Suzlon Energy has been issued an advisory cum warning letter from both the National Stock Exchange of India (NSE) and BSE Limited (BSE) for violations of listing regulations, the company said in a press release on Tuesday.
What Happened: The NSE and BSE dispatched the letters on 30th September and 1st October 2024 respectively, under the Securities and Exchange Board of India’s disclosure requirements. The letters pointed out certain non-compliances on the part of Suzlon Energy with respect to the resignation of Marc Desaedeleer as an independent director and the failure to timely inform the exchanges about an analyst call held in June.
“It was observed that the disclosure for the resignation letter of the independent director didn't have any confirmation for the material reason, however, the company in its disclosure had provided such confirmation,” BSE and NSE mentioned in their warning letters.
In his resignation letter, Desaedeleer said that he was stepping down due to lapses in corporate governance and transparency within the company.
“The details related to names of listed entities in which the resigning director holds directorships, indicating the category of directorship and membership of board committees, if any, was not provided in the said disclosure,” the exchanges added.
Moreover, the company was also held up for not intimating the exchanges promptly about an analyst call held the following day.
“It was observed that the disclosure for the intimation of the analysts call held on June 09, 2024, was submitted on June 09, 2024, itself,” the letter said. Companies are required to inform of any such meetings at least two working days in advance.
In July, the company received a similar warning letter from NSE with respect to a disclosure made by the company in November 2023 about an "Intimation of Analyst/Institutional Investors Meet".
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