Quess Corp Limited disclosed that it has received two Orders-in-Original from the Office of the Commissioner of CGST, Palghar, imposing penalties totaling Rs. 152.16 crore for the financial years 2017-18 through 2022-23. These penalties are related to allegations of issuing invoices without underlying goods or services and improper input tax credit claims involving SBI General Insurance and HDFC Life Insurance.
Key details from the orders:
- Order 1: Imposed a penalty of Rs. 23.26 crore under various sections of the CGST Act, 2017, covering FY 2017-18 to 2022-23.
- Order 2: Levied a penalty of Rs. 128.90 crore under Section 122(1) of the CGST Act, concerning FY 2017-18 to 2021-22.
Quess Corp stated that its submissions and personal representations were not considered by the CGST department before issuing the orders. The company maintains that the penalties are not legally sustainable and plans to contest the orders through appropriate legal forums within the stipulated time.
Quess Corp also reassured stakeholders that there is no immediate financial or operational impact from the CGST orders.
