Dhampur Sugar Mills Limited has received an Order from Additional Commissioner, Noida Customs Commissionerate, Uttar Pradesh, dated December 29, 2023 (received on 10th May 2024) demanding an amount of INR 28.6 million as duty short paid along with applicable interest and imposing a penalty of INR 0.028 million on the Company and of INR 32.8 million on Authorized Official of the Company under the Customs Act, 1962. In the same order, a redemption fine of INR 88.1 million was also imposed on the goods already cleared during the period from 1 July 2017 to 1st February 2021. The issue pertains to differential Custom Duty on import of Denatured Ethyl Alcohol on which concessional duty benefit was availed at the time of import during the period from 1st July 2017 to 1st Feb.

2021. Based on the Company's assessment and advice of the counsel, the Company has a strong case on merit and will file the appeal and does not reasonably anticipate any material impact on its financial, operational, or other activities.