Polychem Limited has re-appointed M/s S.K Lotlikar & Co. as its Internal Auditor for the financial year 2026-27. The disclosure was made to the Bombay Stock Exchange on May 21, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The re-appointment follows the outcome of the board meeting held on May 21, 2026. M/s S.K Lotlikar & Co., a registered partnership firm established in 1997 and based in Andheri, Mumbai, will continue to serve in this capacity.

Auditor Profile

The firm is engaged in activities related to audit and accountancy. Its services include consultancy in tax matters, corporate law, secretarial compliances, FEMA, and management audits covering a wide range of sub-activities related to the profession.

Key Details

The disclosure regarding relationships between directors was noted as not applicable.

Polychem Limited has received approval from BSE for the full waiver of a Rs 1,98,240 fine that was imposed for alleged regulatory non-compliance. The company announced this development through an official communication dated April 16, 2026, marking the successful resolution of a disputed penalty case.

Fine Waiver Approval Details

BSE communicated its decision through an email dated April 16, 2026, informing Polychem Limited that the company's application for fine waiver had been placed before the relevant exchange authority. The authority subsequently approved the company's request for complete waiver of the penalty.

Background of the Penalty

The original fine was levied by BSE for alleged non-compliance with Regulation 19(1)/19(2) of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The penalty specifically related to the composition of the Nomination and Remuneration Committee for the quarter ended March 31, 2025.

Company's Position and Response

Polychem Limited had consistently disputed the fine, maintaining that it was fully compliant with the regulatory requirements. The company clarified that its Nomination and Remuneration Committee comprised three members throughout the quarter, as disclosed in the Composition of Committees section of the Integrated Governance Report available on the BSE website.

The company received the initial fine notice on May 29, 2025, and filed the waiver application on June 6, 2025, after providing detailed clarifications to the stock exchange regarding its compliance status.

Regulatory Compliance Framework

Financial Impact Assessment

According to the company's disclosure, there was no material impact of the fine on its financial, operational, or other business activities. The successful waiver eliminates any potential financial burden from this regulatory matter.

This development demonstrates the importance of proper regulatory compliance documentation and the effectiveness of formal dispute resolution mechanisms available through stock exchanges for listed companies.