Sebi Supersedes Pune Se Board For Six Months

Sebi has appointed former Reserve Bank of India executive director W S Tambe as administrator of the exchange under section 11 of the Securties Contracts and Regulations Act.

Two public nominees on the PSE, Col Jattar and PC Parmar, and the executive director P L Kadlaskar met Sebi chairman D R Mehta yesterday. None of the elected directors of the board were present since all the five elected directors, who were show-caused by Sebi, had resigned. The five are exchange president Rajesh Kasat, vice-president Jitendra Wagh, treasurer Pramod Shah and elected directors Vardi Rathod and A Sathe. They had accepted moral responsibility for the illegal badla at the exchange.

 

Addressing newspersons yesterday, Sebi chairman Mehta said the executive director Kadlsakar would continue to function as an employee of the exchange and would assist the administrator in the overall running of the exchange. However, he would no longer have the powers of an executive director. "The exchange is to have its annual general meeting on Saturday where the board will elect five new members. So any decision on the supersession had to be taken today (Friday)," Mehta explained. He said: "The supersession could be extended beyond six months if the governance at the exchange does not improve in the next six months." In the mid-80s, finance ministry had superseded the governing board of Cochin Stock Exchange for infighting among the board members who had filed series of court cases against each other.