Zaggle Prepaid Ocean Services Limited (ZAGGLE) has provided an update on a tax litigation matter concerning a penalty order. The key details are as follows:

• The company and its directors received a summary of an order dated February 3, 2025, from the Joint Commissioner, Rangareddy, Telangana.
• The order imposes a penalty amounting to ₹ 84,61,270 on the Company and ₹ 25,000 on each Director.
• This penalty was levied under the CGST Act, 2017, SGST Act, 2017, and IGST Act, 2017.
• The penalty is in relation to assessment proceedings conducted for claiming excess Input Tax Credit for the financial year 2017-18.
• Zaggle has filed an appeal against this order before the Commissioner (Appeals) at Mumbai on June 2, 2025.
• The company is hopeful of a favorable outcome at the appellate level and does not reasonably expect the said orders to have any material financial impact on the Company.