New Delhi : Electrosteel Steels, which is undergoing insolvency resolution process, on Friday said the NSE has imposed a penalty of over Rs 1 crore on the company for non-compliance of filing its financial results for the quarter and year ended on March 31, 2018, within the required time.
As per regulatory norms, the company was under the obligation to submit its audited financial results for quarter and year ended March 31, 2018, within 60 days from the end of the financial year, that is by May 30, 2018. The company, which had requested an exemption from compliance under Regulation 33 of the Listing Obligations and Disclosure Requirements (LODR) from the Securities and Exchange Board of India (Sebi), said its request was denied on June 25.
Electrosteel Steels, however, said pending Sebi’s response to the exemption application filed by the company, the aforementioned penalty was imposed by NSE.
“The company is reviewing NSE’s letter and seeking appropriate legal advice,” it added. Last month, metal and mining giant Vedanta had acquired the management control of debt-laden Electrosteel. As per the resolution plan submitted by Vedanta, Electrosteel will be delisted from Indian stock exchanges – NSE and BSE.
In March this year, Vedanta was declared as successful resolution applicant by the committee of creditors (CoC) for Electrosteel under the corporate insolvency resolution process of the Insolvency and Bankruptcy Code, 2016.
