SJVN Limited has received notices from stock exchanges regarding fines totaling ₹5,42,800 (inclusive of GST) due to non-compliance with board composition requirements for the quarter ended December 2025. The company has clarified that it is a government entity, and the power to appoint directors rests solely with the President of India through the Ministry of Power. The government is currently finalizing these key appointments to restore compliance.
Understanding the Penalty
The company recently disclosed that it has received financial penalties amounting to ₹5,42,800 from major stock exchanges. This fine pertains specifically to the October-December 2025 quarter and is primarily associated with the board’s composition, including the requirement to appoint a woman director.
Role of Government in Appointments
As a public sector undertaking, the company operates under specific governance protocols where the authority to appoint directors is vested in the President of India, acting through the Ministry of Power. The company’s management has emphasized that neither the entity nor its Board of Directors holds the internal power to make these appointments independently.
Steps Toward Compliance
In response to these notices, the company has actively engaged with both the Union Ministry of Power and the Government of Himachal Pradesh. Frequent requests have been submitted to expedite the appointment of the Chairman and Managing Director, Whole-time Directors, and the required Independent Directors. The management remains in contact with the government and expects the vacancies to be filled in the near future to satisfy all regulatory mandates.
Source: BSE
