Mahanagar Telephone Nigam Limited (MTNL) has disclosed receiving a penalty order from the Telecom Regulatory Authority of India (TRAI) for compliance violations related to quality of service standards. The company informed stock exchanges on January 27, 2026, about the financial disincentive imposed for violations occurring in April 2025.

TRAI Penalty Details

TRAI issued an order dated January 23, 2026, directing MTNL to pay a financial disincentive of Rs 11,00,000 for contravening provisions of the Standards of Quality of Service of Access (Wireline and Wireless) and Broadband (Wireline and Wireless) Service Regulations, 2024. The penalty comprises two distinct violations related to the company's operations in April 2025.

Compliance Violations Breakdown

The first violation involves MTNL's failure to submit the Performance Monitoring Report (PMR) for Delhi LSA for April 2025. The report was due by May 15, 2025, but remained unsubmitted as of December 1, 2025, resulting in a delay of 201 days. Under TRAI regulations, service providers are liable to pay Rs 5,000 per day for delayed submission, subject to a maximum of Rs 10,00,000.

The second violation pertains to MTNL's failure to publish service-wise geospatial coverage maps on its website for Mumbai LSA. Despite reporting 100% compliance in the Performance Monitoring Report, TRAI observed that the company had not published the required coverage maps as mandated under the regulations.

Regulatory Framework and Show Cause Process

TRAI issued a Show Cause Notice dated August 4, 2025, directing MTNL to explain the violations within fifteen days. The company responded through a letter dated July 21, 2025, but did not furnish adequate reasons for its failure to meet quality of service benchmarks or submit the required reports.

The penalty is imposed under regulations 16 and 17 of the Standards of Quality of Service regulations, which provide for financial disincentives ranging from Rs 1,00,000 to Rs 10,00,000 depending on the nature and frequency of violations.

Payment Terms and Company Impact

MTNL must pay the penalty within twenty-one days of the order date through demand draft or electronic transfer to TRAI's designated account. Failure to pay within the stipulated timeframe will attract interest at 2% above the State Bank of India's one-year Marginal Cost of Lending Rate, compounded annually.

The company has stated that the penalty will not have material impact on its financial, operational, or other activities. This disclosure was made in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015, specifically under Sub-Para 20 of Para A of Part A of Schedule III, which requires disclosure of fines or penalties imposed by regulatory authorities.

Source:

Mahanagar Telephone Nigam Limited (MTNL) has officially confirmed the appointment of Shri Sunil Kumar Ranjan as Government Nominee Director on its Board of Directors. The appointment, effective from January 13, 2026, was confirmed through a Board Circular Resolution dated January 20, 2026, in compliance with SEBI (LODR) Regulations, 2015.

Appointment Details

The appointment follows a directive from the Department of Telecommunications (DoT) through Letter No. E-5-3/2021-PSA dated January 13, 2026. Ranjan will serve as Government Nominee Director for a period of three years or until his superannuation date, whichever occurs earlier.

Professional Background

Shri Sunil Kumar Ranjan is a Central Secretariat Services (CSS) officer from the 1998 batch, selected through the Civil Services Examination. Throughout his distinguished career, he has served across multiple key ministries and departments of the Government of India, including:

• Ministry of Textiles
• Central Bureau of Investigation (CBI)
• Ministry of Finance
• Ministry of Women and Child Development
• Staff Selection Commission (SSC)
• Ministry of Mines
• Department of Commerce
• Ministry of Home Affairs
• Department of Health Research
• Ministry of Skill Development and Entrepreneurship
• Inter-State Secretariat Council under MHA

Areas of Expertise

Ranjan brings extensive experience in several critical functional areas that align with MTNL's operational requirements:

• Administration and governance
• Vigilance and compliance
• Policy formulation and implementation
• Recruitment processes
• Trade negotiations
• Government scheme implementation

Educational Qualifications

The newly appointed director holds strong academic credentials with degrees from prestigious institutions:

Board Responsibilities

As part of his directorship responsibilities, Ranjan will serve as a Member of the Audit Committee at MTNL. The company has confirmed that he holds no shares in MTNL either personally or as a beneficial owner. Additionally, no sitting fees will be payable for his services as Government Nominee Director.

The company has affirmed that Ranjan is not debarred from holding the office of director by virtue of any SEBI order or any other regulatory authority, ensuring compliance with all governance requirements.