Cummins India Limited has progressed with its corporate governance process by publishing formal newspaper notices regarding the proposed postal ballot for Managing Director remuneration revision. Following the board's unanimous approval on March 11, 2026, the company has now initiated public communication to shareholders about the upcoming voting process.

Board Decision and Initial Approval

The Board of Directors unanimously approved a revision in the remuneration package of Managing Director Ms. Shveta Arya during their meeting on March 11, 2026. The decision was reached following recommendations from the company's Nomination and Remuneration Committee, with the meeting conducted between 16:50 hours and 17:05 hours.

Newspaper Publication and Public Notice

On March 13, 2026, Cummins India published newspaper advertisements in Business Standard (All Editions) and Marathi newspaper Loksatta (Pune Edition), formally notifying shareholders about the proposed postal ballot. The publication serves as an official intimation regarding the postal ballot notice and e-voting process that will be dispatched to shareholders through email.

Postal Ballot Process and E-Voting Facility

The company will conduct the postal ballot exclusively through remote e-voting, in compliance with MCA General Circular 03/2025 and SEBI regulations. The postal ballot notice will be sent electronically to members whose email addresses are registered with the company, NSDL, CDSL, or their respective Depository Participants.

Cummins India has appointed MUFG Intime India Private Limited (formerly Link Intime India Private Limited) as the Registrar and Share Transfer Agent to facilitate the e-voting process using the Insta-Vote platform. The detailed voting instructions will be provided in the formal notice.

Regulatory Compliance and Scrutinizer Appointment

To ensure transparency and fairness in the voting process, the board has appointed M/s. Mehta & Mehta, Company Secretaries based in Pune, as the scrutinizer for the postal ballot's e-voting process. The company will adhere to all regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Shareholder Communication and Next Steps

The formal postal ballot notice will be made available on multiple platforms including the company's website at www.cumminsindia.com , the Insta-Vote platform, and stock exchange websites. Shareholders holding physical shares who have not updated their email addresses are advised to register with the RTA to participate in the e-voting process.

The communication was signed by Vinaya A. Joshi, Company Secretary & Compliance Officer, demonstrating the company's commitment to proper corporate governance standards and transparent shareholder engagement in executive compensation decisions.

Cummins India Limited has been penalized by both BSE and NSE for regulatory non-compliance, with each exchange imposing fines of ₹2,000 plus applicable taxes. The penalties relate to violations of Regulation 18(1) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, concerning audit committee constitution requirements for the quarter ended December 31, 2025.

Regulatory Non-Compliance Details

Both stock exchanges communicated their penalty decisions to Cummins India on February 27, 2026, citing non-compliance with audit committee constitution requirements. The violations were identified under SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, which outlines standard operating procedures for imposing fines on listed entities.

Board Response and Corrective Measures

The company's Board of Directors addressed the non-compliance issue during their meeting held on March 11, 2026. After reviewing the circumstances, the Board determined that the violation was inadvertent and unintentional, emphasizing the company's commitment to maintaining adherence to all applicable regulatory frameworks.

Key actions taken by the company include:

• Reconstitution of the Audit and Compliance Committee, effective November 11, 2025
• Payment of fines within prescribed timelines
• Filing of waiver applications with both exchanges
• Implementation of measures to ensure future compliance

Compliance Status and Future Measures

Cummins India has confirmed that both fines have been paid within the prescribed 15-day timeline as mandated by the exchanges. The company has also submitted waiver applications to both BSE and NSE, with outcomes pending review by the respective exchange committees.

The Board reiterated the company's commitment to aligning its practices with the latest regulatory guidance and confirmed that corrective steps have been implemented to ensure compliance going forward. The company emphasized its steadfast commitment to maintaining adherence to all applicable regulatory frameworks.

Exchange Warning and Consequences

Both exchanges warned that failure to pay fines within the stipulated timeframe could result in severe consequences, including freezing of promoter shareholdings and potential shifting of the company's securities to the Z category for trade-for-trade basis trading in case of consecutive defaults.

The exchanges also mandated that the non-compliance matter be placed before the Board of Directors in their next meeting, with board comments to be communicated to the exchanges for dissemination, which Cummins India has duly completed.

Source: None/Company/INE298A01020/5edb2fcf-8426-4f79-bf7a-627e329ab34f.pdf