Policy for identification of material litigation
In terms of the SEBI ICDR Regulations, the Issuer shall disclose all the litigations involving the Issuer, its directors, promoters, Group Companies and subsidiaries, related to:
- All criminal proceedings;
- All actions by statutory / regulatory authorities; and
- Taxation – Separate disclosures regarding claims related to direct and indirect taxes, in a consolidated manner giving details of number of cases and total amount.
- any legal proceeding involving the Relevant Parties where the outcome of such legal proceedings may have a bearing on the business, operations or prospects or reputation of the Company.
Besides the above mentioned litigations, other material pending litigations, as per policy of materiality defined by the Board shall also be disclosed in the Offer Documents.
In this regard, all other pending litigation involving the Issuer, its directors, promoters, group companies and subsidiaries, other than criminal proceedings, statutory or regulatory actions and taxation matters, would be considered a material for the purpose of disclosure in the Offer Documents, if:
- The monetary amount of claim by or against the entity or relavant persons in any such pending matter(s) is in excess of 1% of the net profits after tax of the Company for the most recent audited fiscal period.
- Such pending cases are material from the perspective of the Issuer’s business, operations, prospects or reputation.