Tag : MPID

Mumbai: The National Spot Exchange Limited (NSEL) on Tuesday said the Maharashtra Protection of Interest of Depositors (MPID) Court has directed the Economic Offences Wing (EOW) of Mumbai Police to probe the involvement of former Forward Markets Commission (FMC) Chairman Ramesh Abhishek in the Rs 5,600 crore NSEL crisis and submit its report within 40 days. An application was filed by NSEL on a backdrop that the Mumbai EOW filed its final charge sheet in December 2022, but had not investigated the role of FMC and its then chairman Ramesh Abhishek in the NSEL payment default case. In its recent order, the MPID Court asked the investigating officer to carry out a free and impartial investigation into the role of Ramesh Abhishek, the then Chairman of FMC during the period of offence. Further, the investigating officer has been directed by the Special Court to submit its report as early as possible, preferably within 40 days from the order date without fail. In its representation to the EOW in 2020, NSEL had highlighted several instances of negligence and failures on the part of Abhishek, which the agency did not investigate. "We are hopeful that the investigation into the role of Ex-FMC Chairman Ramesh Abhishek will be fair and impartial, and will unearth the motive behind the inactions," said NSEL Managing Director and CEO Neeraj Sharma. The crisis was engineered by the ill-advice of FMC chairman to the Department of Consumer affairs (DCA) that NSEL had violated certain conditions of exemption granted to it under FCRA. This resulted in the DCA issuing Show Cause Notice (SCN) to the exchange in April 2012. Despite a detailed reply to the SCN and a subsequent follow up, there was no decision on the SCN until July 2013, when the exchan ...