Shipping Corporation Of India Limited has informed the Exchange about Pendency of Litigation(s)/dispute(s) or the outcome impacting the Company
SCI · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Shipping Corporation of India (SCI) has won a long-pending service tax dispute at CESTAT, Mumbai. The tribunal dismissed an appeal filed by the Excise & Service Tax Department against an earlier 2016 order that had ruled in SCI's favour. The dispute related to service tax levied on Demurrage Income for July 2012 to September 2015. The original demand was ₹49.44 crore. With interest calculated up to 30 June 2025, the total contingent liability of about ₹146 crore (₹49.44 crore principal + ₹96.56 crore interest) is now expected to be removed from SCI's books. This amount was earlier shown as a Contingent Liability in the company's financial statements.
Positive for shareholders — removal of a ₹146 crore contingent liability strengthens SCI's balance sheet and removes a long-standing uncertainty. This could lead to a one-time positive impact on earnings/provisions when formally written back.