rail vikas nigam has entrusted Abhishek Kumar with the additional charge of Director (Finance) on its board, effective June 1, 2025. The Ministry of Railways issued Order No. 2016/E(O)II/40/15 dated May 29, 2025, assigning the role to Kumar, who currently serves as Executive Director Finance (Budget) at the Railway Board. This interim leadership arrangement addresses the vacancy created by the superannuation of outgoing Director Sanjeeb Kumar on May 31, 2025, ensuring continuity in financial oversight while final approval from the Competent Authority is pending.

Kumar is yet to formally assume charge of the post but will do so on or after June 1, 2025. He holds the position in addition to his existing responsibilities at the Railway Board. The disclosure confirms that Kumar is not debarred from holding office by SEBI or any other authority and holds nil equity shares in the company. He is also not related to any other director on the board.

An Indian Railway Accounts Service (IRAS) officer of the 2001 batch, Kumar brings over two decades of experience in railway finance. His career includes roles as Financial Advisor dealing with expenditure, earnings, government accounting, and budgeting across divisional, headquarters, and ministry levels. He previously served as General Manager (Finance) at Centre for Railway Information Systems (CRIS), overseeing Accounting IT Applications including IPAS and GST modules. Notably, he was the Chief Project Manager for the pioneering Accrual based Accounting project for Indian Railways.

Kumar holds a Bachelor of Technology in Civil Engineering from NIT Calicut and a PGDM (Exec.) in Finance from IMT Ghaziabad. At the Railway Board, he worked in the Budget Directorate at the Director level, coordinating with the Ministry of Finance on Railway Budget preparation. His expertise spans both operational finance and strategic budgeting within the public sector infrastructure domain.

Updated Board Composition

The company disclosed its updated list of directors following the appointment. The board now comprises eight members, including independent and government nominee directors.

Regulatory Compliance

The disclosure was made in compliance with Regulation 30 read with Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing references SEBI Circular No. LIST/COMP/14/2018-19 dated June 20, 2018, regarding director debarment status, and SEBI Circular No. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023, for relationship declarations.

Rail Vikas Nigam Limited was fined ₹8.26 lakh each by the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) for non-compliance with board composition norms for the quarter ended March 31, 2025. The penalties, inclusive of GST, were imposed under Regulation 30 of the SEBI (LODR) Regulations, 2015, citing violations of Regulations 17(1), 18(1), 19(1)(2), 20(2), 20(2A), and 21(2). While the fines represent a regulatory penalty, the company stated that the action has no impact on its financial or operational activities.

The exchange communications were received on May 29, 2025. The BSE fine was communicated via email referencing SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024. The NSE issued letter no. NSE/LIST-SOP/COMB/FINES/0607 on the same date. Both exchanges cited identical regulatory breaches regarding the composition of the Board and its committees.

Rail Vikas Nigam clarified in letters dated May 9, May 15, and May 28, 2025, that it is a Government company under Section 2(45) of the Companies Act, 2013. Consequently, the power to appoint Directors, including Independent Directors and Woman Independent Directors, rests with the President of India. All directors are appointed by the Government of India through the Ministry of Railways (MoR), leaving the company with no role in the appointment process.

Waiver Eligibility

The company noted that it becomes eligible for a waiver of these fines upon attaining compliance with SEBI (LODR) regulations through the appointment of the requisite number of directors by the MoR. Rail Vikas Nigam highlighted that in earlier instances of similar non-compliance, both the NSE and BSE had waived the imposed fines once the requisite compliances were met.