FMC reduces penalty on delivery defaults

y-out of the expired contract, if the said spot price is higher than the FSP. Otherwise this component will be zero.  From the penalty levied, 2 per cent would be deposited with the Investor Protection Fund of the exchange and the remaining 0.5 per cent would go to the opposite party, the regulator clarified.  Additionally, if the spot price on the last day of pay-in/pay-out of the expired contract is higher than the FSP, then the difference between the FSP and the spot price prevailing on the said day shall also go to the opposite party.  Clarifying the regulator