Mankind Pharma Ltd on Wednesday said it has been slapped with a GST penalty of Rs 2.27 crore by the Kolkata tax authority.
The company disclosed in a regulatory filing that it has received the penalty order on Tuesday from the Office of the Commissioner of Kolkata South CGST & CX, issued by the Additional Commissioner.
The penalty stems from alleged discrepancies in reported figures for the financial years 2017-18 to 2021-22.
“The GST Authority has passed the order, pursuant to the GST audit for the FY 2017-18 to FY 2021-22 on the contention that there is a mismatch in the figures reported in various statutory returns,” the company stated.
Mankind Pharma said based on the assessment of facts and prevailing law, the company is of the view that the aforesaid order is arbitrary and unjustified.
The company criticised the order as “arbitrary and unjustified,” and confirmed plans to challenge the decision.
The company also assured stakeholders that the penalty will not have any significant impact on its financials, operations, or other activities.
On Tuesday, Mankind Pharma experienced a notable increase of 3.22% in its stock price. This performance allowed the company to outperform its sector by 1.85%.