The board of Saurashtra Kutch Stock Exchange (SKSE), which has been derecognised by capital market regulator Securities and Exchange Board of India (SEBI), has decided to form three committees to look into the liquidation process of the company.
The decision was taken at the Annual General Meeting (AGM) of SKSE held last week. Shareholders of SKSE had strongly opposed continuing SKSE as company in future and demanded sale of all assets and liquidizing the company before handing over the money to the shareholders.
Parimal Shah from Ahmedabad, who attended the AGM for the first time, said, "There is no meaning to continue SKSE as a company when it is not active and has been derecognized by SEBI. It is waste of time and money. We have to look forward and take proper decisions for benefits of members."
Last week, SKSE board members said that it will buy back trading card from broker members. But this issue was not raised in the AGM as many share holders didn't evince trust on the board.
On the committees to be formed, V P Vaishnav, director, SKSE Securities Ltd., said, "Three committees of five members each will be formed in the next board meeting. These five members will comprise active members, inactive members and office bearers. They will help the board in the liquidation process."
Following de-recognition from SEBI, SKSE body is also working on restructuring the board.
Newly-appointed director of SKSE Jinesh Shah from Mumbai said, "We will reduce the number of board of directors from 11 to 7. In the new format, four will be broker directors and three will be independent directors."
At present, there are eight independent directors and three broker directors in the SKSE board. Members also blamed the board of directors for never taking opinion of members over important decisions and sought introduction of e-voting method to involve share holders in all decisions.
