How NSE Settled Its Case With SEBI

The markets regulator has approved the National Stock Exchange's (NSE) application for settling alleged violations relating to its Trading Access Point (TAP) Architecture and Network Connectivity framework. This allows it to go ahead with its initial public offering plans.

WHAT WERE THE ALLEGATIONS AGAINST NSE?

There were several allegations against the NSE. These can be summarised as:

• The NSE failed to take measures to prevent TAP from being bypassed and implement encryption features in TAP;
• It failed to bring a complaint received in November 2013 to its Standing Committee on Technology (SCOT). The complaint alleged that high-frequency traders were misusing TAP to discreetly execute orders at the expense of other trading members;