Bharat Heavy Electricals Limited (BHEL) has been fined Rs. 5,42,800/- (inclusive of GST) by both the BSE and NSE. The penalty relates to non-compliance with regulations concerning the composition of the Board of Directors for the quarter ending December 2025, specifically having less than 50% Independent Directors. BHEL, being a Government Company, is seeking a waiver of the fines while actively working with the Government of India for the requisite appointments.
Regulatory Fine Notices Received
Bharat Heavy Electricals Limited (BHEL) has formally disclosed receipt of notices from the BSE Limited and the National Stock Exchange of India (NSE). These notices impose a monetary penalty on the company amounting to Rs. 5,42,800/- (inclusive of GST).
Reason for Non-Compliance
The penalty stems from non-compliance with Regulation 17 (1) of the Listing Obligations & Disclosure Requirements (LODR) Regulations for the quarter ending December, 2025. Specifically, the issue identified was that the number of Independent Directors constituted less than 50% of the actual strength of the BHEL Board.
Waiver Request and Company Status
In response to the penalties, BHEL has informed stakeholders that, as per the Stock Exchanges’ SOP Circular provisions, the company is planning to seek a waiver of the levied fines. It is pertinent to note that BHEL operates as a Government Company, and the appointment of all Directors, including Independent Directors, is managed by the Government of India.
BHEL confirmed that it is consistently engaging with the Government of India to expedite the appointment of the required number of Independent Directors to ensure full compliance with the aforementioned Regulations moving forward. The disclosure was made public on 02.03.2026.
Source: BSE
