37. (a) In a Group Company viz. NSEL, various State Agriculture Produce Market Committee's (APMC’s) while issuing license for establishing E-market / Private market / spot exchange, had laid down to maintain a Settlement Guarantee Fund ('SGF') to meet exchange obligations but have not given any guidelines for the constitution of the SGF. In view of such a requirement an amount of Rs. 64.66 lacs had been apportioned out of initial margins of the members to SGF A/C and shown under other current liabilities (Refer Note 11) in the financial year 2011-12. In the current year the said amount has been transferred back to initial margins from members account and an appropriation of
an equal amount has been done out of opening balance of Reserves and Surplus of the company. The company has appropriated for Security Guarantee Fund (SGF) an additional amount of Rs.20 lacs for the current financial year 2012-13.
So at best, NSEL had just Rs. 85 lakh as the Settlement Guarantee Fund? This is as of March 31, 2013, but it’s really strange that the guarantee fund has always been mentioned to have been much higher.
And it seems FMC now has a report out that NSEL has only 15% of reported stock.
Two shamefaced lies, both likely to amount to fraud. Not one arrest. Not one reprimand.
No one will cast the first stone. We remain a country of thieves.