The company said the Ministry of Chemicals and Fertilisers has agreed to release about Rs 485 crore outstanding subsidy payment to the company. In a regulatory filing, Deepak Fertilisers informed that the Department of Fertilisers has been withholding its subsidy claims amounting to Rs 795 crore. Shares of Deepak Fertilisers surged over 7% in an early trade today after the Ministry of Chemicals and Fertilisers agreed to release about Rs 485 crore outstanding subsidy payment to the company. "...the Department of Fertilisers (DoF), Ministry of Chemicals and Fertilisers, has been withholding subsidy claims due to the company in accordance with applicable Nutrient Based Subsidy [NBS] scheme...since June, 2014 amounting to Rs 795 crore as on March 31, 2016," the filing said. "The company had since challenged the said withholding before Bombay High Court and the Department has now informed commencing the release of all subsidy arrears except an amount of Rs 310.52 crore in the interim.

Source: dna June 14, 2016 05:15 UTC