{"id":24781,"date":"2026-04-21T17:10:37","date_gmt":"2026-04-21T11:40:37","guid":{"rendered":"https:\/\/trending.niftytrader.in\/?p=24781"},"modified":"2026-04-21T17:10:37","modified_gmt":"2026-04-21T11:40:37","slug":"sebi-panel-recommends-nse","status":"publish","type":"post","link":"https:\/\/www.niftytrader.in\/markets\/sebi-panel-recommends-nse\/","title":{"rendered":"SEBI Panel Recommends NSE Co-Location Settlement; Final WTM Approval Pending"},"content":{"rendered":"<p data-start=\"81\" data-end=\"390\">On March 27, 2026, the High-Powered Advisory Committee (HPAC) of the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Securities and Exchange Board of India<\/span><\/span> reviewed and recommended the settlement application filed by the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">National Stock Exchange of India<\/span><\/span> in the long-running co-location case, according to officials aware of the HPAC proceedings.<\/p>\n<p data-start=\"392\" data-end=\"582\">The recommendation now awaits final approval from SEBI\u2019s panel of Whole-Time Members (WTMs), making this a critical but not final step toward resolving a nearly decade-old regulatory matter.<\/p>\n<p data-start=\"1327\" data-end=\"1520\">Also Check :<\/p>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul>\n<li><a href=\"https:\/\/www.niftytrader.in\/nifty50-contributors\">Nifty 50<\/a><\/li>\n<li><a href=\"https:\/\/www.niftytrader.in\/nifty-bank-contributors\">Bank Nifty<\/a><\/li>\n<li><a href=\"https:\/\/www.niftytrader.in\/stocks-price\/bse\">Sensex<\/a><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h2 data-section-id=\"5rnakk\" data-start=\"584\" data-end=\"660\">Settlement Amount Likely at \u20b91,800\u20131,880 Crore, Higher Than Initial Offer<\/h2>\n<p data-start=\"662\" data-end=\"950\">NSE had originally submitted a settlement application on June 20, 2025, offering \u20b91,387.39 crore. However, based on HPAC deliberations on March 27, the recommended settlement amount is estimated at \u20b91,800\u20131,880 crore, according to officials familiar with the revised proposal.<\/p>\n<p data-start=\"952\" data-end=\"984\">The proposed structure includes:<\/p>\n<ul data-start=\"986\" data-end=\"1103\">\n<li data-section-id=\"1jtbk9k\" data-start=\"986\" data-end=\"1026\">\u20b91,200 crore toward disgorgement<\/li>\n<li data-section-id=\"16h9drr\" data-start=\"1027\" data-end=\"1057\">\u20b9380 crore as interest<\/li>\n<li data-section-id=\"fg748f\" data-start=\"1058\" data-end=\"1103\">Balance under additional settlement terms<\/li>\n<\/ul>\n<p data-start=\"1105\" data-end=\"1257\">If approved, this would exceed the earlier \u20b9624.89 crore disgorgement order and rank among the largest settlements processed under SEBI\u2019s framework.<\/p>\n<p data-start=\"1105\" data-end=\"1257\"><span style=\"color: #0000ff;\">Read More<\/span> : <a href=\"https:\/\/www.niftytrader.in\/markets\/sensex-jumps-753-points-nifty\/\">Sensex Jumps 753 Points, Nifty Ends Above 24,550 on Easing Oil and US\u2013Iran Talk Hopes<\/a><\/p>\n<h2 data-section-id=\"1hbr6z1\" data-start=\"1259\" data-end=\"1313\">Final Decision Rests with SEBI\u2019s Whole-Time Members<\/h2>\n<p data-start=\"1315\" data-end=\"1460\">Following HPAC\u2019s recommendation, the proposal has been forwarded to SEBI\u2019s panel of two Whole-Time Members (WTMs), who have the authority to:<\/p>\n<ul data-start=\"1462\" data-end=\"1557\">\n<li data-section-id=\"6qbdh7\" data-start=\"1462\" data-end=\"1510\">Approve or reject the settlement application<\/li>\n<li data-section-id=\"1k1usfp\" data-start=\"1511\" data-end=\"1557\">Issue a formal demand notice upon approval<\/li>\n<\/ul>\n<p data-start=\"1559\" data-end=\"1657\">As per regulatory process, settlement cases are resolved without admission or denial of guilt.