The Securities and Exchange Board of India (SEBI) on May 19, 2022 has issued a press release regarding withdrawal of Permanent Recognition granted to Indian Commodity Exchange Ltd. due to non-compliance with net-worth requirement, SEBI circulars, SEBI inspection observations and infrastructural requirements as prescribed under Securities Contracts (Regulation) (Stock Exchanges and Clearing Corporations) Regulations, 2018.
ICEX was directed to (a) transfer the money available in the Investor Protection Fund and Investor Services Fund of ICEX to SEBI Investor Protection and Education Fund; (b) set aside sufficient funds to provide for settlement of any claims; (c) pay the dues outstanding to SEBI; and (d) pay SEBI registration fees as per SEBI (Stock Brokers) Regulations, 1992 by its trading members.
Now SEBI has directed ICEX to refrain from using the expression ‘stock exchange’ or any variant in its name or in its subsidiary company’s name.
[Press release No. 17/2022]
