ESIC Gurugram orders lien on select bank accounts over alleged arrears; Hero MotoCorp says the action is unsustainable and unlikely to materially impact its operations
New Delhi : Hero MotoCorp Limited has informed the stock exchanges that it has received orders from the Employees’ State Insurance Corporation (ESIC), Gurugram, Haryana, directing banks to place a lien of approximately ₹4.80 crore on some of the company’s bank accounts.
The orders, dated September 3, 2026, were forwarded to the company by its banks and were received by Hero MotoCorp on September 7, 2026.
What Is the ESIC Order About?
According to the company’s disclosure, the ESIC action relates to alleged outstanding arrears of approximately ₹3.19 crore under certificate(s) dated November 12, 2018.
After adding applicable interest, costs and other charges, the amount covered under the orders is approximately ₹4.80 crore.
The orders direct the concerned banks to refrain from releasing funds up to the specified amount from certain bank accounts of Hero MotoCorp until further orders.
Company Has Already Paid the Amount
Hero MotoCorp said that the amount covered under the order has already been paid.
At the same time, the company is taking appropriate legal steps and is in the process of filing appeals before the competent courts and/or appellate authorities.
The company has maintained that, in its view, the orders are unsustainable.
No Material Impact Expected
Hero MotoCorp’s management has also stated that it does not expect the matter to have any material impact on the company’s financial position, operations or other activities.
The disclosure has been made by the company pursuant to Regulation 30 of the SEBI Listing Regulations.
Key Details
| Particular | Details |
|---|---|
| Company | Hero MotoCorp Limited |
| Authority | Employees’ State Insurance Corporation (ESIC), Gurugram |
| Nature of Action | Lien on select bank accounts |
| Amount Under Order | Approximately ₹4.80 crore |
| Underlying Arrears | Approximately ₹3.19 crore |
| Relevant Certificate Date | November 12, 2018 |
| Order Date | September 3, 2026 |
| Received by Company | September 7, 2026 |
| Current Status | Amount already paid |
| Company’s Next Step | Appeals before competent courts/appellate authorities |
| Expected Business Impact | Management expects no material impact |
The matter remains subject to the outcome of the company’s proposed appeals and further proceedings before the competent authorities.
