Mayhem continued for Financial Technologies India shares for the second day on Friday as the company’s scrips closed down by over 21 per cent amid payment problems at its group entity National Spot Exchange ltd (NSEl).
Making a weak opening, shares of FTIl further tanked 45 per cent to Rs 105.5 -- its fresh 52-week low on the BSE. In the previous trade, the stock had fallen by as much as 65 per cent. Finally, FTIl settled at Rs 151.25, down 21.12 per cent from its previous close on the BSE. In intra-day trade, the stock nosedived 44.98 per cent to 52-week low of Rs 105.50.
FTIl-promoted MCX shares were locked in lower circuit as they shed 20 per cent. Over the past two days, the market value of FTIl has eroded by Rs 1,799 crore to Rs 696 crore, while MCX has seen a slump of Rs 1,174 crore to Rs 2,089 crore in its m-cap. A major crisis erupted at National Spot Exchange yesterday after it suspended most trades on its platform, prompting the Government to order an enquiry by the commodity regulator FMC, while Sebi also
began a separate probe amid a crash in shares of two listed group companies. The Government said it is seriously looking into the matter and has sought a report from Forward Markets Commission (FMC) within a day. The consumer affairs ministry, finance ministry and Sebi are keeping a close watch on the situation, Food and Consumer Affairs Minister K V Thomas said on Thursday.
National Spot Exchange ltd (NSEl), that provides an electronic platform to farmers and traders for spot trading in farm products and bullion among others, said it would meet all obligations towards brokers and clients who have traded on its platform. Speculations, however, were rife about potential default on payouts running into Rs 5,000-6,000 crore. The bourse blamed “loss of trading interest” and “abrupt structural changes in marketplace” for suspension of trade.
However, there have been speculations that the bourse did not have adequate stock of commodities to make the delivery. NSEl said it is deferring settlement for all pending contracts for 15 days, raising concerns about potential defaults and liquidity problems at brokers and clients level. Commodity markets regulator FMC on Friday said the Government will take all measures to protect investors and that it is too early to reach a conclusion on the potential default risk of the bourse.