This Article is From Oct 09, 2013

NSEL defaults 8th time, pays Rs 2.85 crore against Rs 174.72 crore

NSEL defaults 8th time, pays Rs 2.85 crore against Rs 174.72 crore
New Delhi:

Crisis-ridden National Spot Exchange Ltd (NSEL) today made the eighth straight payment default, as it could pay only Rs 2.85 crore to investors against scheduled amount of Rs 174.72 crore.

NSEL bourse had defaulted in payments on six previous occasions as well, while in the last (seventh) pay-out exchange was unable to pay as its account was frozen by economic offences wing (EoW) of the Mumbai police.

With today's pay-out, NSEL has been able to settle just about Rs 152 crore out of Rs 5,500 crore outstanding to the 13,000 investors.

"The total amount being disbursed today in a proportionate manner is Rs 2.85 crore," NSEL said in a statement.

Members of the exchange are advised to disburse the amount in the same proportion to all the pending clients having receivable amount against their unsettled obligations, it added.

According to the NSEL data, only one member out of 24 members have paid in Rs 2.85 crore so far to the bourse, against the pay-out requirement of Rs 174.72 crore.

The bourse, however, had availed a bridge loan of Rs 177.23 crore from its promoter Financial Technologies (FTIL) to make payments on priority basis to small investors.

NSEL, promoted by Jignesh Shah-led FTIL, is facing the problem of settling Rs 5,500 crore dues to 148 members after it suspended trade on July 31 on the government direction.

The bourse plans to settle the entire dues in 30 weeks' time, by paying Rs 174.72 crore for the first 20 weeks followed by Rs 86.02 crore for next ten weeks.