A high-level panel headed by Arvind Mayaram that looked into alleged irregularities at the National Spot Exchange Limited (NSEL) submitted its report to Government on 24 September 2013.
The panel headed by Economic Affairs Secretary Arvind Mayaram was set up in August 2013 to look into the 5600 crore Rupees payment crisis at the Financial Technologies-promoted NSEL. Secretaries from the Union Corporate Affairs and the Union Consumer Affairs Ministries, the Revenue Department, and head of Enforcement Directorate, are part of the committee.
The report was finalised based on the reports of two working group from Enforcement Directorate and Reserve Bank.
The Union Government in August 2013 set up these working groups under this panel, comprising representatives from SEBI, RBI, FMC, Enforcement Directorate, Income Tax Department, Union Finance Ministry, Union Corporate Affairs Ministry and Union Consumer Affairs Ministry, among others.
NSEL is grappling with a payment crisis for settling dues worth 5600-crore Rupees and had to suspend trading activities on 31 July 2013 following a government directive.
About National Spot Exchange Limited (NSEL)
• National Spot Exchange Limited (NSEL) is the national level, institutionalized, electronic, transparent spot trading platform for commodities.
• It is a structured market place, set-up to transform the commodity market by way of reducing the cost of intermediation and thereby improving marketing efficiency. Its state-of-the-art technology facilitates risk free and hassle free purchase and sale of various commodities.
• NSEL provides customized solution to farmers, traders, processors, exporters, importers, arbitrageurs, investors and other stakeholders pertaining to commodity procurement, storage, marketing, warehouse receipt financing, etc.
• NSEL commenced Live trading on 15 October 2008. At present, NSEL is operational in 16 States in India, providing delivery-based spot trading in 52 commodities.
Who: Arvind Mayaram Panel
Where: New Delhi
When: 24 September 2013