Vadodara exchange fails to submit exit plan to Sebi

The Vadodara Stock Exchange has failed to meet the second deadline -- July 7 -- set by the market watchdog Sebi to submit its voluntary exit plan.
Sebi had extended the May 30 deadline to July 7 following a request by the exchange.
When contacted, exchange president Sushil Samdani told PTI that "investor shareholders as well as broker shareholders failed to reach an agreement on the modalities and other commercial aspects of the exit application to Sebi".
He, however, said the management will continue its efforts to persuade the brokers forum to agree to a voluntary closure of the exchange.

Brokers forum president Vishnubhai Patel, however, blamed investor shareholders for missing the deadline.
"We had already agreed to meet the deadline after the investor shareholders had conceded our demands including brokers retaining their present offices in the exchange. We had even submitted a signed copy of the agreement to investor shareholders for submitting it to Sebi before the deadline," Patel said.

He alleged that investor shareholders are demanding some changes to the agreement without conceding brokers' demands.
However, Samdani said a new company will be constituted after the closure of the exchange and that will be free to take decisions on the demand of broker shareholders.

The exchange had earlier failed to comply with the Sebi directive to achieve a minimum networth of Rs 100 crore and Rs 1,000 crore turnover by May 2014.