Enclosed please find herewith Annual Secretarial Compliance Report for the year ended 31st March, 2025.
KARMAENG · price
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Karma Energy has filed its Annual Secretarial Compliance Report for FY 2024-25, which flags several regulatory lapses. The company failed to meet Board composition requirements under SEBI Regulation 17(1) for the quarter ending September 2024 (62 days of non-compliance, fine of Rs. 4,22,440 including GST paid to NSE) and again for the quarter ending December 2024 (24 days, fine of Rs. 1,41,600 paid). It also had brief lapses on Audit Committee composition (Reg. 18(1)) and Nomination & Remuneration Committee compliance (Reg. 19), each for 12 days. Under Regulation 17(1A), the company received a BSE notice for continuing non-executive directors above 75 years of age and has requested a waiver of the Rs. 1,41,600 fine. A separate material lapse involved failing to obtain prior shareholder approval for a Related Party Transaction — an Inter Corporate Deposit of Rs. 194.90 Lakhs with promoter group company Tapi Energy Projects Ltd — though postal ballot approval was obtained later. Other governance areas (secretarial standards, policies, website, insider trading) were found to be in compliance.
Multiple SEBI listing rule violations and regulatory fines totaling around Rs. 10 lakhs highlight weak governance practices, which may worry investors. However, the company has already paid the fines, expanded its board, and obtained retrospective shareholder approvals, suggesting the issues are being remediated and are unlikely to cause a major stock price reaction.