Countdown To Bse Elections Begins

The countdown for the elections at the Bombay Stock Exchange (BSE) has begun with the last day for filing of the nominations for post of directors ending today.

Four member-brokers, Deena A Mehta, Ramesh M Damani, Mahendra Kampani and Anand Rathi have already filed their nominations seeking directorship of the exchange.

Four directors, Ashok Khandwala, Mahendra Kampani, J G Shah and M P Vora end their three-year terms.

While Kampani is eligible for one more term of three years as a governing board director, Khandwala will not be eligible for re-election and Vora had resigned in mid-1996 following the involvement of his kin in the price rigging operations. J G Shah, who was show-caused by Sebi in the Kamakshi Housing price rigging case, may not find favour as a director again, sources said.

The elections will be held on March 27, while the post of the president will be decided on April 3. The current president M G Damani, will be eligible for another term as BSE chief, after having been elected unanimously as president for the 1996-97 term on April 1 last year. Insiders said in the BSE governing board, there is a growing consensus that Damani is likely to come back as president for another term.

In fact sections on the board shower greater praise, terming Damani's term as the "golden period" when the pace of reform at the BSE improved, as did the bourse's relations with Sebi.

The exchange over the past one year has witnessed major changes, including gaining clearance for the controversial BOLT expansion plan to take on arch rival, the National Stock Exchange (NSE).

The recent decision for a one-time exemption from payment of capital gains tax by brokers seeking to turn corporate from individual/partnership is said to have stemmed out of the president's direct talks with the finance ministry to aid the broking community.

Changes have also come in through disciplining errant brokers for price rigging operations and streamlining the auction and settlement procedures.