NSE, ICCL dispute over Rs 100 crore clearing charges intensifies

A dispute over clearing charges between the National Stock Exchange (NSE) and the Indian Clearing Corporation (ICCL), a subsidiary of the BSE, has intensified.

 

The NSE has accused ICCL of "overcharging," even as the latter has raised a demand of approximately ₹100 crore from the exchange.

 

According to sources familiar with the matter, ICCL issued a demand notice to NSE on February 7 for dues amounting to around ₹100 crore, followed by a reminder on February 14.

 

In response to queries regarding the demand, an NSE spokesperson stated that ICCL had been charging the exchange double the standard rates for an extended period. The spokesperson claimed that the NSE is yet to recover over ₹51 crore from ICCL due to these overcharges.

 

“The double-charging of rates by ICCL was identified in 2022 and promptly brought to their attention by the NSE. Despite this, ICCL continued to apply the inflated rates until last month. The total overcharging by ICCL exceeds ₹113 crore," the spokesperson said.

 

The spokesperson further clarified that while ICCL has raised corrected bills for recent periods, which the NSE will settle in due course, the previously overcharged amounts remain unresolved.

 

"The NSE has yet to recover ₹51 crore from ICCL as per the current situation," the spokesperson added.

 

ICCL couldn’t be reached for a response to NSE allegations.

 

This dispute comes at a time when NSE Clearing (NCL) reported a deficit of ₹177 crore in the minimum liquid assets required under the Securities and Exchange Board of India (Sebi) regulations.

 

NCL attributed this shortfall to pending dues of ₹312 crore from its rival BSE. However, NCL has assured stakeholders that the deficit will be addressed through internal accruals and the recovery of receivables by March 31, 2025.

 

The interoperability framework, introduced in 2019, allows trades executed on any exchange to be cleared or settled through either of the two clearing corporations. Clearing and settlement fees are typically linked to trading turnover, with fees decreasing as turnover increases. This framework is also critical for maintaining market stability in the event of technical issues or unforeseen disruptions at one exchange or clearing body.