Income tax raid at Stove Kraft ends, kitchen appliance maker resumes operations

In an evening update on November 27, Stove Kraft said the I-T Department completed its search, with the company’s manufacturing plants in Bengaluru and Baddi experiencing disruptions on November 22-26 and November 21-23, respectively.

By
  • CNBC - TV18,
| November 28, 2023 , 9:17 am
Despite the challenges, Stove Kraft announced that manufacturing operations at the Bengaluru plant resumed fully on November 27, and the Baddi plant restarted on November 24. (Representative Image: Markus Winkler via Unsplash)
Despite the challenges, Stove Kraft announced that manufacturing operations at the Bengaluru plant resumed fully on November 27, and the Baddi plant restarted on November 24. (Representative Image: Markus Winkler via Unsplash)

By Jomy Jos Pullokaran

Kitchen appliances maker Stove Kraft Ltd on Monday (November 27) said it faced a temporary disruption in its operations due to an Income Tax Department search at its office premises and manufacturing plants.

The company initially communicated on November 22, 2023, about the ongoing search and assured full cooperation with the authorities.
In an evening update on November 27, Stove Kraft said the I-T Department completed its search, and the company’s manufacturing plants in Bengaluru and Baddi experienced disruptions on November 22-26 and November 21-23, respectively.

“…we would like to further inform you that the operations at the manufacturing plants of the company were disrupted from 22nd November 2023 (afternoon) to 26th November 2023 for the Bengaluru location and 21st November 2023 to 23rd November 2023 for the Baddi location,” according to a stock exchange filing.

The interruption was a consequence of the tax-related scrutiny, causing a temporary halt in manufacturing operations, the company said. Despite the challenges, Stove Kraft announced that manufacturing operations at the Bengaluru plant resumed fully on November 27, and the Baddi plant restarted on November 24.

All employees and factory workers returned to work, signifying a return to normalcy in both sales and manufacturing operations, the
company said.

The delay in updating stock exchanges was attributed to the disruption of IT and communication systems during the period of the search operations.

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