Oil and Natural Gas Corporation Limited (ONGC) has been notified by both the BSE Limited and the National Stock Exchange of India Limited of fines totaling ₹14,31,340/- (including GST) each. These penalties are due to non-compliance with various SEBI (LODR) Regulations, 2015, related to the composition of its Board, Quorum of Board Meetings, and various Committee compositions for the quarter ended June 30, 2026. ONGC stated these lapses were beyond its control, citing reliance on the Government of India for appointing requisite Directors, and has requested a waiver of these fines.
Stock Exchanges Levy Fines on ONGC for Compliance Issues
Oil and Natural Gas Corporation Limited (ONGC) has disclosed receiving notices from the BSE Limited and the National Stock Exchange of India Limited, both dated August 25, 2026. These notices inform the company of fines amounting to ₹14,31,340/- (inclusive of GST) per exchange. The penalties stem from alleged non-compliance with specific provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The violations pertain to the company’s adherence to regulations concerning the composition of the Board, the Quorum of Board Meetings, and the composition of key committees, including the Audit Committee, Nomination and Remuneration Committee, Stakeholder Relationship Committee, and Risk Management Committee, for the financial quarter that concluded on June 30, 2026.
Company Cites External Factors for Lapses
ONGC has provided context, explaining that as a Government Company, the authority for appointing Directors, including Independent Directors, rests with the Government of India (GoI) as per its Articles of Association. The company asserts that it has consistently pursued the GoI for the appointment of the necessary number of Independent Directors to meet regulatory requirements and has previously submitted copies of these communications to the stock exchanges. ONGC emphasizes that the non-compliance regarding Board and Committee compositions was beyond the company’s direct control. Furthermore, ONGC has stated that it has achieved compliance with the composition requirements for the Stakeholder Relationship Committee and the Risk Management Committee, effective from August 19, 2026.
Request for Fine Waiver
In light of the above circumstances and the corrective actions taken, ONGC has formally requested both stock exchanges to waive the levied fines. The company maintains that it has been actively working towards meeting all compliance obligations.
Details of Non-Compliance
The specific regulations cited for non-compliance include Regulation 17(1), 17(2A), 18(1), 19(1)/19(2), 20(2)/(2A), and 21(2) of the SEBI (LODR) Regulations, 2015. The impact on the company’s financial, operational, or other activities is considered not significant, according to the disclosure.
Source: BSE
