NLC India Limited has been levied a fine of ₹14,31,340 (including GST) by both the BSE Ltd. and the National Stock Exchange of India Ltd. The penalties stem from non-compliance with regulations pertaining to the composition of the Board of Directors, quorum of board meetings, and committee compositions. The company has requested a waiver of these fines, citing its status as a Government Company where director appointments are controlled by the President of India.
Stock Exchange Penalties for Compliance Lapses
NLC India Limited has received notices from both BSE Ltd. and the National Stock Exchange of India Ltd. (NSE) informing the company of penalties imposed for non-compliance with certain provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The specific regulations cited relate to the composition of the Board of Directors, the quorum for board meetings, and the composition of various committees, including the Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee, and Risk Management Committee. A notable non-compliance also includes the failure to appoint a Women Director.
Financial Impact and Waiver Request
Consequently, both BSE and NSE have imposed a fine of ₹14,31,340 (including GST) on NLC India Limited for these breaches. The company has stated that these fines do not have any impact on its ongoing operations or other business activities. In response, NLC India has submitted a request to BSE and NSE for a waiver of the imposed fines on August 26, 2026. The grounds for the waiver request include that as a Government Company, the power to appoint Directors rests with the President of India. Furthermore, the Ministry of Coal, the administrative ministry, is being kept appraised of the need to appoint the requisite number of Independent Directors. The company asserts that the non-compliance was neither due to negligence on its part nor within its management’s control.
Source: BSE
