Companies & Sectors
Jignesh Shah resigns from MCX

Jignesh Shah’s resignation leaves MCX in the hands of all non-promoter and nominee directors

Jignesh Shah, the promoter of Multi Commodity Exchange of India Ltd (MCX), the country's largest commodity exchange, has resigned as non-executive chairman of the Exchange. Last week, the Board agreed to give Mr Shah more time (to step down) till the Forward Markets Commission (FMC) takes a decision on this matter. Mr Shah’s resignation also means that MCX would now have 10 appointed or nominated directors out of 11 members, who are non-promoters. Mr Shah has lost control over the company that he created, at least for now.
 

His statement shows that he thinks he has lost control over the company forever. Mr Shah is founder chairman, managing director and chief executive of Financial Technologies (India) Ltd, the main promoter of MCX. In a release, he said, "I wish the very best to the management and Board of MCX for future. I hope that they will do justice to the growth opportunities ahead of them and I will see the institution grow from a distance for the rest of my life." he added.
 

Mr Shah admitted that "The National Spot Exchange Ltd (NSEL) crisis has destroyed everything that I have worked hard to build over past two decades. My loss is not just financial but what has hurt me and my family most is the concerted effort to destroy my credibility and trust for which I have lived by all my life."
 

As reported by Moneylife, following the resignation of Mr Shah, the country's largest commodity exchange would be now run by all nominated directors. This not only raises a big question over the future of MCX but also makes foreign investors to re-consider their decision to stay invested. After all, who would be interested, if there is nobody to grow the company?
 

While commodities market regulator FMC has appointed six directors, the National Bank for Agriculture and Rural Development (NABARD) has nominated one director on the MCX board of 11 members. There are three representatives from banks as shareholder director on MCX board. This includes KN Raghunathan (general manager for treasury at Union Bank of India), Sanjaya Agarwal (general manager for treasury and investment at Bank of Baroda) and P Paramasivam (general manager at Corporation Bank).
 

Except Paras Ajmera, the nominee of Financial Technologies, all other members on the MCX board are nominee directors. This leaves complete control of MCX in the hands of people who are not promoters.

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COMMENTS

pinakin mamtora

3 years ago

We read about Jignesh Shah in the book 'Path breakers' many years back & in 2013, he has 'broken' the 'path' of many investors who had reposed their trust in him. He has lost it all, for some quick crores of other peoples' money.

Nifty, Sensex continue to head up: Thursday closing report

Indian markets are headed for a new high. Watch for a close below 6,230 for the uptrend to break

The stock markets remained positive throughout much of Thursday’s session before a late rally extending the markets to end positive for the third day in a row, amidst heavy volumes on the derivatives expiry day. The sentiment remains very positive as of now and the indices will take a crack at an all-time high soon.
 

The Sensex and the Nifty opened at 21,000 and 6,237, respectively, almost flat. And it hovered little above this level for much of the trading session. The Sensex and Nifty hit an intra-day low at 20,991 and 6,235, respectively. However, a surge towards the end of the trading session brought the market back to life. Sensex and Nifty hit their respective intra-day highs of 21,205 and 6,309 respectively, before closing at 21,164 (up 130 points or 0.62%) and 6,299 (up 47 points or 0.76%) respectively.
 

However, the breadth of the market was barely even, with slightly more advances than declines, signifying resistance. Out of 1,218 stocks, 636 were up, 515 were down and 67 were unchanged. The volumes on the National Stock Exchange was seen at 89.94 lakh shares among the highest on a derivative expiry day when volumes are much higher than other days .
 

All NSE sectoral indices were in the green except for pharmaceuticals which was down 1.44%. PSU Banks finished strongly and shot up 7.40%.
 

Among the Nifty stocks, 35 stocks ended in the green. The top five gainers were Bank of Baroda (up 10.98%); PNB (9.44%); SBIN (4.35%); JP Associates (4.14%) and IDFC (3.48%). The top five losers were Dr Reddy (down 3.49%); Ambuja Cement (2.80%); Sun Pharma (1.71%); Lupin (1.68%) and Ranbaxy (1.31%).
 

