Commodity exchange UCX's Managing Director and CEO Praveen Pillai is not a "fit and proper person" to run the bourse due to professional misconduct and financial irregularities, the regulator Forward Markets Comission has said in a order.
After the NSEl fiasco, this is the second time FMC has issued such a ruling and comes less than a week before the regulator's merger with capital market watchdog Sebi.
The stakeholders of Universal Commodity Exchange ltd (UCX) -- which has been defunct for over a year -- include state-owned IDBI, REC and NABARD.
Pillai's "conduct through the series of events that led to the irregularities and mis-management of funds at UCX, has certainly eroded his good reputation and character, financial integrity and honesty which has adversely affected his status as a 'fit and proper person' to be a Managing Director and CEO on the board of a regulated exchange," FMC said in the order.