GRSE fined for board composition rule violations

Garden Reach Shipbuilders & Engineers Limited (GRSE) announced on November 29, 2025, that it has received notices from the National Stock Exchange of India (NSE) and BSE Limited regarding non-compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The violations pertain to the non-availability of required independent directors, including a woman independent director, and the non-constitution of its audit committee and nomination and remuneration committee during the quarter ended September 30, 2025.

As a result of these non-compliances, each stock exchange, NSE and BSE, has imposed a fine of ₹9,77,040 (including GST) on the company. GRSE, a Central Public Sector Enterprise under the Ministry of Defence, stated that the appointment of its directors, including independent directors, rests with the Government of India through presidential orders.

The company has informed the exchanges that the non-appointment of these directors is beyond its control and has requested a waiver of the imposed fines. GRSE confirmed it is actively pursuing the matter with the Ministry of Defence to ensure timely appointments and compliance with corporate governance norms.