Ion Exchange Secures Legal Win With ₹17.48 Crore Arbitral Award Dismissal

Ion Exchange has achieved a significant legal victory in its ongoing litigation with Angeripalayam Common Effluent Treatment Plant Limited (ACETP). The company informed stock exchanges on January 12, 2026 that the arbitral award in the matter has been dismissed.

This ruling provides financial relief to Ion Exchange, as the ₹17.48 crore claim previously disclosed as a contingent liability will no longer impact its financial statements.

Arbitral Award and Case Details

The Sole Arbitrator, Mr. S. Parthasarathy, Senior Advocate, ruled that both the claim and counter-claim in the ACETP matter are barred by the law of limitation. As a result, the arbitral award dismissed all claims from both parties.

The dismissed amount includes ₹17.48 crores plus interest, which had been part of Ion Exchange’s contingent liability disclosure. The decision effectively closes the arbitration proceedings without any financial obligation for the company.

Background Of the Dispute

The litigation originated from ACETP’s allegations of non-performance related to an Effluent Treatment Plant project. ACETP sought compensation under multiple heads, including recovery of capital costs, loss of production, plant failure damages, and operational cost reimbursement.

Ion Exchange had disclosed this dispute in August 2023 as part of its regulatory compliance under SEBI’s continuous disclosure norms. The matter has been under arbitration for an extended period before reaching this conclusion.

Financial Impact and Contingent Liability

The dismissal of the arbitral award removes a significant contingent liability from Ion Exchange’s books. The ₹17.48 crore amount, along with accrued interest, was previously reported in the notes to accounts as a potential obligation.

With this ruling, the company’s financial position improves, as no payout is required under the arbitration. This development also reduces uncertainty for stakeholders regarding future cash outflows linked to the dispute.

Regulatory Disclosure and Compliance

Ion Exchange communicated the outcome through a regulatory filing dated January 12, 2026, in line with SEBI’s disclosure requirements. The company emphasised that the ruling provides clarity on its legal exposure and strengthens its compliance posture.

The filing reiterated that all claims and counter-claims have been dismissed, and no further financial liability remains under the arbitration process. This update ensures transparency for investors and regulators.

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Conclusion

Ion Exchange’s successful dismissal of the ₹17.48 crore arbitral award marks a favourable resolution of its dispute with ACETP. The ruling eliminates a major contingent liability and reinforces the company’s financial stability.

With the arbitration concluded, Ion Exchange can focus on its core operations without the burden of pending litigation. The development has been formally communicated to stock exchanges, ensuring compliance and investor awareness.

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