The National Stock Exchange (NSE) privately warned Future Retail it risked regulatory action for not making timely market disclosures about efforts by Amazon.com to block a disputed asset sale, according to e-mails reviewed by Reuters .
Previously unreported e-mails exchanged between the NSE and Future show the stock exchange repeatedly requested the company to submit more details of the arbitration order, seeking details of possible impact on financials, lenders and the Reliance deal.
On October 27, NSE asked Future why it had not disclosed the commencement of the arbitration proceedings and not shared the impact of the order. Future in response said it believed a disclosure wasn’t required.
NSE’s listing compliance division rejected that argument. It demanded a series of disclosures be made within hours, “failing which appropriate actions may be initiated”, the emails showed.
Future Retail’s Company Secretary, Virendra Samani, answered most of NSE’s queries in an e-mail on Oct. 30.
