New Delhi: Markets regulator Securities and Exchange Board of India (Sebi) has given nod for extension of Samir Shah’s tenure as NCDEX chief executive officer (CEO) and managing director (MD) for six months even as advertisement has been issued by the commodity bourse for selection of a new candidate.
Shah was appointed in 2013 as per the regulatory framework of erstwhile Forward Markets Commission (FMC) for three years till 2016. Later, his tenure was extended for an year till 20 August. “The Sebi has extended the tenure for only six months and not two years because the regulator wanted the Board to ratify my appointment through a transparent Sebi-approved selection process," Shah told PTI.
The board had last year extended Shah’s tenure for three years. However, following suspected manipulation case in castor seed futures, the NCDEX board had imposed conditions on the remaining tenure of two years. “The castor seed issue has got resolved... If the Board can reselect, it (Sebi) would be happy to approve the remaining two years," Shah said.
Meanwhile, NCDEX has started the selection process for new MD-CEO and sought applications from eligible candidates by 28 August. Shah is eligible to re-apply. “The Board of NCDEX is committed to the highest standards of corporate governance and transparency and will follow a robust and transparent process to appoint the MD and CEO," the exchange said in a separate statement.
The exchange will follow the selection process outlined by markets regulator Sebi and The Companies Act 2013, it added.