Burnpur Cement Limited has informed the Exchange about Action(s) initiated or orders passed
Awaiting price reaction for this filing.
BSE Limited has imposed a fine of Rs. 1,55,760 (including GST) on Burnpur Cement for non-compliance with Regulation 17(1A) of SEBI (LODR) Regulations, 2015 for the quarter ended June 2025. The non-compliance relates to the continuation of Mrs. Poonam Srivastava as an Independent Director beyond the age of 75 years without a special resolution from shareholders. The company argues that since its management has been taken over by UV Asset Reconstruction Company (UVARCL) under the SARFAESI Act, the non-obstante clause in Section 15(3) read with Section 35 of SARFAESI overrides the LODR requirement. The company has obtained legal opinion from Shardul Amarchand Mangaldas to support its position. Burnpur Cement is reviewing the notice and evaluating further legal steps. The filing also notes the company has no operations and nil revenue in FY 2024-25, and warns the fine will further strain its finances.
The penalty amount is small, but the underlying signal is concerning — the company is in severe financial distress, under ARC management with zero revenue, and is now disputing a regulatory compliance issue. Investors should view this as another red flag about the company's precarious standing, though the fine itself is unlikely to move the stock meaningfully.