RENUKANSEShree Renuka Sugars Limited· SugarHighNegative
Announced Mon, 23 Mar · 17:12 IST

The Company hereby intimates regarding receipt of penalty order dated 18th March 2026 from the Office of the Assistant Commissioner of State Tax Unit-103, Gandhidham

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AI summary

Shree Renuka Sugars has received a penalty order dated 18th March 2026 from the Office of the Assistant Commissioner of State Tax, Unit-103, Gandhidham, under Section 74 of the CGST Act, 2017. A penalty of Rs. 3,20,68,779 (approximately Rs. 3.21 crore) has been imposed for the alleged wrongful availment of Input Tax Credit (ITC). The company has stated it believes it has strong merit in the matter and is in the process of filing an appeal before the appellate authority. The company clarified that there is no material impact on its financial position, operations, or other activities, and that any financial impact will be limited to the final penalty amount.

Likely market impact

This is a routine tax dispute with a relatively modest penalty (Rs. 3.21 crore) and is unlikely to materially affect the stock. The company plans to appeal, and the amount is small relative to the company's overall scale, so near-term shareholder impact should be limited.