VMS Industries Ltd — Important, 29-04-2026: Company Update

VMS Industries Limited has received an order from the Joint Commissioner, Central GST, imposing a total demand and penalties of ₹19.88 Crore. This includes ₹5.00 Crore in tax liability and ₹9.94 Crore in penalties on the company, plus an additional ₹4.94 Crore penalty on its Director, Shri Manoj Jain. The demand largely stems from findings of fraudulent input tax credit (ITC) availment and issuance of invoices without actual goods movement, related to circular trading and transactions with suspicious suppliers. This amount represents approximately 6.89% of the company’s turnover/net worth for FY 2024-25. The company plans to appeal the order, asserting strong grounds to contest the demand and no material impact on operations.