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Sabharwal ready to settle dues with MCX

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BS Reporter Mumbai
Last Updated : Jan 20 2013 | 1:37 AM IST

To escape pending criminal prosecution and other embarrassment over payment defaults to the Multi Commodity Exchange (MCX), B K Sabharwal, ex-director of Delhi-based ISF Commodities, says he plans to pay all dues.

“We have already paid Rs 3.75 crore against defaulted payment, along with nine per cent interest as directed by arbitrators appointed by the MCX and are now ready to pay the only balance amount of Rs 25 lakh on January 11, the date of hearing of the case in the metropolitan magistrate’s court at Andheri,” said Sabharwal.

Adding: “With this, all cases against ISF Commodities, of which I am no longer a director, will be over.”

Three cases on a criminal charge against ISF Commodities and its directors/authorised signatories, including B K Sabharwal, Amarjit Singh, Sunita Sabharwal and Rajiv Mehta, are pending before the said court and scheduled for hearing between January and April. On December 14 last year, MCX expelled ISF Commodities and filed criminal complaints against Sabharwal, promoter of the firm, for the defaults.

However, Sabharwal, continues to be a trading member-director on the Delhi Stock Exchange, chairman of DSE Financial Services Ltd, a subsidiary of DSE, and executive director of Jaypee Capital, an anchor investor in the National Commodity and Derviatives Exchange.

Sabharwal confirmed he continued to be on the board of several representative bodies. During the course of trading operations on the MCX platform, ISF Commodities failed to pay the settlement dues of Rs 2,04,76,970 to the exchange. Subsequently, it agreed to clear the thsese and issued two post-dated cheques of Rs 1 crore and 1.04 crore, dated January 31 and March 15, 2009, respectively. These were not honoured when presented for payment. The criminal charges followed.

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First Published: Dec 22 2010 | 12:56 AM IST

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