Chalet Hotels Limited received an Order from GST Department - Bengaluru on May 14, 2024 under Section 73 of Goods and Services Tax Act 2017 (`the Act'), with a demand aggregating to INR 19.65 Million (including interest of INR 9.45 Million and penalty of INR 0.93 Million). The Company believes that the Order is not maintainable and is in the process of contesting against the aforesaid Order. The business operations of the Company continue as usual and are not impacted.

Name of the Authority: Deputy Commissioner of Commercial Taxes (Audit) - 5.2, DGSTO-5, Bengaluru). The said demand pertains to GST Audit for the period July 1, 2017 to March 31, 2018.