Rail Vikas Nigam Limited has appointed Shri Deepak Mohanty as a Non-Official (Independent) Director on its Board. The appointment was conveyed by the Ministry of Railways, Government of India, vide order no. 2026/PL/57/18 dated October 6, 2026.

The President of India approved the appointment for a period of three years, effective immediately or until further orders, whichever is earlier. This action complies with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Appointment details

The appointment follows the directive from the Railway Board under the Ministry of Railways. The company stated it is taking necessary actions to complete appointment formalities in compliance with the Companies Act, 2013, and SEBI regulations. Requisite disclosures regarding the director's profile will be submitted in due course.

Regulatory compliance

The company informed both the National Stock Exchange of India Ltd. and BSE Ltd. about the development. The order was signed by Shailendra Kumar Sharma, Director (PSU), at the Railway Board. The company secretary, Kalpana Dubey, confirmed the filing on behalf of Rail Vikas Nigam Limited.

Rail Vikas Nigam Limited has responded to fines imposed by stock exchanges for non-compliance with board composition norms during the quarter ended June 30, 2026. The company attributed the vacancies in its Board of Directors and committees to pending appointments by the Ministry of Railways.

Compliance breach and regulatory action

The National Stock Exchange and BSE levied fines on the company following a review of its disclosures for the quarter ended June 30, 2026. The penalties were issued due to non-compliance with Regulations 17(1), 18(1), and 19(1) & 19(2) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. These regulations mandate specific compositions for the Board of Directors and its sub-committees, including the Audit Committee and Nomination and Remuneration Committee.

The exchanges communicated these non-compliances via letters dated August 25, 2026. RVNL acknowledged receipt of these communications and placed the matter before its Board of Directors for deliberation.

Board's stance on director vacancies

In its official response, the Board noted that it is continuously following up with the Ministry of Railways regarding the vacancy of Independent Directors, including the mandatory woman Independent Director. The company emphasized that as a government enterprise, it does not have the authority to appoint directors independently.

Several reminder letters have been sent by the company requesting the Ministry to take immediate action on the appointment of Independent Directors. The Board stated that being a government company, RVNL has no role to play in the appointment process, which remains under the purview of the administrative ministry.

What the numbers show

While no financial performance metrics were disclosed in this specific filing, the recurring nature of such compliance issues highlights a structural dependency for public sector undertakings. The gap between regulatory requirements for timely board constitution and the administrative timeline for government appointments creates a persistent compliance risk. This divergence forces listed PSUs to absorb regulatory penalties despite having limited control over the root cause, namely the delay in statutory appointments by the parent ministry.