Shareholders agree to closure of Vadodara Stock Exchange

The exchange failed to comply with a SEBI directive that it must reach a turnover of Rs 1,000 crore by May 30

The VSE Sharebrokers' Forum and investor shareholders have agreed for voluntary closure of the Vadodara Stock Exchange Ltd (VSEL) after its failure to comply with a SEBI directive that it must reach a turnover of Rs 1,000 crore by May 30, 2014.

According to a Securities and Exchange Board of India (SEBI) circular dated May 30, 2012, exchanges with an annual trading turn over on its own trading platform of less than Rs 1,000 crore per year could apply to SEBI for voluntary surrender at any time before the expiry of two years from the date of issuance of the circular, that is, latest by May 30, 2014.

The president of the VSE Sharebrokers' Forum Vishnu Patel told PTI today they had for voluntary closure of the VSEL after investors and shareholders agreed to its demands.