The Securities Appellate Tribunal (SAT) has set aside an order by the National Stock Exchange (NSE) against OPG Securities. The NSE had banned the Delhi-based OPG Securities from trading on its platform in all segments for six months in September, 2017. OPG Securities had allegedly got unfair access to NSE trading systems.
The suspension notice was issued by NSE on the grounds that OPG was found to be in violation of exchange by-laws and that despite repeated warnings OPG continued to log-in via secondary servers.
The SAT order details that according to the NSE various emails were exchanged between it and OPG to stop the use of secondary server frequently. Finally, NSE issued a warning vide email dated June 7, 2012. A forensic report by Deliotte brought to light certain adverse findings against OPG that it had, from time to time, used the secondary server despite there being no problem with the primary server. The impugned order was passed by the NSE committee.
SAT said: “In view of the fact that another forensic investigation report has come up, it would be in the interest of justice that impugned order be quashed and the matter be remanded to the respondent stock exchange to have a fresh look in the matter.”