Former NSE Chief Chitra Ramkrishna Gets Demand Notice Of Rs 3.12 Crore From Sebi

The Sebi said that it will recover the amount by attaching and selling Chitra Ramkrishna's moveable and immoveable properties in an event of non-payment

Chitra Ramkrishna is lodged in Delhi’s Tihar Jail after she was arrested by the CBI on March 6 in the NSE co-location scam case.

Source : Getty

New Delhi: The Securities and Exchange Board of India (Sebi) on Tuesday sent a notice to former chief of the National Stock Exchange (NSE) Chitra Ramkrishna asking her to pay Rs 3.12 crore in a case related to governance lapses at the stock exchange, the PTI reported on Tuesday.

The report said that the Sebi has also issued a warning saying if Ramkrishna fails to make the payment within 15 days she will be arrested and her bank accounts and assets will be attached.

The notice came after Ramkrishna failed to pay the fine imposed on her by the capital market regulator.

Sebi, in an order dated February 11, had slapped a penalty of Rs 3 crore on Ramkrishna for alleged governance lapses in a case related to the appointment of Anand Subramanian as the group operating officer and advisor when she was at the helm of NSE as its managing director and chief executive officer, as well as for sharing confidential information of the company with an unidentified person.

Apart from penalising Ramkrishna, Sebi had imposed a penalty on Ravi Narain, who was the predecessor of Ramkrishna, and Subramanian and others.

In its fresh notice, the Sebi asked Ramkrishna to pay Rs 3.12 crore, which includes interest and recovery cost, within 15 days. In an event of non-payment of dues, the Sebi will recover the amount by attaching and selling her moveable and immoveable properties. Besides, Ramkrishna faces attachment of her bank accounts and arrest.

Currently, Chitra Ramkrishna is lodged in Delhi’s Tihar Jail after she was arrested by the CBI on March 6 in the NSE co-location scam case and probe linked to other governance lapses at the bourse.

The regulator last month issued similar demand notices to Narain and Subramanian.

In April, the Securities Appellate Tribunal (SAT) admitted Ramkrishna’s plea against the Sebi order in regard to governance lapses at the exchnage and directed her to pay an amount of Rs 2 crore.

The appellate tribunal had also directed NSE to deposit more than Rs 4 crore towards leave encashment and deferred bonus of Ramkrishna in an escrow account as against Sebi’s direction where the amount was to be parked in the Investor Protection Fund Trust.