The BSE and NSE have fined state-owned power companies NTPC, SJVN, and REC a combined Rs 59.17 lakh for failing to meet corporate governance requirements under SEBI’s listing regulations. All three companies said the Union government controls the appointment of their directors and indicated they will seek waivers from the exchanges.
Both exchanges imposed a penalty of Rs 5,36,900 on NTPC, including GST, taking its total fine to Rs 10,73,800.
The company said its status as a government-owned entity means that the President of India, acting through the Ministry of Power, has the authority to appoint or remove its directors.
NTPC has therefore requested both exchanges to withdraw the penalties.
SJVN faces Rs 26.88 lakh penalty
Hydropower company SJVN has been fined Rs 13,44,020 each by BSE and NSE for violations of certain SEBI listing requirements.
This takes the company’s total penalty to Rs 26,88,040.
SJVN said it will also seek a waiver, citing the government’s role in appointing directors. The company said it is pursuing the appointment of the required number of independent directors with the Ministry of Power to address the issue.
REC has also received separate notices from BSE and NSE for non-compliance during the quarter ended June 30, 2026.
The violations relate to requirements concerning the composition of its board and various board committees.
Both exchanges imposed a penalty of Rs 10,77,340, taking REC’s combined fine to Rs 21,54,680.
REC provides long-term loans and other financing solutions to companies involved in developing infrastructure projects across India, including entities in the central, state and private sectors.
Together, the penalties imposed on NTPC, SJVN and REC amount to Rs 59,16,520.
The companies’ responses highlight a regulatory challenge faced by state-owned enterprises, where compliance with listed-company governance requirements can intersect with government control over key board appointments.
