Vedanta subsidiary fined Rs 1.81 crore; ED ordered to seize the property of this company
Multinational mining company Vedanta Ltd on Monday said tax authorities have imposed a penalty of Rs 1.81 crore on its subsidiary Hindustan Zinc. Vedanta Limited informed the stock exchanges that this order was received on Sunday, October 8.
Vedanta said in a statement, the company has received an order from the Assistant Commissioner, Division-A, Central GST Audit Circle, CGST, Udaipur, in compliance with the relevant provisions of the SGST Act, 2017 and IGST for the period July 2017 to March 2018. A fine of Rs 1,81,06,073 has been imposed under Section 20 of the GCST Act, 2017 and Section 74 (9) of the GCST Act, 2017.
The statement said the order was passed on the argument that the company had wrongly availed input tax credit. The company further said that it expects a favorable outcome at the appellate level and does not expect this order to have any financial impact on the company.
Order to confiscate property worth Rs 24 crore of Venkateshwar Hatcheries
The Enforcement Directorate (ED) said it has issued a fresh order to seize assets worth over Rs 24 crore of leading hatchery company ‘Venkateshwar Hatcheries Private Limited’. The agency said it has given this order as part of its investigation into alleged violations of foreign exchange laws.
The federal agency said in a statement that it has seized six immovable properties located in Maharashtra and Karnataka under the provisions of the Foreign Exchange Management Act (FEMA). The total value of these properties is Rs 24.64 crore.
The ED investigation pertains to funds illegally remitted by the company to its wholly owned subsidiary Venky’s London Limited, Cardiff, UK, from 2010 till now. Last month, the agency had seized assets worth Rs 65 crore in a similar case. It said that Venkateshwara Hatcheries Pvt Ltd (VHPL) had incorporated Venky’s London Limited, Cardiff, UK (VLL) as its wholly owned subsidiary in Cardiff, UK in the year 2010.
