NSE slashes quantum of penalty on stock brokers for 'abnormal trades'

Leading stock exchange NSE on Tuesday decided to slash the quantum of fine imposed on stock brokers for "abnormal trades" executed on behalf of their clients.

The decision was taken following protest from trade bodies that were seeking a withdrawal of these fines citing impact on trade volume, market participants said.

"The exchange shall levy a penalty of 15 per cent of the profit earned or loss incurred on the trading members for both profit and loss making abnormal or non-genuine transactions after following the due process and providing necessary opportunity to the trading member for clarification in the matter," NSE said