Sebi allows exit of Hyderabad Stock Exchange

The Securities and Exchange Board of India (Sebi) on Monday allowed the exit of Hyderabad Securities and Enterprises Limited, formerly Hyderabad Stock Exchange (HSE), as a stock exchange. The regulator has said HSE, or its subsidiaries can continue to function as any other corporate entity or any other normal broking entity, subject to compliance with applicable laws. Sebi, however, has said HSE cannot use the expression 'stock exchange' or any variant in its name or in its subsidiary’s name, so as to avoid any representation of present or past affiliation with the stock exchange. Sebi said it would intimate the income tax authorities and the government of Andhra Pradesh about the exit of HSE, for appropriate action at their end. HSE had to comply with the Scheme for Corporatisation and Demutualisation, following which the central government had issued a notification in September 2007 on withdrawal of its recognition.