The Telegraph
Saturday , January 4 , 2014
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MCX-SX rejig move

Sarkar: Chosen one

Mumbai, Jan. 3: MCX Stock Exchange, set up by crisis-hit NSEL’s promoters, today appointed Saurabh Sarkar as CEO and announced plans for fresh capital infusion by its existing shareholders.

After a board meeting here today, MCX-SX said market regulator Sebi had approved the appointment of the new managing director and CEO, who was likely to join shortly.

While the company did not disclose the name, sources said that Saurabh Sarkar, head of United Stock Exchange, had been selected to head MCX-SX, which commenced operations as a full fledged exchange in February 2013.

Trading in currency futures and options are done on the United Stock Exchange.

In October last year, Joseph Massey had resigned as the CEO of MCX-SX following a major payment crisis at National Spot Exchange Ltd (NSEL).

Financial Technologies and MCX have promoted MCX-SX. This apart, its shareholders also consist of a clutch of banks that includes Allahabad Bank, HDFC Bank, Corporation Bank, the SBI, Indian Overseas Bank and IFCI.

While renewing MCX-SX’s licence in September, the market regulator had ordered the setting up of an expert panel, which would take all key business decisions at the exchange following the NSEL crisis.

Announcing the decisions taken at today’s board meeting, MCX-SX said the board also gave its in-principle approval to a 1:1 rights issue to existing shareholders.

The exchange added that it would seek the approval of the institutional shareholders for the rights issue on January 13.