Indian Renewable Energy Development Agency Limited (IREDA) has been levied a fine of ₹14,19,540 each by both the National Stock Exchange (NSE) and BSE Limited (BSE). The fines are due to non-compliance with Listing Regulations concerning the composition of its Board of Directors and committees. IREDA stated that as a government company, director appointments are vested with the President of India, not the company itself.
Stock Exchanges Impose Fines on IREDA
Indian Renewable Energy Development Agency Limited (IREDA) has received notices from the National Stock Exchange of India Limited (NSE) and BSE Limited (BSE) imposing fines for non-compliance with certain provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company was fined ₹14,19,540 by each exchange, totaling ₹28,39,080.
Reasons for Fines
The penalties stem from non-compliance related to the composition of IREDA’s Board of Directors and its various committees. IREDA clarified that, as a Government Company, the authority to appoint Directors lies with the President of India, acting through the Ministry of New and Renewable Energy (MNRE). Consequently, the company asserts it has no direct role in the appointment process of directors.
Company’s Response and Actions
The matter of these imposed fines and the associated non-compliance is being reviewed by IREDA’s Board of Directors. The company has also indicated that it has been actively engaging with the MNRE to ensure the appointment of the requisite number of Independent Directors. This proactive approach aims to bring the company into full compliance with the applicable listing regulations.
Source: BSE
