BSE has imposed a fine of Rs 5.31 lakh on MSTC Limited for non-compliance with board composition requirements for the quarter ended March 31, 2026. The penalty, levied under Regulation 17(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, relates to the composition of the company's Board during Q4FY26. The exchange communicated the decision via email on May 27, 2026.

MSTC clarified that it is a Mini Ratna Category-I PSU under the administrative control of the Ministry of Steel. The company stated that the power to appoint Directors, including Independent Directors, vests with the President of India. Consequently, all Directors are appointed by the Government of India through the Ministry of Steel, and MSTC has no role in these appointments unless nominated by the government.

The company asserted that the non-compliance was not due to any negligence or default by its management and was beyond its control. Management noted that continuous efforts are being made to follow up with the Ministry of Steel for the appointment of independent directors. However, the desired nominations have not been received to date. In light of these circumstances, MSTC has requested the stock exchanges to waive the fine.

The disclosure was signed by Ajay Kumar Rai, Company Secretary & Compliance Officer. MSTC confirmed that the imposed fine has no impact on the financial, operational, or other activities of the company.

MSTC Limited has submitted its quarterly compliance certificate to stock exchanges, fulfilling mandatory regulatory requirements under SEBI (Depositories and Participants) Regulations, 2018. The government enterprise filed the certificate on 15th April 2026, covering the quarter ended 31st March 2026.

Regulatory Compliance Details

The certificate was issued under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018, which mandates companies to provide quarterly confirmations regarding dematerialization processes. Bigshare Services Pvt. Ltd., serving as MSTC's Registrar and Share Transfer Agent, prepared and certified the compliance document dated 08th April 2026.

Dematerialization Compliance Confirmation

Bigshare Services confirmed that all securities received from depository participants for dematerialization up to 31st March 2026 were properly processed and confirmed to the depositories. The registrar certified that securities comprised in the certificates have been listed on stock exchanges where the company's earlier issued securities are already listed.

Key compliance confirmations include:

• Securities received for dematerialization were mutilated and cancelled after due verification
• Depository names were substituted in the register of members as registered owners
• All processes were completed within the mandatory 15-day timeframe from receipt of security certificates

Stock Exchange Notification

The compliance certificate was simultaneously submitted to both major Indian stock exchanges where MSTC shares are listed. The document was addressed to BSE Limited (Scrip Code: 542597) and National Stock Exchange of India Limited (Scrip Code: MSTCLTD), ensuring comprehensive regulatory disclosure.

Ajay Kumar Rai, Company Secretary & Compliance Officer, signed the submission letter, emphasizing the company's commitment to maintaining transparent investor relations and regulatory compliance. This quarterly filing represents part of MSTC's ongoing efforts to meet all statutory requirements as a publicly listed government enterprise.