NSEL to Pay Rs 1,950 Crore to Traders in NCLT-Approved Settlement
The National Company Law Tribunal (NCLT) in Mumbai has approved a one-time settlement scheme, clearing the path for National Spot Exchange Limited (NSEL) to pay Rs 1,950 crore to 5,682 traders. This resolution brings major relief to investors affected by the 2013 NSEL payment crisis.
Key Settlement Details
- Approval: NCLT Mumbai approved the one-time settlement scheme.
- Amount: Rs 1,950 crore to be distributed to 5,682 traders.
- Vote Result: 92.81% of traders by number and 91.35% by value voted in favor.
- Parent Support: 63 Moons Technologies Limited, NSEL’s parent company, supported the settlement.
The settlement payment will be made in proportion to traders’ outstanding balances as of July 31, 2024. In exchange, legal cases against the group will be closed, and all trader rights will be assigned to 63 Moons.
This isn’t the first relief effort – back in August 2013, NSEL with 63 Moons’ support had paid approximately Rs 179 crore to 7,053 smaller traders with outstanding balances under Rs 10 lakh.
Leadership Reactions
“This would not have been possible without the positive approach of the present BJP government (Central and State) in resolving the crisis, which was not addressed by P. Chidambaram and the UPA-2 government, for reasons best known to them,” said Neeraj Sharma, MD and CEO of NSEL.
Dr Sharad Kumar Saraf, Chairman of the NSEL Investors’ Forum (NIF), expressed gratitude for the efforts of 63 Moons and NSEL, along with government support in achieving this closure.
The settlement marks a significant step toward resolving the long-pending NSEL crisis that has affected traders for over a decade.
