BENGALURU: New Delhi Television Limited (NDTV) has informed the bourses today that it would proceed as advised in law against the penalty of Rs 25 lakh imposed upon it by Prasad Jagdale, the Adjudicating Officer at the Securities and Exchange Board of India (SEBI), under Sections 23A and 23E of the Securities Contracts (Regulation) Act, 1956, for its failure in timely disclosure as per clause 36 of the Listing Agreement, of a demand of Rs 450 crores by the income tax department in March 2014. The company contends that the relevant non-disclosure does not materially impact its present or future operations or profit or financials.
The Company approached the Income Tax Appellate Tribunal (ITAT) challenging the demand raised by the Assessing Officer. The Income Tax department , vide its orders dated March 26, 2014 and April 21, 2014, had granted an interim stay on payment of a sum of Rs. 5 crores, which is approximately 1.2 percent of the alleged tax demand. The challenge of the said claim made by NDTV is pending final determination before the ITAT and is currently sub-judice.
