Shares of Shree Cement decline nearly 6% amid tax survey reports

Shares of Shree Cement ended nearly 6 per cent lower on Monday after the company said that the income tax (I-T) department surveyed its premises. In intraday trade, the stock dropped more than 10 per cent, its biggest fall since March 2020.

After dropping to a low of Rs 22,601 apiece, shares of the cement maker ended at Rs 23,665, down Rs 1,480 or 5.9 per cent, over its previous close.

The development happened after some news reports alleged that the Kolkata-based cement manufacturer could have evaded taxes worth Rs 23,000 crore. 

“As a responsible corporate citizen, Shree Cement follows the highest corporate governance standards and is fully aware of its responsibility. The survey initiated by the Income Tax Department is ongoing and the company is extending its full cooperation. We believe that the news-item appearing in the media is baseless and speculative in nature,” the company said in a stock exchange filing.

Shree Cement added that it will update the stock exchange in case there is any material impact resulting from the survey.