NSEL crisis: Certain entities under scrutiny, says Pilot

The crisis at the bourse is being investigated by multiple agencies, including the Economic Offences Wing of the Mumbai police

Emphasising that the government is taking a holistic view on NSEL crisis, Corporate Affairs Minister Sachin Pilot today said certain entities are being scrutinised to check whether they have violated any laws.

 

National Spot Exchange Ltd (NSEL), promoted by Jignesh Shah-led FTIL, is grappling with a Rs 5,600 crore payment crisis.

 

"The government has taken many initiatives as far as NSEL is concerned. Initiatives have been taken by the Ministry of Finance, Corporate Affairs, Consumer Affairs, Income Tax and Sebi... The process is also under litigation in some cases. We are taking a holistic view," Pilot said here.

 

He was responding to queries related to NSEL fiasco.

 

Without taking names, Pilot said the process of scrutinising certain entities with regard to NSEL issue is on.

 

"(For) entities that need to be scrutinised further, I am not saying investigate but scrutinise for any complaint that we receive, it is incumbent on us to take action with regard to compliance. That process is on," he said.

 

The crisis at the bourse, which suspended operations on July 31 following government direction, is being investigated by multiple agencies, including the Economic Offences Wing of the Mumbai police.

 

Among others, a high panel headed by Economic Affairs Secretary Arvind Mayaram has submitted a report on the NSEL fiasco. Besides, the Corporate Affairs Ministry has ordered an inspection of books of entities including NSEL and FTIL.

 

Noting that there are enough laws in the country, the Minister said that there should be "fewer but very strong regulations and 100 per cent compliance".

 

"It should create a sense of comfort as opposed to fear psychosis in the minds of industrialists and corporates and we should work hand in hand with the Indian corporate sector," he said.