PTC India’s board has resolved not to induct Rajib Kumar Mishra as Chairman and Managing Director (CMD) or as a Director, despite a Securities Appellate Tribunal (SAT) order quashing SEBI’s earlier decision barring him from such roles.
The decision was disclosed in a regulatory filing dated December 14, which clarified that Mishra ceased to hold the CMD position as of June 12, 2024. The board meeting held on December 13 reviewed SAT’s December 11 ruling but resolved that Mishra would not be reinstated in any leadership role within the company.
SAT’s Exoneration of Mishra
Earlier, SAT had overturned SEBI’s June 12 order, which accused Mishra of corporate governance lapses during his tenure as CMD of PTC India and Chairman of PTC India Financial Services (PFS). SEBI’s ruling had barred Mishra from holding directorial or key managerial positions in listed companies for six months, citing alleged governance violations. A fine of ₹10 lakh was also imposed on Mishra.
In its ruling, SAT dismissed the allegations against Mishra as “baseless,” noting that he had endured the regulatory prohibition for six months without just cause.
Board’s Stand
Despite SAT’s judgment, PTC India’s board has decided not to reappoint Mishra to any leadership position. The board’s filing stated, “Rajib Kumar Mishra cannot be inducted as a Director or CMD on the Board of PTC India.”
Background of the Controversy
The SEBI order had accused Mishra of governance lapses at PFS, a non-deposit-taking NBFC promoted by PTC India Ltd. The regulator also penalized PFS’s former MD and CEO, Pawan Singh, with a ₹25 lakh fine and a two-year directorial ban in listed companies.
While SAT’s stay of SEBI’s penalties temporarily cleared Mishra’s record, the PTC India board’s decision signals a cautious approach to corporate leadership and governance practices moving forward.