Govt confirms misdeed at NSE

New Delhi: The government on Tuesday said irregularities in the appointment of chief strategic advisor in the NSE during the tenure of a former MD&CEO were observed and the appointment was made without following due process.

The Securities and Exchange Board of India (Sebi) has informed that an ex-MD&CEO of NSE, had sought guidance from a 'siddha purusha/yogi', Minister of State for Finance Pankaj Chaudhry said in a written reply to the Rajya Sabha.

During the course of investigation by Sebi, it was found that certain emails on various matters were exchanged by that MD&CEO with the yogi, he said.

"Sebi has informed that irregularities were observed in the appointment of the chief strategic advisor (CSA), during the tenure of that ex-MD&CEO of NSE. This appointment was made without following due process of appointment," Chaudhry added. Accordingly, Sebi imposed monetary penalty and other restrictions on that ex-MD&CEO and the then CSA for violation of provisions of Sebi Act, 1992 and SCRA, 1956/Securities Contracts (Regulation) Act.