VLS Finance Limited has received a notice of demand under Section 156 of The Income Tax Act, 1961 of INR 259.7 million for A.Y. 2022-23 issued by Assistant Commissioner of Income Tax, Central Circle-17, Delhi. Date of receipt of order April 01, 2024; Details of the violation(s)/contravention(s) committed or alleged to be committed: Income enhanced by INR 912.4 million as stand of the Company was not accepted by the Income Tax department. Expenses disallowed of INR 6.74 million under Section 14A of The Income Tax Act, 1961 read with Rule 8D of The Income Tax Rules, 1962.

Impact on financial, operation or other activities of the listed entity, quantifiable in monetary terms to the extent possible: Disputed demand generated for INR 259.7 million.