Kalpataru Projects has received a ₹7.11 crore penalty notice from the Central Excise & GST Authority over alleged Cenvat credit irregularities related to JMC Projects (India) Limited for FY 2014-15. The company intends to appeal, stating the order was issued without considering its submissions and evidence. The penalty is not expected to significantly impact operations.
Kalpataru Projects International Limited disclosed receipt of an order dated December 5, 2025, from the Central Excise & GST Authority, demanding payment of tax, interest, and a penalty of ₹7.11 crore. The action pertains to erstwhile JMC Projects (India) Limited, which was amalgamated with Kalpataru Projects, over alleged wrongful availment of Cenvat credit in FY 2014-15.
The company has stated that it has a strong legal defense and will file an appeal before the Appellate Authority within the prescribed time, as the order was issued without considering its reply and documentary evidence. Kalpataru Projects has also clarified that the penalty does not have a significant impact on its financial or operational activities.
*Key Highlights:
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Central Excise & GST Authority has issued a penalty order for ₹7.11 crore against Kalpataru Projects.
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The order relates to alleged Cenvat credit misuse by JMC Projects (India) Limited for FY 2014-15.
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Kalpataru Projects plans to appeal the order, citing procedural lapses in the authority’s decision.
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The penalty is not expected to materially affect the company’s financial or operational performance.
Source: BSE Corporate Announcement Kalpataru Orinects official disclosure, December 5, 2025