Stock exchanges BSE and NSE have imposed penalties totalling ₹59.17 crore on public sector power companies NTPC, REC and SJVN for breach of listing regulations. According to latest exchange filings, the fines were imposed for failing to meet corporate governance requirements under SEBI's listing regulations during the quarter ended June 30, 2026. The combined penalties amount to ₹59,16,520, highlighting a recurring governance issue among government-controlled listed entities where compliance with listed-company governance requirements can intersect with government control over key board appointments.
NTPC received notices from both exchanges with each imposing a penalty of ₹5,36,900 (inclusive of GST) on account of non-compliance with Regulation 17(1) of the listing regulations. As reported by exchange filings, the company's total fine amounts to ₹10.73 lakh. In its regulatory filing, NTPC stated its board appointments are governed by its Articles of Association, under which the President of India, acting through the Ministry of Power, has the authority to appoint or remove directors. The company has requested both exchanges to withdraw the penalties, citing that the power to appoint or remove directors vests with the President of India through its administrative ministry.
SJVN received separate fines of ₹13,44,020 from both BSE and NSE for non-compliance of certain SEBI listing regulations. According to exchange filings, this takes the company's total penalty to ₹26.88 lakh. The hydropower company will submit a request to both exchanges for a waiver, citing that the required board appointments are also dependent on the Union government. SJVN stated it is actively pursuing the matter with the Ministry of Power for the appointment of the requisite number of independent directors on its board in compliance with SEBI listing regulations.
REC received notices from both NSE and BSE regarding non-compliance during the quarter ended June 30, 2026, with certain provisions of the listing regulations pertaining to composition of the board of directors and committees thereof. As reported by exchange filings, each of the two bourses imposed a fine of ₹10,77,340 on the company, taking REC's combined fine to ₹21.54 lakh. REC provides long-term loans and other financing products to state, Centre and private companies for creation of infrastructure assets in the country.