<\/p>\n<p data-start=\"1659\" data-end=\"1784\">Market participants expect a final decision within the next few weeks, based on typical SEBI timelines for WTM approvals.<\/p>\n<h2 data-section-id=\"yjkjkc\" data-start=\"1786\" data-end=\"1851\">Co-Location Case: 2015 Allegations of Preferential Data Access<\/h2>\n<p data-start=\"1853\" data-end=\"1992\">The case originated from a 2015 whistleblower complaint, alleging that certain brokers received faster access to NSE\u2019s trading systems.<\/p>\n<p data-start=\"1994\" data-end=\"2014\">Key issues involved:<\/p>\n<ul data-start=\"2016\" data-end=\"2184\">\n<li data-section-id=\"fg5yn4\" data-start=\"2016\" data-end=\"2066\">Preferential access to tick-by-tick data feeds<\/li>\n<li data-section-id=\"atl2fn\" data-start=\"2067\" data-end=\"2128\">Use of specific server configurations for speed advantage<\/li>\n<li data-section-id=\"1bdatkq\" data-start=\"2129\" data-end=\"2184\">Alleged violations of SEBI\u2019s SECC Regulations, 2012<\/li>\n<\/ul>\n<p data-start=\"2186\" data-end=\"2285\">The controversy raised concerns around fairness and transparency in India\u2019s largest stock exchange.<\/p>\n<h2 data-section-id=\"19k6vt0\" data-start=\"2287\" data-end=\"2353\">Legal History: SAT Relief and Ongoing Supreme Court Proceedings<\/h2>\n<p data-start=\"2355\" data-end=\"2546\">In 2023, the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Securities Appellate Tribunal<\/span><\/span> reduced SEBI\u2019s disgorgement order from \u20b9624.89 crore to \u20b9100 crore, stating the issue was a \u201chuman error\u201d rather than fraud.<\/p>\n<p data-start=\"2548\" data-end=\"2663\">SEBI challenged this ruling before the <span class=\"hover:entity-accent entity-underline inline cursor-pointer align-baseline\"><span class=\"whitespace-normal\">Supreme Court of India<\/span><\/span>, where the matter remains pending.<\/p>\n<p data-start=\"2665\" data-end=\"2697\">Additional developments include:<\/p>\n<ul data-start=\"2699\" data-end=\"2884\">\n<li data-section-id=\"lkyh7o\" data-start=\"2699\" data-end=\"2779\">Supreme Court directed interim refund of \u20b9300 crore to NSE in March 2023<\/li>\n<li data-section-id=\"xou5rd\" data-start=\"2780\" data-end=\"2884\">Dark fibre case penalties of \u20b962.58 crore disgorgement and \u20b97 crore fine were also set aside<\/li>\n<\/ul>\n<h2 data-section-id=\"b3v83c\" data-start=\"2886\" data-end=\"2936\">IPO Plans Gain Momentum with Regulatory Clarity<\/h2>\n<p data-start=\"2938\" data-end=\"2996\">The settlement process is crucial for NSE\u2019s listing plans:<\/p>\n<ul data-start=\"2998\" data-end=\"3196\">\n<li data-section-id=\"1xmb7qp\" data-start=\"2998\" data-end=\"3070\">SEBI issued a No Objection Certificate (NoC) on January 30, 2026<\/li>\n<li data-section-id=\"19tcp9h\" data-start=\"3071\" data-end=\"3130\">NSE is preparing to file its DRHP within 1\u20132 months<\/li>\n<li data-section-id=\"4wy1dd\" data-start=\"3131\" data-end=\"3196\">Proposed IPO size: \u20b923,000 crore via Offer for Sale (OFS)<\/li>\n<\/ul>\n<p data-start=\"3198\" data-end=\"3290\">Resolution of legacy cases is considered essential for investor confidence ahead of listing.<\/p>\n<h2 data-section-id=\"1yc2gsr\" data-start=\"3292\" data-end=\"3351\">Previous Settlement: \u20b9643 Crore Paid in TAP Case in 2024<\/h2>\n<p data-start=\"3353\" data-end=\"3448\">NSE had earlier settled the Trading Access Point (TAP) case in 2024, paying \u20b9643 crore.