NSE Co-Location Scam: ED Arrests National Stock Exchange's Former CEO Chitra Ramakrishna

The court has granted 4-day remand of Chitra Ramkrishna under ED custody

Chitra Ramkrishna was arrested by the CBI in March in connection with an investigation involving former NSE employee Anand Subramaniam.

The Enforcement Directorate (ED) on Thursday arrested Chitra Ramakrishna, former chief executive officer (CEO) of National Stock Exchange in NSE co-location scam case, news agency ANI reported.

Ramakrishna was produced before a special CBI judge earlier on Thursday. The court has granted 4-day remand of Ramkrishna under ED custody.

ED arrests Chitra Ramakrishna, former MD and CEO of National Stock Exchange; ED granted 4-day remand by court

— ANI (@ANI) July 14, 2022

Ramkrishna (59), who served as NSE's CEO between 2013 and 2016, was arrested by the Central Bureau of Investigation (CBI) in March in connection with an investigation involving former NSE employee Anand Subramaniam.

The Securities and Exchange Board of India (Sebi) on February 11 had charged Ramkrishna and others with alleged governance lapses in the appointment of Anand Subramanian as the chief strategic advisor and his re-designation as group operating officer and advisor to MD.

Earlier, the capital market regulator has imposed penalties on 18 entities, including NSE, Chitra Ramakrishna, Anand Subramanian, and others in connection with the NSE co-location case.

The Sebi imposed a cumulative penalty of Rs 43.8 crore on the 18 entities, with the NSE alone slapped a Rs 7-crore fine, while Rs 5 crore on Chitra Ramakrishna, Rs 5 crore on Anand Subramanian, and Rs 5 crore on Ravi Varanasi.

The board has also slapped a penalty of Rs 1 crore each on Nagendra Kumar SRVS, Deviprasad Singh, and MR Shashibhushan, Rs 1.10 crore on Prashanth D'souza, Om Prakash Gupta, Sonali Gupta, Rahul Gupta, Rs 3 crore on Sampark Infotainment Pvt. Ltd, Rs 5 crore on GKN Securities, and Rs 6 crore on Way2Wealth Brokers Private Ltd. Rs 10 lakh penalty has been imposed on Netaji Patil, Rima Srivastava, Parshant Mittal, Mohit Mutreja.

The Sebi has sent notices to the entities and asked them to pay the total amount of penalty within 45 days of the receipt of the order though demand draft or online.