CSE in fix over defaulters' dues

KOLKATA: The Calcutta Stock Exchange (CSE) is in a fix over settlement of defaulters'' dues. Though one of the defaulters, Harish Biyani, has offered an out-of-court settlement at 50 per cent of the outstanding, the two others, Dinesh Singhania and Ash Poddar, are yet to come up with any offer.
The authorities believe there would be no gain for CSE, if it accepts Biyani''s offer.Biyani owes Rs 28 crore to Shyam Sunder Dalmia and other brokers, who bailed out CSE during the payment crisis. Dalmia alone had extended a loan of Rs 11 crore.
Sources said that Dalmia has moved court against CSE to recover his money. But some brokers have urged him to go slow. At this juncture, the CSE does not have resources to repay its dues.
The CSE feels that if there is a composite offer by the defaulters together, it can consider the proposal as then the exchange would be able to garner some funds even after paying its dues to Dalmia and others.
Some brokers feel that both Singhania and Poddar have not yet offered any settlement, as they are awaiting the outcome of Biyani''s case.
Meanwhile, there is a strong rumour in CSE circles that the Securities and Exchange Board of India (Sebi) would supersede the exchange board next week and appoint an administrator.
The Joint Parliamentary Committee was critical about the role of Sebi nominees on the CSE board during the payment crisis. Despite assurances, the CSE authorities have not yet tabled the special audit report as sources said there are critical observations about Sebi''s role.
Meanwhile, an agency report said that Sebi has cancelled the certificate of registration of four member-brokers of CSE. Quoting the CSE secretary, P K Ray, the report said that all four brokers were earlier declared defaulters and their membership cards forfeited.