Cochin Shipyard Limited has received fines from both BSE Limited and National Stock Exchange of India Limited for non-compliance with SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations.
Fine Details:
- Total fine amount: ₹9,66,420 (including 18% GST) from each exchange
- Period of non-compliance: Quarter ended June 30, 2026
- Regulatory violations: Regulation 17(1) (Composition of Board of Directors - absence of sufficient number of Independent Directors), Regulations 18 and 19 (Non-compliance with constitution of Audit Committee and Nomination and Remuneration Committee)
Board Response:
The matter was placed before the Board of Directors at their meeting held on September 09, 2026. The Board acknowledged that the power to appoint Directors rests solely with the Government of India. The Board noted that the Ministry of Ports, Shipping and Waterways, Government of India, appointed Dr. Vani Ahluwalia (DIN: 11754971) as a Non-official (Independent) Director vide their letter No. SY-11012/1/2016-CSL dated August 17, 2026.
Current Compliance Status:
Following Dr. Ahluwalia's induction, the Company has reconstituted both the Audit Committee and the Nomination and Remuneration Committee in compliance with SEBI LODR Regulations. However, the appointment of the remaining four independent directors is still awaited from the Government of India.
Board Resolution:
The Board advised that the non-compliances were neither due to negligence/default by the Company nor within the control of management. Since the Company has now complied with Regulations 18 and 19, appropriate requests for waiver of fines should be filed with the Stock Exchanges. The Board further advised to continue following up with the Administrative Ministry and to file waiver requests once full compliance is achieved, as per the extant Policy for Exemption of Fines.
Regulatory Reference: