After halting operations for over six months on account of poor financial performance, Reliance Capital and MMTC-sponsored Indian Commodity Exchange or ICEX has received a final reminder from commodities regulator to come up with a revival strategy.
CNBC-TV18 learns that the Forward Markets Regulator has given ICEX a last chance to present its case before the regulator or shut shop and repay its trading members. FMC has asked ICEX to submit a business revival plan within a week or it may be asked to shut shop in case of a delay.
Further, FMC may even ask ICEX to refund members in the absence of a revival plan. The exchange suspended trade in April 2014 due to consistent losses.
Reliance Capital and MMTC hold 26 percent each in ICEX, with Indiabulls holding another 14 percent.
FMC had asked ICEX to submit a revival proposal by October. The exchange had formed a committee for the same. They had said they are working on a revival plan and are getting positive traction from the market.
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