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Commodities regulator Forward Markets Commission (FMC) today said it is considering modifications in the corporate governance norms and examining the shareholding guidelines.
"We are looking at proposed modification in corporate governance, which needs to be transparent and strong. We are examining the shareholding pattern of exchanges and the role of anchor investor," FMC Chairman Ramesh Abhishek said here on the sidelines of Pulses Conclave 2014 here.
The plans follows the FMC decision wherein Financial Technologies (India) Ltd (FTIL) was deemed "not fit and proper" to run the Multi Commodity Exchange and the regulator ordered the reduction in FTIL stake to less than 2% in MCX from the current level of 26%.
The new round of proposals are being contemplated after the Rs 5,600-crore payment crisis at the National Spot Exchange Ltd (NSEL) promoted by Financial Technologies. NSEL has stopped trading on its platform since August.
FMC and the government are contemplating capping shareholding of anchor investors in commodity exchanges to 15% or even lower.
Also, in a move to achieve a diversified shareholding, the policy-makers plan to simplify rules on transfer of shares and relax restrictions on shareholders from trading on the bourse platform.
The regulator is also considering having a single depository for all the commodity exchanges.
"We are examining that the clearing functions even without amendment of FCRA can be done by a common entity," Abhishek said, adding that FCRA amendment provides for setting up of a clearing corporation.
Post-NSEL crisis, capital market regulator Sebi has instructed CDSL and NSDL to stay away from clearing commodity trade.
NCDEX, which was using the services of CDSL, recently launched its own in-house depository resulting in lower cost for traders.
Commenting on how commodity exchanges can manage with a single clearing house when equity exchanges such as BSE and NSE have separate clearing corporation, Abhishek said: "There are challenges, but the objective is to work out a solution for having a unified clearing corporation."
The regulator is also increasing the staff strength and setting up a bigger office, he added.
