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Along with FTIL, MCX might also need to initiate disinvestment in MCX-SX in the coming weeks. The capital market regulator has rejected the commodity bourse's plea not to consider it a person acting in concert (PAC) with FTIL, which has been declared not fit and proper due to its role in the Rs 5,600-crore National Spot Exchange (NSEL) scam. The thinking within Sebi is that MCX and FTIL are still PACs and hence, MCX, which holds around 38 per cent stake (including warrants) in MCX-SX, will have to divest as well. "Any regulator or authority is yet to declare FTIL and MCX as two separate entities. Sebi does not want to pre-empt and pass a decision that could be construed as the markets regulator viewing the two entities as separate," said a person close to the developments.
MCX, in January, had approached Sebi with a proposal that its holding in MCX-SX shouldn't be clubbed with that of FTIL. It was hopeful that Sebi would grant the request as FTIL's voting rights in MCX have been cancelled
MCX is now hoping that Sebi will allow it time to divest in MCX-SX. "Considering SAT has given FTIL four weeks to divest its stake in MCX-SX, we are hoping Sebi would also give us adequate time to initiate divestment," said an exchange source.
