Hindustan Zinc fined by BSE, NSE for non-compliance

19 Mar 2025 , 12:46 PM

Hindustan Zinc Limited informed the stock exchanges that the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) had imposed a fine of ₹5.42 Lakh each. The bourses levied the fine for non-compliance with board composition norms under Regulation 17(1) of SEBI Listing Regulations.

The penalty was imposed on March 17, 2025. Hindustan Zinc confirmed the same in its filing with the bourses. The company confirmed that the issue emerges from a shortfall in the required number of Independent Directors on its board.

However, as per Hindustan Zinc, the delay in appointing Independent Directors is pending approval from the Ministry of Mines (MoM), Government of India.

Hindustan Zinc informed that, “the company has been following up dedicatedly with
the MoM, Government of India ensuring compliance with the relevant requirements.”

The company has not given any timeline for resolution but highlighting that it is actively interacting with the government to resolve these issues.

Though the penalty imposed is not significant in value terms, the regulatory violations raise concerns about governance standards within the Vedanta Group.

At around 12.38 PM, Hindustan Zinc was trading 6.03% higher at ₹462.70, against the previous close of ₹436.40 on NSE. The counter touched an intraday high and low of ₹477.80, and ₹440.25, respectively.

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