NSE Imposes ₹5.42 Lakh Fine on Coal India Ltd for SEBI LODR Non-Compliance

New Delhi — The National Stock Exchange (NSE) has imposed a fine of ₹5.42 lakh on coal-major Coal India Ltd (CIL) for non-compliance with SEBI’s Listing Obligations and Disclosure Requirements (LODR), the company disclosed today.

According to CIL’s regulatory filing, the penalty relates to a violation of Regulation 17(1) of the SEBI LODR for the quarter ended 30 September 2025. The rule mandates appointment of a requisite number of independent directors on the board — a norm the company failed to meet in the said period.

In its statement, Coal India clarified that the non-compliance was “neither due to any negligence nor default by the company.” The firm added that board appointments are handled by the President of India, outside CIL’s direct control, since it is a government undertaking under the Administrative control of the Ministry of Coal.CIL said it is actively following up with the ministry to ensure the board is compliant with SEBI norms.

The company also noted that it has previously requested NSE (and BSE) to waive penalties, pointing out that in earlier cases such waivers had been granted.

This is not the first time CIL has faced fines over board composition lapses. In recent months, both NSE and BSE had jointly imposed a combined fine of ₹10.72 lakh (₹5.36 lakh each) for similar violations under Regulation 17.

As India’s largest coal producer — responsible for over 80% of domestic output — CIL is under constant regulatory and public scrutiny. The repeated fines highlight ongoing governance challenges in state-owned enterprises, especially when board appointments depend on government action rather than company management.