SEBI is to investigate pin brokers historic data on NSE access breach


National Stock Exchange’s (NSE) historic trading data will be analyzed by the Securities and Exchange Board of India (SEBI) to recognize the brokers which are getting benefit from the preferential access to the exchange servers.

NSE favored access stands for the brokers that could perform their trades quicker than others and had less risk to exploit opportunities.

Deloitte, a Consultancy and Audit firm, disclosed a forensic report in which it revealed a name of one broker, OPG Securities, has taken benefit from the preferred access but it has been majorly questionable other than saying that some brokers were got preferred access.

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Financial magazine also took OPG Securities name in the letter of whistle blower by highlighting the breach in the system of NSE.

It has been stated in the Deloitte report that the breach would be possible only with the information of the certain employees, who were not made a start regardless of evidence that something was muddled.

Subsequently, Deloitte has mentioned that it is not a high time to say anything on whether or not, a collusion was there among the brokers and NSE officials for sure.

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Sources said, “The technical advisory committee report has also considered the name of OPG and other brokers, who were able to have benefited, are being tried to identify.

Deloitte sentence the NSE mentioned in the ‘risk factors’ of its draft offer document, “its co-location facilities, architecture, TBT and tick-by-tick were susceptible to abuse and manipulation, compromised market integrity and fairness and violated norms of fair access, while definite selected trading associates who were availing our co-location conveniences and could gain substantially to get hold of market figures from the management of our market feed broadcasting construction extra hastily than other trading associates.”