Calcutta Members Draw Up 14-Point Charter

The strong body of opinion building up against the directive of the National Stock Exchange to its members, to furnish personal indemnity bonds by dominant promoters of broker firms, gathered momentum on June 21 as members of NSE held countrywide protests. The NSE Members Association in Calcutta drew up a 14-point charter of demands, which they submitted to the NSE officials in the Calcutta office on Saturday. The association has demanded a change in the status of NSE members from licensee to members with voting rights and a right to constitute the board of the exchange. The association also demanded an end to unilateral decisions by the governing body of the exchange like this recent directive about personal indemnity bonds.

The creation of a separate task force by the exchange was demanded by the members' association, so that all members' queries could be answered within 48 hours and the working of the exchange made more transparent.

There was also a demand by members that NSE and its clearing house should be run as non-profit organisations.

Deals and decisions taken by the governing body of the exchange on behalf of the members should be finalised only after the interests of the members are considered.

Cost of transactions should be reduced too, said members, and NSE should refrain from charging unreasonable amounts for V-Sat services. The members demanded a reduction in transaction charges and annual charges by 75 per cent.