Dse To Approach Mumbai Bourse Over Expansion

Senior DSE members have also decided to thwart any move on the part of DSE to become part of a national grid as envisaged by the Federation of Indian Stock Exchanges (FISE) in its meeting held last Saturday. Eight elected directors and former board members, Ashok Aggarwal, Rattan Singhania and Sanjay Kaul, will form part of the steering committee which will co-ordinate the work on the expansion of Delhi On-Line Trading System (DOTS) to other centres.

The steering committee, which met on Friday last, has set a deadline of January 1 for implementing the expansion plans of the bourse. This follows the recent clearance by the Securities and Exchange Board of India (Sebi) for the proposed expansion plans.

 

We will, from next week, commence negotiations with various stock exchanges including BSE for signing an MoU which is requisite as per the Sebi guidelines. We would first like to expand in the northern region, said Rahul Malik, a director on the DSE board.

The decision comes in the wake of a recent meeting held in Delhi between the BSE president, M G Damani, and four senior DSE members including the president and the vice-president of the bourse.

We discussed how the two exchanges can work together for the upliftment of the market, said a senior DSE member.

Senior DSE members have met the chief economic advisor, Shankar Acharya, to apprise him of their decision to expand, following the recent Sebi board meeting. At yesterdays meeting, it was decided that the exchange would have to take up the task of setting up its clearing corporation, which has been hanging fire for over an year, on a war footing. We cannot afford to take things easy anymore and work will now commence on a war footing. We have a very good software which is just right for undertaking any expansion, said a senior DSE official.

Meanwhile, senior DSE members have decided to strike down any proposal for the participation of the bourse in the proposed national grid, through inter-connectivity of 18 stock exchanges.

The decision comes just a week after the FISE decision to go ahead with the plan to set up a national grid. DSE is the chairman of the federation. The system is just not feasible and we will not allow the exchange to adopt it. It will first be spiked at the board level and if not there, then at the AGM which will have to pass a resolution to this effect, said a DSE board member.