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SEBI Issues a 2 Crore Recovery Notice to Former NSE CEO

The Securities and Exchange Board of India (SEBI) sent a notice to NSE’s former chief Ravi Narain on Thursday, demanding that he pay a fine of Rs 2.06 crore in a case involving governance lapses at the stock exchange. If he does not pay within 15 days, he will be arrested and his assets and bank accounts will be seized.

Mr Narain received the letter after failing to pay a punishment levied by SEBI.

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Mr Narain was fined Rs 2 crore by the regulator in the area of governance difficulties with the nomination of the chief, according to an order issued on February 11. In the case of nonpayment of dues, the market’s regulator will seize and auction his moveable and immovable property to recoup the amount owed. Mr Narain’s bank accounts will also be attached, and he will be arrested.

In the same case, SEBI levied a 3 crore penalty on Mr Narain’s successor Chitra Ramkrishna in the crucial appointment as well as for revealing secret firm information with an unnamed individual.

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From April 1994 until March 2013, Mr Narain served as the Managing Director and CEO of the National Stock Exchange (NSE). He was named vice-chairman of the NSE’s board of directors in the non-executive category in April 2013 and served in that position until June 2017. Ms Ramkrishna served as the NSE’s MD and CEO from April 2013 until December 2016. In 2013, he was appointed as a strategy officer at the stock exchange.

In its new notice, SEBI ordered Mr Narain to pay a total of 2.06 crore, including interest and collection costs, within 15 days.

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