This is a regulatory disclosure from IREDA to the stock exchanges (BSE and NSE) regarding fines imposed for non-compliance with SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.
Nature of the Event
This letter is a follow-up to an earlier communication dated August 27, 2026, and provides the Board of Directors' comments on the fines levied by BSE and NSE via notices dated August 25, 2026. The fines were imposed for non-compliance with provisions related to the composition of the Board of Directors and its committees for the quarter ended June 30, 2026.
Board Meeting and Resolution
The matter was placed before the Board of Directors at its meeting held on September 01, 2026. The Board noted the status of the non-compliance and the fines imposed.
The Board resolved that, as a Government Company, the power to appoint Directors is vested with the President of India and is exercised through the Administrative Ministry, which is the Ministry of New and Renewable Energy (MNRE). Accordingly, the Board desired that MNRE be requested to expedite the appointment of the requisite number of Independent Directors, including a woman director.
Furthermore, the Board desired that the Stock Exchanges be requested to waive the fines imposed and to not impose any further fines or penalties. The rationale provided is that the matter of director appointments is beyond the control of the Company and that there is no violation on the part of the Company itself.
Details of Fines Imposed (As per Exchange Notices)
The fines were levied as per SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026, issued on July 11, 2023, and last updated on January 30, 2026.
The breakdown of the fines for the quarter ended June 30, 2026, as provided by BSE and NSE, is as follows:
From BSE Notice (Dated August 25, 2026):
| Regulation Violated | Description | Basic Fine (₹) | GST @18% (₹) | Total Fine (₹) |
| Regulation 17(1) | Non-compliance with board composition, incl. woman director | 455,000 | 81,900 | 536,900 |
| Regulation 17(2A) | Non-compliance with quorum of Board meetings | 20,000 | 3,600 | 23,600 |
| Regulation 18(1) | Non-compliance with constitution of audit committee | 182,000 | 32,760 | 214,760 |
| Regulation 19(1)/19(2) | Non-compliance with constitution of nomination and remuneration committee | 182,000 | 32,760 | 214,760 |
| Regulation 20(2)/(2A) | Non-compliance with constitution of stakeholder relationship committee | 182,000 | 32,760 | 214,760 |
| Regulation 21(2) | Non-compliance with constitution of risk management committee | 182,000 | 32,760 | 214,760 |
| Total | | 1,203,000 | 216,540 | 1,419,540 |
Fines for Regulations 17(1A), 17(2), and 27(2) were calculated as ₹0 for the quarter.
The notice from NSE, also dated August 25, 2026, provided a consistent total fine amount of ₹1,203,000 plus GST of ₹216,540, totaling ₹1,419,540.
Consequences of Non-Payment and Further Non-Compliance
The exchanges mandated that the fine must be paid within 15 days from the date of their notices (August 25, 2026). Failure to pay would result in the initiation of action to freeze the entire shareholding of the promoter.
Furthermore, if this non-compliance under Regulations 17(1) or 18(1) constitutes a second consecutive quarter of violation, the company would be transferred to the Z group and be liable for suspension of trading of its equity shares.
Waiver Process
The exchanges outlined a process for applying for a waiver of the fines. Key conditions include:
- Waiver applications must be submitted online via the NEAPS portal, not via email.
- Compliance with the regulations is a pre-requisite for applying for a waiver.
- A non-refundable processing fee of ₹10,000 plus 18% GST is required if the fine amount is more than ₹5,000 (exclusive of GST).
Remittance Details
BSE provided a dedicated virtual bank account for fine payment (ICICI Bank, A/C No. BSER10479, IFSC: ICIC0000104). NSE requested payment to be made to their account with IDBI Bank (IFSC: IBKL0001000), using the Unique Account Code for annual listing fees.