Key Event
REC Limited has received notices dated August 25, 2026 from both the National Stock Exchange of India Limited (NSE) and BSE Limited (BSE) regarding non-compliance with certain provisions of the Listing Regulations during the quarter ended June 30, 2026.
The specific non-compliance pertains to the composition of the Board of Directors and Committees thereof.
Financial Impact
Both exchanges have imposed a fine of ₹10,77,340 each for this non-compliance.
Company's Submission
REC Limited being a Government Company, the power to appoint Directors on the Board is vested with the President of India acting through its administrative Ministry, the Ministry of Power, Government of India, as per Article 91 of its Articles of Association.
The company states it has no role in the appointment of Directors.
The company has been requesting its administrative Ministry for the appointment of the requisite number of Independent Directors on the Board from time to time.