On February 24,2021, NSE halted trading in all its segments. The stock exchange informed that it has multiple telecom links with two service providers and that it received communication from both of them that there are issues with their links due to which there is an adverse impact on its system.
Following the incident, Sebi conducted investigations and issued show cause notices to NSE, NCL and its senior officials including Vikram Limaye, MD & CEO of NSE, Vikram Kothari, MD of NCL and Shiv Kumar Bhasin, chief technology & operations officer of NSE.
The regulator alleged failure of NSE and NCL to monitor services of vendor in respect of its core and critical activities, to ensure systems preparedness and readiness to move operations to DRS (Disaster Recovery Site).
In the show cause notice, it also alleged failure of NSE and NCL to ensure orderly execution of trades, real time risk management of trades and market integrity, failure in IT infrastructure capacity planning and management.
While Sebi’s proceedings were pending, NSE, NCL and its senior officials proposed to settle the matter with the regulator.
For all the latest Business News Click Here
For the latest news and updates, follow us on Google News.
