GAIL fined ₹28.6 Lakhs by NSE/BSE for SEBI LODR non-compliance

GAIL (India) Limited has disclosed receipt of communications from the National Stock Exchange (NSE) and BSE Limited, citing non-compliance with several SEBI (LODR) Regulations, 2015, for the quarter ended June 30, 2026. The notices relate to regulations concerning the composition of the Board, including the non-appointment of a Woman Independent Director, quorum for Board meetings, and the constitution of various committees such as the Audit Committee, Nomination and Remuneration Committee, Stakeholder Relationship Committee, and Risk Management Committee.

GAIL received these notices on August 25, 2026. The company stated that the expected financial implications are none, as there is no material impact on financials, operations, or other activities. However, both NSE and BSE have imposed a fine of ₹14,31,340 each, including GST, totaling ₹28,62,680.

The company highlighted that the appointment of directors, including Independent Directors, is outside the purview and control of GAIL’s management, as they are nominated and appointed by the Government of India. GAIL has been consistently communicating with the Ministry of Petroleum and Natural Gas regarding the appointment of the requisite number of Independent Directors. The company also noted that similar letters have been received in the past, and waiver requests were favorably considered by the exchanges.

Furthermore, GAIL stated that the non-compliance was neither due to negligence or default by the Company nor within the control of GAIL’s management, and continuous efforts were made to meet compliance requirements. Following the appointment of two Independent Directors on August 22, 2026, the relevant committees have been reconstituted.