FMC tightens scrutiny on MCX

Mumbai: The commodities market regulator has written to the chairman of the newly formed oversight committee of Multi-Commodity Exchange of India Ltd (MCX) to review all contracts and agreements, and financial and other commitments it has made since 1 April.The directive by the Forward Markets Commission (FMC) comes as the regulator tightens its scrutiny of many aspects of the functioning of MCX, promoted by Jignesh Shah-led Financial Technologies (India) Ltd (FTIL), which owns a 26% stake in the exchange.

Mint has reviewed a copy of the 6 November FMC letter addressed to Pravir Vora, chairman of the oversight committee that was constituted following the Rs.5,574.35 crore payment crisis at National Spot Exchange Ltd (NSEL), in which FTIL has a 99.99% stake.