Live
- Mahabubnagar MP Seat Witnesses Intense Competition among Congress, BJP, and BRS Candidates
- 150 Families from YSRCP Join TDP in Tanakallu Mandal
- Special prayers offered at Dargah during Keshineni Chinni's Nomination
- Dell launches AI-powered commercial PC portfolio in India
- Maha: 5 Vidarbha constituencies records 32.36 pc polling till 1 pm
- Congress, CPI-M not part of INDIA bloc in Bengal: Mamata Banerjee
- Madhubani Saree: The epitome of traditional elegance and modern beauty
- Fire in TTD Forest in Tirumala
- SC dismisses rape survivor's plea seeking action against Kerala judge
- Chiranjeevi Engages with Russian Delegates on Creative Ventures in Hyderabad
Sebi probe against NSE in Karvy case underway
Sebi probe against NSE in Karvy case underway
The Securities and Exchange Board of India (Sebi) has initiated proceedings against the National Stock Exchange (NSE) in the fraud case wherein Karvy Stock Broking Pvt Ltd (KSBL), transferred securities worth around Rs 2,300 crore of more than 95,000 clients into its account and pledged them with the banks and NBFCs
New Delhi: The Securities and Exchange Board of India (Sebi) has initiated proceedings against the National Stock Exchange (NSE) in the fraud case wherein Karvy Stock Broking Pvt Ltd (KSBL), transferred securities worth around Rs 2,300 crore of more than 95,000 clients into its account and pledged them with the banks and NBFCs. In a reply to the Lok Sabha, the Minister of State for Finance and Corporate Affairs, Anurag Thakur said:
"Sebi has initiated proceedings against NSE in the matter of KSBL for violating provisions of Sebi Circulars pertaining to monitoring of brokers and oversight of members."
He also informed that the Sebi has already initiated action against the Directors and Key Management Personnel (KMP) of KSBL. Sebi passed an Ex-parte-Ad-Interim order in the matter of KSBL on November 22, 2019. Pursuant to this order, securities belonging to 82,559 clients of worth around Rs 2,000 crore were transferred to respective fully paid-up clients of KSBL.
Thakur said that the interim order was confirmed by Sebi through order dated November 24, 2020 and the NSE declared KSBL a defaulter on November 23, 2020 and initiated claims as per the bye laws of the exchange.
"During the period 22nd November, 2019 to 22nd November, 2020, funds of 2,32,323 clients aggregating to Rs 125.20 crore and securities of 1,57,769 clients aggregating to Rs 2,345.82 crore were settled. Further, as on 19th February, 2021, an amount of Rs 81 crore has been paid to 3,398 clients from Investor Protection Fund (IPF) of NSE as per the bye laws of the exchange," he said.
