New Delhi, September 1(HS): Public sector telecom giant Mahanagar Telephone Nigam Limited (MTNL) has been penalized by the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) with a total fine of Rs 13.46 lakh for violations of Securities and Exchange Board of India (SEBI) norms. The company was fined Rs 6.73 lakh each by both exchanges for failing to comply with board structure norms under SEBI’s Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.

The violations cited include the non-appointment of a woman director, deficiencies in forming the audit committee, and non-compliance in constituting the nomination and remuneration committee, stakeholder relations committee, and management committee. MTNL clarified that as a public sector undertaking, all board appointments, including independent directors, are made by the administrative ministry, i.e., the Department of Telecommunications.

MTNL further informed that since April 15, two independent directors including a woman director have been appointed by the telecom department, and the appointment of four additional independent directors is currently pending with the central government. The company has formally requested both NSE and BSE for waiver of the imposed penalty.

—————

Hindusthan Samachar / Jun Sarkar