The Forward Markets Commission (FMC), on Monday, informed the Bombay High Court that it would soon obtain forensic audit of e-series of the National Spot Exchange Ltd. (NSEL).
The court was hearing the petitions filed about the e-series of NSEL.
The division bench of Justices S. J. Vazifdar and K. R. Sriram said that the audit should be conducted by an independent. It also directed NSEL to finance the audit.
“The rematerialisation requests shall not be processed and honoured for four weeks after the copy of audit is furnished before the petitioners,” the division bench stated in its interim order after the FMC told the court that it would not allow NSEL to accept or permit any rematerialization request, financial settlement or physical delivery till the forensic audit was received.
The court stated that NSEL would be allowed to operate the frozen accounts to finance the audit only if the amount in the operational accounts was not sufficient to fund it.
Earlier, the FMC informed the court that it was entrusted with the responsibility and power of supervising and regulating even the e-series contracts.
A bunch of public interest litigations have been filed in the court regarding NSEL and the alleged irregularities which are under investigation by the Economic Offences Wing of the Mumbai Police.
The court is slated to hear the petitions on November 18.
At present, NSEL members owe over Rs.5,500 crore to thousands of investors who have filed cases with the EOW of Mumbai Police following the default.