NEW DELHI, Nov 30: Stock exchanges NSE and BSE have imposed a penalty of Rs 5.42 lakh on state-owned debt-ridden telecom firm MTNL for not complying with the norms related to the composition of the board. MTNL, in a regulatory filing, said it is required to appoint four more independent directors as per the norm, but it has been unable to do so. “…this is to inform you that MTNL has received Letter…dated November 28, 2025 from NSE and Email/Letter […]

NSE, BSE impose Rs 5.42-lakh penalty on MTNL for non-compliance

MTNL Fined Rs 5.42 Lakh by NSE and BSE for Non-Compliance

Stock exchanges NSE and BSE have imposed a penalty of Rs 5.42 lakh on state-owned debt-ridden telecom firm MTNL for not complying with the norms related to the composition of the board.

Reason for Penalty

MTNL failed to appoint four more independent directors as per the regulatory norms.
The company has been unable to comply with the requirements pertaining to the composition of the board.

Details of Penalty

The penal amount comprises:

Basic Fines: Rs 4.6 lakh.
Goods and Services Tax (GST): Rs 82,800 at a rate of 18 per cent.

MTNL's Response

MTNL, in a regulatory filing, said that it is a public sector undertaking and all appointments, including independent directors on the board, are made by the administrative ministry, which is the Department of Telecommunications (DoT).

The company has already appointed two independent directors, including one woman independent director, vide Letter dated April 15, 2025. MTNL is also requesting NSE and BSE for waiver of fines.