrupted across all product lines |
| Banking Arrangements: | Managing through INR credit facilities and domestic banking channels |
Background and Timeline
The current update follows the company's initial disclosure on October 13, 2025, when Shiv Texchem first addressed its reported inclusion on the U.S. Treasury sanctions list. At that time, the company stated it had not been directly contacted by the U.S. Department of Treasury regarding the matter.
| Timeline: | Event |
|---|---|
| October 09, 2025: | Date of initial sanction event |
| October 13, 2025: | First company disclosure to BSE |
| January 07, 2026: | Latest update on legal counsel appointment |
Financial and Operational Impact
The company has adapted its financial operations to manage the temporary challenges posed by the sanctions listing. Shiv Texchem continues to operate through alternative banking channels while maintaining its commitment to regulatory compliance.
The temporary shift away from U.S. dollar-denominated credit lines continues to be managed through INR credit facilities and domestic banking channels, ensuring smooth trade flows and working-capital stability. This approach has allowed the company to maintain operational continuity while addressing the regulatory matter.
Management Commitment
Managing Director Vikas Pavankumar has assured stakeholders of the company's commitment to transparency and regulatory compliance. The company has pledged to provide periodic updates as material developments arise in the OFAC engagement process.
This disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, demonstrating the company's adherence to Indian regulatory requirements while addressing international compliance matters.
Historical Stock Returns for Shiv Texchem
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -3.01% | -18.59% | +2.42% | -50.14% | -39.08% | -48.60% |
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