Railtel Corporation Of India Limited has been fined Rs 5,31,000 each by the National Stock Exchange of India Limited and BSE Limited for non-compliance with Regulation 17(1) of the SEBI Listing Obligations and Disclosure Requirements regarding board composition for the quarter ended March 31, 2026.
The total fine amounts to Rs 10,62,000 inclusive of GST. NSE communicated the penalty through letter reference NSE/LIST-SOP/COMB/FINES/0215 dated May 27, 2026, under Chapter VII-A of the SEBI Master Circular dated November 11, 2024. BSE issued the fine via email on May 27, 2026. RAILTEL received both communications on May 29, 2026 and disclosed the matter under Regulation 30 of the SEBI LODR Regulations, 2015.
RAILTEL stated that the board composition non-compliance is beyond its control. As a government company, the President of India holds the power to appoint directors, including independent directors, on the Board as per the Articles of Association.
All directors are appointed by the Government of India through the Ministry of Railways. RAILTEL has no role in the appointment of any director. The company has made repeated requests to the Ministry of Railways for appointing the required number of directors, including independent directors.
RAILTEL assessed that the fines have no impact on its financial, operational, or other activities.
Disclaimer: This article is based on company filings submitted to the Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE) and is for informational purposes only. It does not constitute investment advice or a recommendation. Investors should conduct their own research and consult a qualified financial advisor before making investment decisions.