Court urges SEBI, MCX-SX to amicably resolve issues
September 16th, 2011 - 11:56 pm ICT by IANSMumbai, Sep 16 (IANS) The Bombay High Court Friday directed the markets regulator, Securities and Exchange Board of India (SEBI) to resolve pending issues with MCX-SX promoters in a business-like manner and give thm a fresh chance.
Justice D.Y. Chandrachud also urged the SEBI to consider withdrawing its show-cause notice, based on which it passed its order to MCX-SX last year rejecting its application to start an equities trading platform, since most of the issues in the order have been resolved, an official said, requesting anonymity.
The two parties - SEBI and MCX-SX - have also been directed to return to the high court Sep 30 with a workable solution through assurances and undertakings.
The high court noted that for some small reasons, institutions should not be closed down as markets need competition.
After it secured recognition in 2009, MCX-SX was granted a one-year licence with a condition to comply with the Securities Contract (Regulation) - Manner of Increasing & Maintaining Public Shareholding in Recognised Stock Exchanges - within one year.
The other condition was it could only offer trading in currency future and would not be eligible for introducing any new class of contracts in securities till it fully complied with SEBI’s regulations.
Last year, the MCX-SX challenged the SEBI order rejecting its application to start the equities platform, on grounds that the former (MCX-SX) had not complied with its regulations.
- New stock exchange clocks Rs.3.49 bn average turnover daily - Nov 07, 2008
- MCX-SX currency futures turnover rises tenfold - Aug 01, 2009
- Court dismisses DLF plea (Lead) - Jan 03, 2012
- NSE to launch SME exchange in November - Nov 03, 2011
- Court dismisses DLF plea - Jan 03, 2012
- Godrej Properties to raise Rs.500-600 crore to reduce debt - Feb 10, 2012
- BSE SME exchange may come up by March-end - Feb 10, 2012
- TRAI imposes 5 paise deterrant for pesky messages - Oct 25, 2011
- Ordinance declares ULIPs life insurance product (Lead) - Jun 19, 2010
- Increase incentives to mutual fund distributors: SEBI - Jun 22, 2011
- NSE gets green signal for SME exchange - Oct 14, 2011
- Firms non-compliant with SEBI norms to face action - May 07, 2012
- SEBI alerts investors about risky market - Jan 14, 2011
- Insurance regulator bracing for spat with judiciary - Feb 14, 2011
- Relax investment norms for private equity funds: CII - Aug 21, 2011
Tags: anonymity, assurances, bombay high court, contracts, court noted that, currency, exchange board, institutions, mcx, promoters, sebi, securities and exchange, securities and exchange board of india, shareholding, stock exchanges, sx, trading platform, undertakings, workable solution