Stock exchanges impose fines on Dish TV over board irregularities

Leading bourses BSE and National Stock Exchange have again imposed penalties on DTH operator Dish TV over composition and lack of quorum for its Board meeting, according to a regulatory filing by the company.

The company has again received notices, imposing fines on February 22, 2024, said Dish TV on Friday.

The stock exchange notices, in which NSE and BSE both separately imposed a total penalty of Rs 4.26 lakh, were placed before the Board of the company, which met on Friday.

"National Stock Exchange of India Limited and BSE Lt had issued notices dated February 22, 2024, to the Company in respect of Noncompliance with the requirements pertaining to the composition of the Board for the quarter ended December 31, 2023, and constitution of Audit Committee & Stakeholder Relationship Committee for the quarter ended September 30, 2023," it said.

Stock exchanges "have imposed fines on the Company for the said non-compliances" with regulations 17(1), 18(1) and 20 of the SEBI Listing Regulations.

Earlier also, the bourses had imposed penalties over composition and lack of quorum for its Board meetings.

According to the board, this has happened due to non-approval of appointment/re-appointment of Directors, including non-approval of appointments of four Directors by the shareholders at the EEM on December 22, 2023, "the strength of the Board has been less than what has been mandated under SEBI Listing Regulations".

The Board has appointed Ravi Bhushan Puri as Executive Director and Sunil Khanna as Independent Director of the company with effect from December 22, 2023.

It further appointed Sonal Bankim Parekh as Independent Director of the Company with effect from January 22, 2024, it said.

Besides, the Dish TV board in its meeting held on Friday also considered and approved the appointment of Ritu Kaura and Manoj Dobhal as Executive Director of the company.

Subhash Chandra's family-led promoter and promoter group holds a mere 4.04 per cent share and is in a tussle with YES Bank over the reconstitution of the board.

YBL, which was Dish TV's largest shareholder until last year, sold its 24.2 per cent in the company to JC Flowers Asset Reconstruction Pvt Ltd.

Over the past few occasions, Dish TV shareholders have jostled down the company's proposals to approve the new appointments on the board in the EGM.