Coal India Limited (CIL) has been penalized by the Bombay Stock Exchange (BSE) with a fine of Rs. 5,42,800/- (including GST) for non-compliance with Regulation 17(1) of the LODR Regulations for the quarter ended December 31, 2025. The non-compliance relates to the required composition of the Board of Directors. CIL noted that the appointments are controlled by the Ministry of Coal, and a waiver request has been submitted to the exchange.
Regulatory Penalty Issued by BSE
Coal India Limited (CIL) has received formal communication from the Bombay Stock Exchange (BSE) dated February 27, 2026, regarding regulatory non-compliance. The specific issue cited was the failure to adhere to the stipulations of Regulation 17(1) of the SEBI LODR Regulations for the financial quarter concluding on December 31, 2025.
Details of the Fine and Violation
As a consequence of this failure, the BSE has imposed a financial penalty amounting to Rs. 5,42,800/-, inclusive of GST. The contravention committed or alleged to be committed was the Non-compliance of Regulation 17(1) of the SEBI LODR, Regulations, 2015. The financial implication for the company is confirmed to be the exact amount of the fine, Rs. 5,42,800/-.
Company Stance and Context
CIL clarified that this lapse was neither due to negligence nor entirely within the control of its immediate management. As a ‘Government Company’ under the administrative control of the Ministry of Coal, the appointment of all Board Members is vested with The President of India, placing these appointments outside CIL’s direct management purview. The company is actively following up the matter with the Ministry of Coal to ensure the requisite number of Independent Directors are appointed. Furthermore, CIL has formally requested the BSE for a waiver of the penalty, noting that past waiver requests have historically been considered favorably.
Source: BSE
