To ensure good corporate governance practices, markets regulator SEBI has asked the government to ensure that listed PSUs are in full compliance with the norms relating to independent directors.
SEBI has also begun ‘sensitizing’ non-compliant Public Sector Undertakings (PSUs) directly about the norms mandating a certain percentage of independent members on their boards, a top regulatory official said.
While the government has assured SEBI that necessary action has been initiated to ensure compliance, the regulator on its part has initiated preliminary action against some of the companies while ruling out any leeway to the PSUs vis-a-vis their private sector peers.
SEBI is also firm on all listed state-run firms having at least one-woman director on their respective boards without any further delay, and also increase their public shareholding to minimum 25 per cent within stipulated timeframe.
While there is still time left for listed PSUs to have minimum 25 per cent public holding, the non-compliance on the woman director front is very low now, the official added.