The roads infrastructure arm of IL&FS, IL&FS Transportation Networks (ITNL), on Thursday responded to the National Stock Exchange (NSE) notice, requesting it to waive the penalty for not filing its financial results for the three months ended September 30, 2018.

Earlier this week, NSE imposed fines and issued notices to a number of companies for non-compliance with listing regulations with ITNL being one of them.

ITNL cited a circular by markets regulator Securities and Exchange Board of India (Sebi), which sets out that stock exchanges may delay punitive action on companies in specific cases such as the one ongoing at ITNL at present. It said, according to the Sebi circular, it may be exempt from penalties since it has obtained a moratorium on enforcement proceedings by creditors at the National Company Law Appellate Tribunal (NCLAT), and its new board of directors is working to resolve the constraints in making payments to creditors and submit the financial results at the earliest.

Sebi rules mandate that exchanges follow uniform fine structures for non-compliance with listing norms. According to the rules, exchanges can impose a fine of Rs 5,000 per day for failing to file financial results, till the date of compliance. This is payable if it is the first case of non-compliance by the company. For subsequent and consecutive non-compliance incidents, a daily fine of Rs 10,000 can be imposed till the results are submitted. If the violation continues for more than 15 days, an additional fine of 0.1% of the paid up capital of the company, or `1 crore, whichever is less, is imposed.

As reported by FE on November 30, the government-appointed IL&FS board earlier this week put up a fleet of company-owned luxury cars for sale. These include Jaguars, Audis and BMWs, among other brands.

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According to information submitted to the exchanges since the new board has taken over, the total amount of repayments that the company has defaulted on stands at about Rs 6,000 crore.