Comments
The Securities Appellate Tribunal (SAT) dismissed the appeal of Prime Broking Company against the National Securities Clearing Corporation Ltd (NSCCL), NSE and SEBI that the NSCCL had unjustly declared it a defaulter.
SAT found that Prime had not discharged the net settlement shortfall of ₹91.49 crore till date. This was despite NSCCL discharging its obligation to Prime’s counterparties by paying them out of its own profits and reserves and said that no fault can be found with the decision of the defaulter’s committee (of NSCCL) in declaring Prime to be a defaulter under its byelaws.
SAT also quashed Prime’s contention that it would have ceased to be a defaulter had NSCCL liquidated the 20 lakh shares pledged to it by Gitanjali and said Prime had never authorised NSCCL to sell Gitanjali shares.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.