2016 (11) TMI 1622 - AT - SEBI

Cancellation/Annulment of trade guilty of gross negligence by not installing requisite checks and balances as there was punching of erroneous selling order Whether mistake of punching erroneous sell order constituted material mistake in trade and was annullable under Bye law 5(a) framed by NSE - HELD THAT - In view of the decision of this Tribunal in the case of M/s. Emkay Global Financial Services Limited vs. National Stock Exchange of India Limited Ors. 2015 (8) TMI 335 - SECURITIES APPELLATE TRIBUNAL MUMBAI which is subsequent to the impugned decision, the Committee of NSE would rehear all the parties and pass fresh order on merits. Accordingly, the impugned order is allowed to be withdrawn with liberty to the Committee of NSE to pass fresh order on merits. NSE is directed to give all the relevant trade and order logs to all the parties before passing the fresh order.

Summary

Issues: Challenge to decision of Standing Committee of NSE

Analysis:
The appeal was filed to challenge the decision of the Standing Committee of the National Stock Exchange of India Limited (NSE) dated May 6, 2014. The counsel for NSE acknowledged that in light of a previous decision by the Tribunal in the case of M/s. Emkay Global Financial Services Limited vs. NSE, the Committee of NSE would rehear all parties and issue a fresh order on merits. Consequently, the impugned order was allowed to be withdrawn, granting liberty to the Committee of NSE to issue a fresh order on merits. NSE was directed to provide all relevant trade and order logs to all parties before issuing the fresh order. The appeal was disposed of with no order as to costs.