LG Electronics India gets ₹154 cr notice.

LG Electronics India Limited

has received a show cause notice from the Customs office. The notice alleges non-inclusion of royalty payments in import valuation and proposes recovery of ₹153.58 crore in customs duty. The Customs authority claims royalty payments were not added to the assessable value of imports. This has led to a proposed demand of ₹153.58 crore. The company will respond to the notice as per the process. The key figure is the proposed ₹153.58 crore recovery. Such notices are common in the sector and may be contested. Peers such as Samsung, Voltas and Whirlpool could face similar scrutiny on import valuations. Near-term price reaction may be limited pending the company’s reply. Risks include final demand confirmation and any interest or penalty. Competitors listed: Samsung, Voltas, Whirlpool. We have no financial interest in this news.