Mumbai, January 29, 2025 – Kabra Extrusiontechnik Limited (NSE: KABRAEXTRU) has disclosed two separate legal and tax-related matters, including a ₹3.33 lakh compensation order by the District Consumer Forum and a professional tax penalty of ₹3,001 levied by Karnataka tax authorities. The company stated that neither case has a material impact on its financials or operations and is evaluating its legal options.
District Consumer Forum Order – Rajnandgaon, Chhattisgarh
- Authority: District Consumer Forum, Rajnandgaon, Chhattisgarh
- Order Date: January 21, 2025 (Received January 29, 2025)
- Penalty Amount: ₹3,33,000 + applicable interest
- Nature of Order: The company has been directed to compensate the respondent.
- Company’s Response: Kabra Extrusiontechnik is reviewing the order and is considering an appeal against the decision.
Professional Tax Penalty – Karnataka Tax Authorities
- Authority: Commercial Tax Officer, Bengaluru
- Order Date: January 28, 2025 (Received January 29, 2025)
- Penalty & Interest: ₹1,250 penalty + ₹1,751 interest (Total: ₹3,001)
- Alleged Violation: Delay in payment of professional tax under Section 7(3) read with Sections 10(2), 12, and Rule 19(3-A), 23(1) of the KTPTC&E Tax Act, 1976.
- Company’s Response: The company acknowledged the notice and confirmed no material financial impact.
Financial & Operational Impact
- Minimal Financial Effect: The company clarified that both penalties are not significant and will not affect its financial stability or operations.
- Legal Evaluation Underway: Kabra Extrusiontechnik is assessing legal remedies to address the consumer forum order while complying with tax obligations.
Next Steps
- Appeal Consideration: The company will decide on appealing the District Consumer Forum order.
- Regulatory Compliance: Ensuring adherence to professional tax regulations to avoid future penalties.