VARROCVarroc Engineering Limited
Varroc Engineering receives an RBI order compounding a delay in repatriating foreign dues for ₹3.91 lakh
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Varroc Engineering Limited has told the exchanges that it has received a compounding order dated 13 Oct 2026 from the Reserve Bank of India, Foreign Exchange Department, Mumbai. The order deals with a delay in bringing back dues receivable from a foreign entity, under the Foreign Exchange Management Act, 1999 and the Foreign Exchange Management (Overseas Investment) Regulations, 2022. The company made the disclosure on 14 Oct 2026.
The company had applied to the RBI to compound certain contraventions. The RBI’s order imposes a compounding amount of ₹3,91,000, and the application stands disposed of. The contravention is the delay in repatriating the dues beyond the period prescribed under Regulation 9(4) of the overseas investment regulations.
The company says that, apart from the compounding amount of ₹3,91,000, there is no material impact on its financial, operational or other activities.
Inference
Compounding is a process under foreign exchange law in which a contravention is settled by paying an amount set by the regulator. The amount here is ₹3.91 lakh, and the application is closed.
The filing does not name the foreign entity or the amount of the dues that were delayed. The company states no other effect on its business.
Reference: Original filing (PDF)
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