Sebi cancels registration of Emkay Commotrade in NSEL case

The Securities and Exchange Board of India (SEBI) has cancelled the registration of Emkay Commotrade for giving access to illegal ‘paired contracts’ on the defunct National Spot Exchange (NSEL). SEBI said it raised doubts on the company’s competency to act as a registered securities market intermediary and that the company cannot be called a ‘fit and proper person’ for holding the certificate of registration. The NSEL’s ‘paired contracts’ trading scheme saw investors incur a loss of INR 5,500 crore ($736.8m). Emkay’s clients must withdraw or transfer their securities or funds within the next 15 days.