Deepak Fertilisers Subsidiary Receives Penalty Order from CGST Authority
Deepak Fertilisers & Petrochemicals Corporation Ltd announced that its wholly owned material subsidiary, Mahadhan AgriTech Limited (MAL), has received an order imposing a penalty from the Assistant Commissioner, CGST & Central Excise, Division V, Raigad.The order was passed in Original No.: Raigad/AC/1205 (DKP)/Dn V/25 26 on March 25, 2026. The penalty pertains to the disallowance of CEN VAT Credit, which constitutes the violation alleged against the subsidiary.
The total demand raised by the authority amounts to Rs. 54,88,146/-. This total includes Tax of Rs. 27,44,073/- plus interest as applicable, and a penalty of Rs. 27,44,073/-.
The company received the order via post on April 20, 2026.
A detailed summary of the penalty order and the statutory action is presented below:
| Detail | Description |
|---|---|
| Authority Issuing Order | Assistant Commissioner, CGST & Central Excise, Division V, Raigad |
| Order No. & Date | Raigad/AC/1205 (DKP)/Dn V/25 26, dated March 25, 2026 |
| Violation Alleged | Disallowance of CEN VAT Credit |
| Total Demand Imposed | Rs. 54,88,146/- |
| Breakdown | Tax (Rs. 27,44,073/- + interest) and Penalty (Rs. 27,44,073/-) |
Deepak Fertilisers stated that there is no material impact on the financials, operations, or other activities of the Company. The subsidiary, MAL, has taken a legal view that the demand is not tenable and is liable to be set aside in appeal, indicating that MAL plans to challenge the aforesaid Order at an appropriate forum.
DEEPAKFERT Stock Price Movement
Shares of Deepak Fertilizers and Petrochemicals Corporation Limited are gaining strength, edging up to ₹1291.45 as of 12:33 PM today, climbing 5.08% in live trading. The stock maintains strong momentum, bolstered by a substantial total traded volume of 451,576 shares.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
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