<\/p>\n<p data-start=\"3450\" data-end=\"3468\">The case involved:<\/p>\n<ul data-start=\"3470\" data-end=\"3632\">\n<li data-section-id=\"80vloa\" data-start=\"3470\" data-end=\"3515\">Alleged bypass of trading access controls<\/li>\n<li data-section-id=\"1lu11je\" data-start=\"3516\" data-end=\"3567\">Failure to implement adequate system safeguards<\/li>\n<li data-section-id=\"nt7i15\" data-start=\"3568\" data-end=\"3632\">Non-reporting of a 2013 complaint to internal committees<\/li>\n<\/ul>\n<p data-start=\"3634\" data-end=\"3703\">This highlights NSE\u2019s ongoing efforts to address regulatory concerns.<\/p>\n<h2 data-section-id=\"gniw86\" data-start=\"3705\" data-end=\"3747\">Impact on Markets and What Happens Next<\/h2>\n<p data-start=\"3749\" data-end=\"3915\">The recommended settlement of \u20b91,800\u20131,880 crore represents a significant step toward closing a long-standing issue, but final resolution depends on WTM approval.<\/p>\n<p data-start=\"3917\" data-end=\"3934\">Key implications:<\/p>\n<ul data-start=\"3936\" data-end=\"4070\">\n<li data-section-id=\"12ksrs4\" data-start=\"3936\" data-end=\"3988\">Removes a nearly 10-year regulatory overhang<\/li>\n<li data-section-id=\"1yiydd\" data-start=\"3989\" data-end=\"4024\">Strengthens NSE\u2019s IPO readiness<\/li>\n<li data-section-id=\"1bufh15\" data-start=\"4025\" data-end=\"4070\">Provides clarity on financial liabilities<\/li>\n<\/ul>\n<p data-start=\"4072\" data-end=\"4091\">Next steps include:<\/p>\n<ul data-start=\"4093\" data-end=\"4268\">\n<li data-section-id=\"1b6crnm\" data-start=\"4093\" data-end=\"4139\">Final decision by WTMs in the coming weeks<\/li>\n<li data-section-id=\"jzo9a1\" data-start=\"4140\" data-end=\"4186\">Payment of settlement amount upon approval<\/li>\n<li data-section-id=\"1fwexto\" data-start=\"4187\" data-end=\"4268\">Joint application by SEBI and NSE to withdraw the case from the Supreme Court<\/li>\n<\/ul>\n<p data-start=\"4270\" data-end=\"4435\">Until WTM approval is granted, the settlement remains proposed, not final, making the upcoming regulatory decision critical for both NSE and market participants.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>On March 27, 2026, the High-Powered Advisory Committee (HPAC) of the Securities and Exchange Board of India reviewed and recommended the settlement application filed by the National Stock Exchange of India in the long-running co-location case, according to officials aware of the HPAC proceedings. The recommendation now awaits final approval from SEBI\u2019s panel of Whole-Time [&hellip;]<\/p>\n","protected":false},"author":4,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[615],"tags":[],"ppma_author":[1331],"class_list":{"0":"post-24781","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-stock-market-news"}," _eael_post_view_count":0,"authors":[{"term_id":1331,"user_id":4,"is_guest":0,"slug":"sourabh","display_name":"Sourabh Sharma","avatar_url":{"url":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/11\/Sourabh-Sharma.png","url2x":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/11\/Sourabh-Sharma.png"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":""}],"_links":{"self":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/24781","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/comments?post=24781"}],"version-history":[{"count":1,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/24781\/revisions"}],"predecessor-version":[{"id":24784,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/24781\/revisions\/24784"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media\/24783"}],"wp:attachment":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media?parent=24781"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/categories?post=24781"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/tags?post=24781"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/ppma_author?post=24781"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}