Shree Cement Limited has received a significant GST demand order from tax authorities in Karnataka, marking a regulatory development that the company has disclosed to stock exchanges.

GST Demand Order Details

The Joint Commissioner, Central Tax Central Excise, Belagavi, Karnataka, has issued a demand order against Shree Cement Limited with substantial financial implications:

Nature of Alleged Violation

The demand order pertains to the alleged availment of ineligible input tax credit by the company. Input tax credit allows businesses to reduce their tax liability by claiming credit for taxes paid on inputs, but the authorities have contested the eligibility of certain credits claimed by Shree Cement.

Company's Response and Financial Impact

Shree Cement has indicated that the order will have no major financial impact on the company's operations. The management has stated that they do not agree with the contentions raised in the demand order, suggesting they will contest the allegations.

Legal Recourse

The company plans to appeal against the demand order. They intend to challenge the order through the appropriate legal channels under Section 107 of the Karnataka GST Act.

Regulatory Compliance

The disclosure has been made pursuant to Regulation 30 read with Para A of Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulatory framework requires listed companies to promptly inform stock exchanges about material developments that could impact their operations or financial position.

Shree Cement has formally communicated this development to both the National Stock Exchange of India Limited and BSE Limited, ensuring compliance with listing obligations and maintaining transparency with stakeholders.

Shree Cement Limited shareholders have unanimously approved the appointment of Mr. Chandra Kumar Dhanuka as Non-Executive Independent Director through a postal ballot voting process that concluded on December 12, 2025. The company officially declared the results on December 15, 2025, pursuant to Regulation 44(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Postal Ballot Results Overview

The special resolution for Mr. Dhanuka's appointment received overwhelming shareholder support, demonstrating strong confidence in the proposed leadership addition. The voting process was conducted entirely through electronic means, reflecting modern corporate governance practices.

Director Appointment Details

Mr. Chandra Kumar Dhanuka (DIN: 00005684) has been appointed as Non-Executive Independent Director for a term of five consecutive years, commencing from October 28, 2025. The appointment follows regulatory requirements and strengthens the company's board composition with independent oversight.

Comprehensive Voting Results

The postal ballot demonstrated exceptional shareholder consensus with 98.80% of valid votes cast in favor of the resolution. The promoter and promoter group showed complete support, while public shareholders also voted overwhelmingly in favor.

Remote E-Voting Process

The company utilized MUFG Intime India Private Limited's services for the remote e-voting facility. The process was overseen by Mr. Akshit Kumar Jangid, Practicing Company Secretary (FCS 11285), who served as the scrutinizer to ensure fair and transparent voting. The scrutinizer report was completed on December 13, 2025.

The resolution is deemed to have been passed on December 12, 2025, the last date of remote e-voting, as per regulatory requirements. The company secretary S.S. Khandelwal formally communicated the results to stock exchanges, confirming the successful completion of the postal ballot process.