The key moment for markets, the decision of the US Federal Reserve to maintain status quo in its bond purchase program, came and went without much fanfare as the outcome was expected. But many were disappointed. A reading between-the-lines of the Federal Open Markets Committee statement indicates a vague idea of tapering some time in the future based on data.
 

Meanwhile, the Euro region recovery remains questionable as unemployment numbers were discouraging, at 12.2%, a record high in September, though inflation did slow down. The ECB announced that existing swap lines with central banks will be permanent, indicating that all options are on the table in case of crisis.
 

Most European markets were seen trending higher. Similarly, most Asian markets were down, with only New Zealand up by 0.86%. US Futures were flat.

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Pay Rs500 and get an Aadhaar: IndiaNews' sting operation

In what appears to be the tip of an iceberg, the sting operation by IndiaNews highlights dangers of giving 'Aadhaar' to illegal immigrants that would help them to get all benefits meant for Indian citizens

IndiaNews, a Hindi TV news channel has unearthed a scam where anyone can buy Aadhaar or the unique identity number by paying just Rs500. According to a sting operation carried out by the channel in Noida, one person Samir (who is allegedly an employee of Smart Chip Ltd) used to provide Aadhaar letter without taking any proof from the applicant.

 

The report says Samir was issuing Aadhaar letters to even non-Indians on payment of Rs500 or more.
 

 

As per Unique Identification Authority of India (UIDAI) the person enrolling for its UID number scheme, has to either submit proof of identity (POI) or address (POA), date of birth and proof of residence (POR). This however, can be sidelined as UIDAI says "Resident who does not have POI and POA may get enrolled through an Introducer/ Head of Family".

 

IndiaNews is run by Kartikeya Sharma, who recently bought News X and The Sunday Guardian.

User

COMMENTS

May

3 years ago

It is a little sad to state that you make outrageous statements like 'The report says Samir was issuing Aadhaar letters to even non-Indians on payment of Rs500 or more.'
No individual can issue an Aadhaar letter.
It is issued by UIDAI.
Seems like there is a lot of hearsay in this report and hardly anything concrete.
Aadhaar letter and Aadhaar enrollment letter are 2 different things.
Do not try to sensationalize such inaccuracies

REPLY

Vaidya Dattatraya Vasudeo

In Reply to May 3 years ago

You seem to know the thing well. What are the cross-checks in the system. Does it have a record who can be held responsible for bypassing the documents or accepting unverified documents. What punishments can be imposed on such persons. How long could it take. Which authorities, government or out-sourced organization are responsible.

I feel it a good scheme to be able to identify each and every person. The bad thing is there is no distinction between Indian Citizen and outsiders. Once a person gets Aadhar Card, he has access everything in India, such as Pan Card, Bank Account, Proof of Residence, Proof of Identity, Gas Registration, Election Card and may be Passport too. Bharatmata Ki Jai. ??

May

In Reply to Vaidya Dattatraya Vasudeo 3 years ago

Dear Vaidya - Cross checks to the best of my knowledge (based on all info provided on Aadhaar web-site) include various demographic data check which includes automated and manual checks, biometric data check again automated and manual (if automated returns a result which requires manual check of the enrollment packet)and then it goes on for a few other checks before which it is processed for Aadhaar number. These are some of the many other reasons why it takes 60-90 days for an Aadhaar applicant to know whether his application has been accepted or rejected.

At every stage in the processing of the aadhaar application, logs of all activities are available for any verification and traceability purpose. Each log contains details of the system, process or person who processed the enrollment packet. Punishments have been meted out to various entities involved in the system for non-compliance to the processes laid down which include a permanent record of the incident and at times even legal proceedings have been initiated with jail terms being served. How long such actions can take are left to our system which I am sure you are aware of and how it functions. All entities involved in the operations, technology, processing, storing and transferring of any enrollment application or aadhaar generation are responsible. All this available on http://www.uidai.govein

Yes, while there is still doubt on whether it can be given to any resident who has been in India for more than 6 months, at the end of the day, every resident would be identified by their biometrics.

Jai hind. This is a good program if operated and managed in the spirits it was meant for and for any political purpose.

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