Capital market regulator SEBI on April 26 sent a notice to former group operating officer of NSE, Anand Subramanian, asking him to pay Rs 2.05 crore in a case related to governance lapses at the stock exchange, and warned of arrest and attachment of assets as well as bank accounts if he fails to make the payment within 15 days. The notice came after Subramanian failed to pay the fine imposed on him by the Securities and Exchange Board of India (SEBI).
The regulator, through an order passed on February 11, levied a fine of Rs 2 crore Subramanian in the matter of governance issues at the exchange. SEBI charged former NSE chiefs, Chitra Ramkrishna and Ravi Narain, and others with alleged governance lapses in the appointment of Subramanian as the chief strategic advisor and his re-designation as group operating officer and advisor to then MD Ramkrishna.
In addition, Ramkrishna was accused of sharing confidential information of the company with an "unidentified person." The regulator levied a fine of Rs 3 crore on Ramkrishna and Rs 2 crore on Narain.
Narain was the MD and CEO of the National Stock Exchange (NSE) from April 1994 till March 2013. He was appointed as vice-chairman in the non-executive category on the NSE's board from April 2013 and remained so till June 2017. Ramkrishna was MD and CEO of NSE from April 2013 to December 2016. In its fresh notice, SEBI directed Subramanian to pay Rs 2.05 crore, which includes interest and recovery cost, within 15 days.
In the event of non-payment of dues, the market regulator will recover the amount by attaching and selling his moveable and immoveable property. Besides, he also faces attachment of his bank accounts and arrest. A similar demand notice was sent to Narain last week.
