Manappuram Finance Limited has disclosed receiving a monetary penalty of Rs 2.70 lakh from the Reserve Bank of India for non-compliance with variable pay deferral directions. The penalty relates to violations concerning two Key Managerial Personnel during FY 2024-25.

RBI Penalty Details

The Reserve Bank of India imposed the monetary penalty under Section 58G(1)(b) read with Section 58B(5)(aa) of the Reserve Bank of India Act, 1934. The penalty was communicated through a Speaking Order dated March 09, 2026, which was forwarded to the company via RBI letter dated March 13, 2026.

Non-Compliance Issues

During the statutory inspection conducted for FY 2024-25, RBI observed that Manappuram Finance had not complied with directions relating to 'deferral of variable pay' for two Key Managerial Personnel. The company had paid the entire variable pay upfront to these KMPs without deferring any portion, which violated RBI guidelines on compensation for KMPs and senior management personnel in NBFCs that mandate deferral of variable pay.

Company's Response and Corrective Actions

Manappuram Finance has taken comprehensive steps to address the non-compliance:

• Policy Revision: The company has reviewed and revised its remuneration framework to incorporate mandatory deferral of variable pay for KMPs and senior management personnel
• Board Approval: The revised remuneration policy was approved by the Nomination and Remuneration Committee and the Board
• Enhanced Provisions: The new policy includes deferred variable pay along with malus and clawback provisions
• Recovery Process: The Board has decided to apply the revised policy provisions to variable pay already paid for FY 2024-25, with the deferred portion being recovered in instalments from the two concerned KMPs

Financial Impact Assessment

The company has stated that the monetary penalty of Rs 2.70 lakh does not have any material impact on its financials, operations, or other activities. This disclosure was made pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The penalty represents a regulatory compliance matter that has been addressed through policy revisions and recovery mechanisms, ensuring future adherence to RBI guidelines on variable pay deferral for key personnel.

Manappuram finance Limited has announced a key senior management appointment, naming Mr. Sreekanth P V as President and Group Head- Operations, Services and Digital, effective March 7, 2026. The company informed stock exchanges about this strategic appointment under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Appointment Details

The appointment details are outlined in the following table:

Professional Background

Mr. Sreekanth P V brings substantial experience to his new role, with over 22 years in the financial services sector. His career spans operations, digital platforms, product innovation and customer experience across leading financial institutions.

Previous Experience

Prior to joining Manappuram Finance Limited, Mr. Sreekanth was associated with Bajaj Finance Ltd., where he held senior leadership positions including Deputy Executive Vice President – Digital Platforms. His professional journey includes significant roles at:

• Bajaj Finance Ltd. (Deputy Executive Vice President – Digital Platforms)
• Indian School Finance Company
• AIG Home Finance
• HSBC
• GE Money
• Standard Chartered Bank

Areas of Expertise

Mr. Sreekanth has developed extensive expertise across multiple domains critical to modern financial services:

• Lending operations management
• Digital transformation initiatives
• Customer service delivery optimization
• Product innovation and development
• Digital platform development and management

Educational Qualifications

Mr. Sreekanth holds strong academic credentials from Sri Sathya Sai Institute of Higher Learning:

• MBA from Sri Sathya Sai Institute of Higher Learning
• B.Com (Honours) from Sri Sathya Sai Institute of Higher Learning

Regulatory Compliance

The appointment was formally communicated to BSE Limited, National Stock Exchange of India Limited, and India International Exchange (IFSC) Ltd. The disclosure includes all required details as per Para A of Part A of Schedule III of the Listing Regulations, in compliance with SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The information has also been uploaded on the company's website for public access and transparency.