Cochin Shipyard Limited (CSL) has received notices from BSE and NSE for non-compliance with SEBI LODR Regulations.
Fines of ₹14,04,200 each (including GST) have been imposed by BSE and NSE.
The fines are pursuant to Chapter VII of SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024.
The violations pertain to non-compliance with:
Regulation 17(1) (Composition of Board of Directors – no independent directors including a woman director).
Regulation 17(2A) (Quorum of Board Meetings – absence of independent director).
Regulations 18, 19, 20 & 21 (Non-compliance with the constitution of audit committee, nomination and remuneration committee, stakeholders relationship committee and risk management committee) of the SEBI LODR Regulations during the quarter ended March 31, 2025.
The impact on financial, operation or other activities of the listed entity is nil except to the extent of fines imposed, for which waiver requests will be forwarded to the stock exchanges.
CSL is a Central Public Sector Enterprise, and the power to appoint Directors rests with the Government of India.
The company has requested the Government of India to appoint sufficient independent directors, including a woman director.
The Ministry of Ports, Shipping & Waterways appointed Dr. Seema Suri as an independent director on the Board of CSL on May 20, 2025.
Appointment of the remaining five independent directors is awaited from the Government of India.
The company will reconstitute statutory Board Sub-Committees requiring only a single independent director.
CSL will file requests for waiver of fines with the stock exchanges as per the extant Policy for Exemption of Fines.