Legal

NSEL scam: EOW files chargesheet against 63 entities

Updated : December 28, 2018 12:18 PM IST

The chargesheet reportedly includes 63 entities, including 36 companies and 27 individuals.

The 36 companies named in the chargesheet include NSEL and its parent company 63 Moons Technologies Ltd.

NSEL scam: EOW files chargesheet against 63 entities

Mumbai Police's Economic Offences Wing (EOW) on Thursday filed a supplementary chargesheet in the Rs 5,600 crore NSEL (National Spot Exchange Ltd) scam case.

The chargesheet reportedly includes 63 entities, including 36 companies and 27 individuals.

The 36 companies named in the chargesheet include NSEL and its parent company 63 Moons Technologies Ltd and three brokerage firms namely Anand Rathi Commodities, Geofin Comtrade and India Infoline Commodities.

This is the second chargesheet in the case. The first was filed in 2014 against seven entities.

NSEL, in its statement, said the next hearing of the case is scheduled for January 7, 2019 and urged the EOW to file the final charge sheet in the matter "as early as possible so that Trial can commence and the real culprits are brought to the book".

"Once the court takes cognisance and frames the charges, the trial could begin within the next three to four months," sources told ET.

In October, the Bombay High Court had granted interim relief to 63 Moons staying a bunch of notifications or directions issued by the state government attaching the company's properties and bank accounts.

The state government had on April 4 issued a directive to freeze operating accounts of the company in connection with a Rs 5,574-crore fraud at its subsidiary National Spot Exchange (NSEL) in July 2013 following which the spot exchange went bust.

The scam led to NSEL promoter Jignesh Shah losing control over the bourse as well as his commodity and equity exchanges. It also led to the centre bringing the commodities trading under the Sebi by abolishing the Forward Market Commission which was merged with the markets watchdog.

The government alleged that complaints were received from a number of depositors against NSEL that it had collected money by promising attractive returns but failed to return even the deposits when the time for repayment came.

Jignesh Shah-led 63 Moons had approached the Bombay High Court earlier this year seeking de-freezing of its bank accounts.

With inputs from PTI

Have you signed up for Primo, our daily newsletter?

It has all the stories and data on the market, business, economy and tech that you need to know.

To keep watching CNBC-TV18, India's No. 1 English Business News Channel, call your Cable or DTH Operator and subscribe now for just Rs. 4 per month. You can also subscribe to CNBC-TV18 Prime HD for Re 1/- per month.Find out more