Rathi Steel & Power Limited has successfully obtained a waiver from BSE Limited for a regulatory fine that was levied against the company for non-compliance with listing obligations. The development represents a positive resolution to a compliance matter that had been pending since May 2025.

Fine Waiver Details

The company disclosed that BSE Limited's relevant department has favorably considered its request for waiver of the fine imposed for non-compliance with specific listing regulations. The waiver was communicated through an official email from the exchange dated February 26, 2026.

Regulatory Non-Compliance Background

The fine was originally levied by BSE Limited due to the company's non-compliance with Regulation 19(1)/19(2) of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. These regulations specifically pertain to the constitution of the Nomination and Remuneration Committee for the quarter ended March 31, 2025.

Company's Acknowledgment

Rathi Steel & Power Limited has acknowledged that it inadvertently failed to intimate the waiver communication to the exchange within the mandatory 24-hour timeframe upon receipt. This disclosure was made as part of the company's transparency obligations under Regulation 30 of the listing regulations.

Corporate Compliance

The disclosure was signed by Namita Lal Madan, Company Secretary and Compliance Officer, with membership number 32625. The communication was digitally signed and submitted to BSE Limited on February 28, 2026, requesting the exchange to take the waiver information on record.

Rathi Steel & Power Limited has secured a significant legal victory with the Allahabad High Court staying GST recovery proceedings against the company. The court order, dated February 27, 2026, provides relief to the steel manufacturer in a substantial tax dispute involving INR 5.73 crore.

Court Order Details

The Hon'ble Allahabad High Court issued the stay order in response to a writ petition filed by Rathi Steel and Power Limited. The order specifically halts recovery proceedings that were initiated by the Office of the Deputy Commissioner, Ghaziabad, Uttar Pradesh under Section 74 of the GST Act, 2017.

Nature of Alleged Violations

The GST demand stems from alleged issues related to compliance requirements under the goods and services tax framework. The violations cited by the tax authorities include:

• Issues related to E-Way Bills
• Availment of ineligible Input Tax Credit
• Excess Input Tax Credit claims

These allegations fall under the purview of Section 74 of the GST Act, 2017, which deals with determination of tax not paid or short paid or erroneously refunded or input tax credit wrongly availed or utilized.

Financial Impact Assessment

Rathi Steel and Power Limited has disclosed that the court's stay order will not materially impact the company's operations. The management has stated that there will be no material impact on the financial operation or other activities of the company, providing reassurance to stakeholders about business continuity.

Regulatory Compliance

The disclosure was made under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, in compliance with sub para 20 of Para A of Part A of Schedule III. This follows the company's earlier disclosure dated December 30, 2025, indicating ongoing legal proceedings in this matter.

The stay order provides temporary relief to the company while the substantive legal issues are resolved through the judicial process. This development allows Rathi Steel and Power Limited to continue its operations without the immediate pressure of GST recovery proceedings.