Shaw Wallace & Company Ltd, the liquor and beer manufacturer, will go in for 'settlement' of income tax claims on it, amounting to Rs 300 crore (Rs 3 billion), as per provisions of the Income Tax Act.

Speaking to reporters after the company's 58th annual general meeting on Monday, Director of Shaw Wallace P M Nene said that the I-T claim had been pending since 1995-96 and that the settlement option would be preferred, which included appealing before the tribunal.

He said that in case the claim devolved on the company, sufficient contingent liability provisions had been in the balance sheet, Nene added.

Earlier, replying to shareholders, R A Shah, alternate director to chairperson V M Chhabria, said that plans to shift the registered office of the company from Kolkata to Mumbai had hit several roadblocks, adding that this transfer would not be possible at least in the next two to three years.

Shaw Wallace had earlier passed an enabling resolution to re-locate the registered office from the city.

Shah said that foreign institutional investors were showing lot of interest in the company and had picked up 8 per cent stake in Shaw Wallace.

Shah said the company's share of the beer market had gone up from 33 per cent to 35 per cent, adding liquor brands Antiquity and Royal Challenge were enjoying leadership status in their respective segments.

On the company's plans to enter the country liquor segment, Executive Director of Shaw Wallace Kamal C Wazir said that due to rise in input prices, the earlier strategy was being relooked into, and the company's commitment to the project was as firm as before.

The company had already delisted its shares from all the stock exchanges except Mumbai and Kolkata.

Wazir said that new vision of the company, to be drawn up McKinsey & Company, would be in place by 2007.

The new vision envisaged strengthening of brand equity and achieving lowest-cost manufacturing and purchase operation.