BSE, NSE impose fines of Rs 9.66 lakh each on RCF for non-compliance of board composition

State-owned Rashtriya Chemicals and Fertilizers Ltd (RCF) has been fined Rs 9.66 lakh each by stock exchanges BSE and NSE for n-compliance related to regulations for composition of board.

company has requested bourses to waive off fines as power of appointing directors vests with government.

In a regulatory filing, RCF informed that company has received tices from BSE & NSE on August 21 in respect of n-compliances of regulation regarding n-compliance with composition of Board Directors, Audit and mination and Remuneration Committee.

"A fine of Rs 9,66,420 each have been levied by both Exchanges for such n-compliance," it ded.

In this regard, RCF has written to BSE & NSE that "being a government company, power to appoint Directors including Independent Directors vests with Department of Fertilizers (DoF), Ministry of Chemicals and Fertilizers, Government of India."

" shortfall in number of Independent Directors including n-appointment of Women Independent Director on Board of Company during quarter ended June 30, 2024, was t due to any negligence/default by company," it said.

Accordingly, company said it should t be held liable to pay fines and same should be waived off.

company regularly takes up with DoF for appointment of requisite number of Independent Directors, including Woman Independent Director, to ensure compliance with Corporate Governance rms enunciated under SEBI (LODR) as well as Companies Act, 2013.