FMC sends fit & proper notice to NSEL promoters, Fin Tech

Forward Markets Commission (FMC) has issued fit and proper notices to Financial Technologies (FT), the promoter of MCX and Jignesh Shah - the group owner. This is basically being issued to ask them exactly why they should not be declared as fit and proper to shareholders and directors on MCX. Besides them, even Joseph Massy, who is currently the MD and CEO of MCX-SX and Shreekant Javalgekar, who is MD & CEO of MCX, has got these notices.

According to notices, National Spot Exchange (NSEL) owners knew that there were some things which were not happening in the stock exchange and despite knowing that they allowed borrowers to make that trade. Although Anjani Shah, who was the MD and CEO of NSEL, has taken responsibility and said that it was his fault, the board should not be absolved. Also Read - Aggrieved investors eye Rs 500cr worth of bullion with NSEL These are some of the key things that have been pointed out and highlighted in FMC’s notice. On the other hand, Economic Offences Wing (EOW) also issued some notices against Jignesh Shah and said that they will not be allowed to leave India without permission. So clearly, with all these agencies acting in full swing, even MCX is investigating and will come out with report in three-four weeks, things are not looking very good for NSEL promoters at this point of time.