Sebi imposed a heavy penalty of Rs 12 lakh on the Metropolitan Stock Exchange of India (MSEI), its Managing Director (MD) Latika Kundu and HR Head and Chief Financial Officer (CFO) Saket Bhansali in violation of the securities contract’s rules, according to a media report on Tuesday.
It said Sebi’s order directed the fined entities to pay the penalty within the period of 45 days.
The market regulator's order came following MSEI’s failure to provide necessary projections in terms of Indian AS1 (Accounting Standard 1) and its failure to seek relaxation regarding key management personnel (KMP).
Furthermore, the report said Kundu didn’t follow the standard operating procedure (SOP) while appointing KMP employees. She even gave a clean chit to two exchange officials namely Kundan Zamvar and Kunal Sanghavi involved in anomalies concerning mismanagement in uTrade contract.
Sebi underlined such acts violate the provisions of securities contracts rules and accordingly, imposed a fine of Rs 4 lakh each on MSEI, Kundu, and Rs 2 lakh on Bhansali.