The Securities and Exchange Board of India (SEBI) has issued a settlement order in relation to the Trading Access Point (TAP) Architecture and Network Connectivity of the National Stock Exchange of India Limited (NSE). This order is a result of an examination conducted by SEBI regarding possible bypasses of TAP by Trading Members and other lapses in the handling of a complaint made in 2013.
Key details include:
- NSE and several of its senior officials were investigated for failing to address deficiencies in the TAP system.
- NSE did not take adequate measures to prevent bypassing TAP, and certain key issues were not brought to the Standing Committee on Technology (SCOT) after the implementation of SEBI’s cyber security circular in 2015.
- The settlement has been reached with a combined payment of ₹643.05 crore by NSE and the implicated individuals.
- Non-monetary settlement terms include pro-bono community service for certain applicants.
- The settlement concludes the proceedings initiated against NSE and the involved officials, provided they comply with the terms set forth in the settlement order.
The settlement marks the closure of the case, with the conditions outlined by SEBI to ensure compliance and future adherence to regulatory requirements.