NEW DELHI: The Delhi HC on Wednesday held that the National Stock Exchange of India (NSEI) is a ‘public authority’ under the Right to Information Act.
A division bench of justices C Hari Shankar and Om Prakash Shukla dismissed an appeal by the stock exchange assailing a 2010 judgment by a single-judge bench of Justice Sanjiv Khanna ruling that the SEI qualified as a ‘public authority’ under Section 2(h) of the RTI Act.
Before the division bench, the NSEI’s senior counsel argued that it was not owned, controlled or substantially financed, directly or indirectly, by the government, and was merely recognised and regulated by the SEBI.
The NSEI further noted that it was incorporated under the Companies Act, 1956, making it a private corporate entity. It was contended that if regulatory control of stock exchanges was considered sufficient to convert a privately incorporated stock exchange into a ‘public authority’, all similarly placed private entities would become ‘public authorities.
The bench noted that although the NSEI was incorporated as a private company under the Companies Act, its recognition as a stock exchange under the Securities Contracts (Regulation) Act, 1956, transformed it into an authority performing public functions.
The bench upheld Justice Khanna’s finding that the recognition granted by the Central government, later delegated to the Securities and Exchange Board of India (SEBI), effectively constituted the NSEI as an institution of self-government under Section 2(h) of the RTI Act.
“We do not find this to be a case warranting interference in appeal..The learned single judge holds, in the impugned judgment, that the NSEI is controlled by the appropriate government, and we agree,” said the bench.
“We affirm and uphold the judgment of the learned single judge. The appeal is dismissed, with no orders as to costs,” the bench further concluded.
Also in court
‘Kala Hiran yet to be sent to censor board’
The Delhi HC on Wednesday listed for hearing on July 6 actor Salman Khan’s plea seeking a stay on the release of the film ‘Kala Hiran: The Battle for Legal,’ as it noted that the movie was yet to be sent to the censor board for certification. Justice Jyoti Singh deferred the hearing after noting that a rejoinder by the star was not on record.
Court acquits man in 2022 murder case
A Delhi court has acquitted a man accused of murder in Govind Puri in 2022, saying that the prosecution failed to prove the charge beyond reasonable doubt as its key witnesses gave contradictory versions and the forensic evidence did not link the accused to the crime. The court found serious infirmities in the prosecution’s case.