The National Stock Exchange (NSE) might have to revisit arbitration clauses following complaints from investors on lack of a higher appellate tribunal within the exchange.
In a meeting with investor associations today, the Securities and Exchange Board of India (Sebi) asked the NSE to look into the matter. Currently, NSE has just one level of appeal. If the verdict is not acceptable to the appellant, he has to approach either a district court or a civil court. The process is time-consuming and costly, say investors.
The Bombay Stock Exchange has two appellant levels. The process is faster. Investor associations also demanded that full details of annual accounts be sent to investors. While a few companies do send detailed annual accounts to all investors, this is not mandatory. Some companies send just abridged accounts to investors.
