Mumbai, May 22 (IANS) The Securities Appellate Tribunal (SAT) has been granted a stay on SEBI orders in the co-location issue specifically pertaining to disgorgement order.
“The direction in impunged order relating to disgorgement by the NSE shall remain stayed during pendency of the appeal. The matter would be listed for admission and final disposal on July 22, 2019,” the order read.
Accordingly, NSE has to transfer Rs 624.89 crore and Rs 62.58 crore into SEBI account by the way of deposit in an interest bearing account in two weeks. As per the order, the amount deposited with SEBI is subject to the final output of case which will be next heard on July 22, 2019.
In case if the final result is in favour of NSE, the Securities and Exchange Board of India will return the entire amount along with interest to NSE.
Further, NSE has been ordered to comply with SEBI directive to not come out with an IPO for the next six months from April 30. The development assumes significance as on April 30, the market regulator, in a marathon five orders in the co-location case, came down heavily on the NSE.
The co-location case was based on allegations about collusion and lack of oversight which allowed a few brokers to get faster access to market data.
In one of the orders, the regulator directed the NSE to disgorge Rs 624.89 crore in the co-location case.