FTIL, MCX shares plunge on stock exchange probe

Shares of Jignesh Shah-led Financial Technologies (India) Ltd (FTIL) and MCX today fell sharply amid a probe initiated by CBI into grant of license to MCX Stock Exchange over five years ago.

MCX-SX was set up by FTIL and MCX, but they have been now classified as 'public shareholders' as against 'promoters' earlier, pursuant to a Sebi-ordered restructuring of its board and governance structure.

A day after CBI registered a Preliminary Enquiry (PE) against FTIL and MCX as also two former top Sebi officials in a matter related to the grant of license to MCX-SX, the shares of the two listed companies fell sharply this morning.

FTIL was down 3.6 per cent at Rs 364.40, while shares of commodity exchange MCX were trading 4.6 per cent lower at Rs 491.95 at the BSE in late morning trade.

The group has been facing trouble ever since National Spot Exchange Ltd (NSEL), another entity set up by the same promoters, got engulfed in a major payment crisis putting a question mark on their 'fit and proper' status to run an exchange.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.
Image CAPTCHA
Copy the characters (respecting upper/lower case) from the image.

EDITORIAL OF THE DAY

  • Time and tide are ripe for megaplans such as Sagarmala

    To say that India’s infrastructure is in urgent need of upgrade would be to state the obvious.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

TODAY'S COLUMNS

Urs Schoettli

China looks to India for balance

Almost a third of the total world population lives in ...

Zehra Naqvi

Love and its stories

People must have bread. They can live without stories. No, Hameeda, ...

Dharmendra Khandal

Tiger in urban landscape

Ranthambhore is in a no-win situation. Just a few days ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture