Seven years on, Lehman Brothers surrenders its India broking licence

The company had last traded in September 2008

Nearly seven years after its collapse sparked off the global financial crisis, Lehman Brothers still retained the right to trade in Indian securities. It surrendered its broking membership on Wednesday. 

"The exchange has approved the request of the following member for surrender of its membership as under...All members are requested to take note of the same," said a June 10 circular from India's National Stock Exchange (NSE). 

The company had surrendered its BSE licence in 2013. 

Lehman was founded in 1850 and headquartered in New York. It was founded by Henry Lehman who immigrated from Germany to the United States of America in 1844. He opened a small shop, a general store, in the city of Montgomery in Alabama state in the same year. His brothers Emanuel and Mayer joined him six years later, and they named their venture Lehman Brothers. 

The latest NSE circular says that the exchange has approved the surrender of Lehman Brothers Securities Private Limited, with Sebi registration number INB231281537. The member last traded on September 24, 2008. 

Earlier circulars too had announced a surrender of separate broking licences. Many large entities have multiple memberships on bourses. Notices in this regard are seen in 2011, 2012 and 2013. Emails sent to the stock exchanges on the matter did not immediately receive a reply. 

However, an information form filled up by Lehman earlier showed memberships in BSE and the National Stock Exchange (NSE), and a merchant banking license. A check of regulatory records show that there is no registered merchant banker under the Lehman name. This suggests that the NSE circular may have wiped the last of the Lehman name in India.