Commodity exchange MCX has sought shareholders’ approval to do away with permanent director’s post on its board that was held till recently by its founder Jignesh Shah.

The clause in the articles of association states that, Jignesh Shah shall be a Permanent Director of the company and shall hold office which shall not be liable to retire by rotation, the company said in a BSE filing.

FMC, on Wednesday, said Jignesh Shah and his firm FTIL are not ‘fit and proper’ to run any exchange in the country and charged him of being the “highest beneficiary” in the NSEL scam.

In another BSE filing, the bourse said FMC has appointed S N Ananthasubramanian, President, Institute of Company Secretaries of India (ICSI) as its nominee director on the MCX’s board.

Ananthasubramanian has been appointed in place of R M Premkumar, (retd IAS), as Forward Markets Commission (FMC) nominated director who has resigned from the board.

“...FMC vide letter dated December 19, 2013 has appointed S N Ananthasubramanian, President of ICSI, as FMC nominated independent director on the board of the company up to March 31, 2016,” the BSE filing added.

Multi-Commodity Exchange or MCX was founded by Shah in November 2003 and then went on to set up a stock exchange this year. He is currently the Chairman of Financial Technologies India Ltd (FTIL) which owns and runs National Spot Exchange Ltd (NSEL) where a Rs 5,500 crore payment crisis is being probed by multiple agencies.

On October 9, Shah had quit as Vice-Chairman and Shareholder Director of MCX-SX, the third major stock exchange in the country. Few weeks later, he also resigned as Vice-Chairman of MCX.

According to sources, after directions from FMC, MCX has called a meeting of its board on December 26 to decide on the regulator’s order to cut promoters stake from 26 per cent to 2 per cent.

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