Notice received from BSE and NSE for Non-compliance of Regulation 17, 18, 19, 20, and 21 of SEBI (LODR) Regulations, 2015 for the quarter ended March 31, 2025.
Awaiting price reaction for this filing.
Mangalore Refinery and Petrochemicals Ltd (MRPL), a subsidiary of ONGC and a Central Public Sector Enterprise (CPSE), received notices from BSE and NSE for not meeting SEBI's board composition rules (Regulations 17, 18, 19, 20, and 21) for the January–March 2025 quarter, mainly due to a shortage of independent directors including a woman independent director. Each exchange has levied a fine of ₹13,71,160 (including 18% GST), taking the total penalty to about ₹27.4 lakh. MRPL has explained to the exchanges that director appointments on CPSE boards are made by the Ministry of Petroleum and Natural Gas (MoP&NG) and cannot be done by the company on its own. On March 28, 2025, MoP&NG re-appointed 4 independent directors (including a woman director), after which MRPL reconstituted its board committees and is now compliant. The company is still requesting the exchanges to waive the fine.
The financial impact is minor (around ₹27.4 lakh in fines) and the compliance issue has already been resolved by the appointment of independent directors on March 28, 2025. For shareholders, this is a procedural/administrative matter rather than a fundamental business concern, and is unlikely to have a meaningful effect on the stock price.