MCX Gets SEBI Tech Panel Approval To Launch New Commodity Derivatives Platform

Multi Commodity Exchange of India on Sunday announced that it has received approval from the SEBI tech panel to launch new web-based commodity derivatives platform (CPD).

While the exchange has been holding mock trading sessions for the new software for quite a long time and will continue on October 10-12, it said on Sunday that Sebi has withdrawn its directions to "keep the proposed Go-Live of CDP (Commodity Trading Platform) in abeyance".

The exchange said Sebi's decision followed replies submitted by it and its clearing corporation to the regulator on the complaint of Chennai Financial Markets and Accountability (CFMA).

The regulatory filing said, "Thereafter, replies of MCX and MCXCCL on the complaint of Chennai Financial Markets and Accountability (CFMA) regarding the new CDP was submitted to SEBI, after following due process. Subsequently, SEBI Technical Advisory Committee has recommended that MCX and MCXCCL may Go-Live with the CDP and to intimate SEBI regarding the proposed date for Go Live."

MCX (Multi Commodity Exchange of India Ltd) has been under the spotlight for a long time with regard to its transition to a new commodity trading platform from the one developed by its erstwhile promoter Financial Technologies India Ltd, now known as 63 Moons, that it has contracted to use till the year-end after repeated extensions.

MCX announced last month that it will go live with the new platform developed by TCS from October 3, the implementation was put on hold soon after by the capital market regulator Sebi due to "technical issues" and in the wake of some pending legal matters.

(With Inputs from PTI)