Sebi approves exit of Interconnected Stock Exchange

ISE becomes fifth bourse to cease operations under new exit policy

The Securities and Exchange Board of India has approved the exit order of Inter-Connected Stock Exchange of India (ISE), a bourse which was set up by the coming together of around 12 regional bourses.

"Whole Time Member, Sebi, has passed an Order on December 08, 2014 providing the exit to Inter-connected Stock Exchange of India Limited ("ISE"). ISE is the fifth Stock Exchange to exit under this policy," according to a statement on the regulator's website.

The recognition of ISE was last renewed by Sebi for a period of one year commencing on November 18, 2013 and ending on November 17, 2014. The approval was subject to the condition that no trades are to take place before meeting the necessary regulatory requirements.

The regulator has required exchanges to have a networth of Rs 100 crore and an annual turnover of Rs 1,000 crore.

The ISE board subsequently passed a resolution to apply for exit on May 29, 2014.

"A copy of this order shall be forwarded to the Income Tax Authorities and the State Government of Maharashtra and Ministry of Corporate Affairs intimating the exit of ISE and for appropriate action at their end as per applicable laws," said the order.

ISE is the fifth exchange to exit after the regulator tightened exchange norms. Regional exchanges from Hyderabad, Saurashtra, Coimbatore and Mangalore have already exited.