Garden Reach Shipbuilders & Engineers Limited has been fined ₹9,55,800 by BSE Ltd for failing to comply with board composition requirements during the quarter ended 31 Mar 2026. The penalty, inclusive of GST, was levied due to the non-availability of the required Independent Directors, including a Woman Independent Director, and the non-constitution of the Audit Committee and Nomination and Remuneration Committee. The exchange cited violations under Regulation 17(1), 18(1), and 19(1)/19(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Garden Reach Shipbuilders & Engineers Limited submitted a response to BSE on 29 May 2026, explaining that it is a Central Public Sector Enterprise under the administrative control of the Ministry of Defence. The company stated that the President of India, acting through the Ministry of Defence, is the Promoter and that Directors are appointed via Presidential Orders. Consequently, the company argued that the non-compliance arose due to the non-appointment of Independent Directors by the Government of India, a matter beyond its control.

Details of Non-Compliance

The specific lapses identified by the exchange during Q4FY26 included the absence of mandated Independent Directors and the failure to constitute key committees required for corporate governance.

The company has formally requested that the fine be waived, asserting it should not be held liable for the delays in appointments. Garden Reach Shipbuilders & Engineers Limited confirmed it continues to actively pursue the matter with the Government of India through the Ministry of Defence to ensure the timely appointment of the requisite Independent Directors.

Garden Reach Shipbuilders & Engineers Limited has appointed Cmde Sreekumar Srinivasan, IN (Retd.) as its Chief General Manager (Technical) effective 27 May 2026. The appointment was disclosed to the exchanges in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Cmde Sreekumar Srinivasan holds a B. Tech in Naval Architecture & Ship Building from Cochin University of Science and Technology and an M.Tech. in Corrosion Science & Engineering from IIT Bombay. He also possesses a Post Graduate Diploma in Management from Jamnalal Bajaj Institute of Management Studies.

Professional Background

Srinivasan joined the Indian Navy in 1997 and has held various positions in the Warship Design Bureau and Naval Dockyards at Mumbai and Vizag. He also served at the Directorate of Ship Production at IHQ.

Appointment Details

The filing was submitted by Sandeep Mahapatra, Company Secretary and Compliance Officer.