Alok Industries Limited announced the receipt of an Order from the Assistant Commissioner, CGST & Central Excise, Daman, imposing a penalty of Rs. 49.86 lakh. This penalty stems from allegations concerning the incorrect availment of input tax credit under the Central GST Act and related state/integrated GST acts. The company has confirmed that the penalty is the extent of the financial impact, and it does not affect ongoing operations. Alok Industries intends to formally appeal this Order.
Regulatory Penalty Imposed
Alok Industries Limited has been served an official Order dated February 10, 2026, by the Assistant Commissioner, CGST & Central Excise, Daman. The Order mandates the imposition of a penalty amounting to Rs. 49.86 lakh on the Company. This action was taken under Section 74(1) and related provisions of the Central Goods and Services Tax Act, 2017, along with applicable state and integrated GST legislation.
Basis of Assessment
The Order was passed based on allegations concerning the incorrect availment of input tax credit by the Company. Upon receiving intimation via email at 3:47 p.m. (IST) on February 10, 2026, the management reviewed the situation.
Company Response and Financial Impact
The Company has made clear its intention to challenge the ruling and plans to file an appeal against the Order. From a financial standpoint, the impact is strictly limited to the extent of the penalty levied. Management has assured stakeholders that this levy has no impact on the Company’s normal operations or other ongoing activities.
Source: BSE
