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NSEL settles Rs 330 crore of Rs 5,500 crore dues in 33 weeks
Embattled spot commodity bourse NSEL has settled Rs 330 crore (Rs 3.3 billion), or 6 per cent of the amount due to investors since it suspended operations, missing its own deadline to clear payments.
The National Spot Exchange Ltd, promoted by Jignesh Shah-led Financial Technologies (India) Ltd, has been facing problems settling dues to 148 members after it suspended trade in July 2013 following a government order in the wake of violation of trading norms.
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NSEL settles Rs 330 crore of Rs 5,500 crore dues in 33 weeks
The exchange paid Rs 330.14 crore (Rs 3.3 billion) as of April 7, against about Rs 5,500 crore (RS 55 billion) owed to investors, according to NSEL data.
On its weekly payout on Monday, the exchange disbursed Rs 50 lakh (Rs 5 million) against the scheduled payment of Rs 86.02 crore (Rs 860.2 million), defaulting for the 33rd straight time.
The bourse had proposed to settle all dues amounting to Rs 5,574.31 crore (Rs 55.74 billion) in 30 weeks, according to a settlement schedule issued by NSEL on August 16.
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NSEL settles Rs 330 crore of Rs 5,500 crore dues in 33 weeks
Starting August 20, it would pay Rs 174.72 crore (Rs 1.74 billion) each for the first 20 weeks, followed by Rs 86.02 crore (Rs 860.2 million) each in the subsequent 10 weeks, ending on March 11.
During this period, some members would settle their dues through the sale of commodities, fixed assets, land and other measures, amounting to Rs 1,219.71 crore (Rs 12.19 billion), NSEL had said.
The exchange, which was unable to make any payment on its seventh and 13th payout dates, had taken a bridge loan of Rs 177.23 crore (Rs 1.77 billion) from promoter FTIL to make payments on priority to small investors.
NSEL has started the process of liquidating attached assets of defaulting borrowers to ensure payment of dues.
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