Multi Commodity Exchange starts search for new MD & CEO

The group has seen a string of top-level resignations since the NSEL was plunged into a payment crisis in Aug after halting trading in some contracts

The Multi Commodity Exchange of India (MCX) today began a search for a new Managing Director and CEO after Shreekhant Javalgekar resigned from the posts earlier this month in the wake of the Rs 5,600 crore payment crisis at group entity NSEL.

MCX was set up by Jignesh Shah-led Financial Technologies group, which is the promoter of the National Spot Exchange Ltd (NSEL) and the MCX Stock Exchange.

A major challenge for the next MCX chief will be to reverse the drop in turnover, which declined 62% to Rs 5,45,239 crore in September from Rs 14,36,724 crore a year earlier.

MCX has invited applications from candidates with at least 20 years of experience in management positions, including three years at the top management level.

The appointment will be subject to approval of regulator Forward Markets Commission and the term is three years, which can be extended, it added.

Currently, Deputy Managing Director Parveen Kumar Singhal is taking care of the day to day activities of the MCX.

The group has seen a string of top-level resignations since the NSEL was plunged into a payment crisis in August after halting trading in some contracts.

Javalgekar resigned on October 19. The MCX Stock Exchange announced the resignations of Shah as Vice-Chairman and shareholder-director and Joseph Massey as Managing Director and Chief Executive on October 9.

The Forward Markets Commission had issued show cause notices to Shah, Javalgekar and Massey on October 4, questioning their 'fit and proper' status to operate the MCX.

MCX-SX is also looking for a new MD and CEO and has already invited applications.