Capital markets regulator Sebi on Monday cancelled the registration of Way2Wealth Commodities for facilitating its clients to trade on the platform of the now defunct National Spot Exchange Ltd (NSEL) in illegal ‘paired contracts.
By providing such a facility of taking exposure to ‘paired contracts’, the broker exposed its clients to the risk involved in trading in a product that did not have regulatory approval, Sebi said in an order.
“The noticee (Way2Wealth Commodities) provided a platform for its clients to access a product which raised serious questions on the ability of the noticee to conduct proper and effective due diligence regarding the product itself.
