MCX Fined ₹25 Lakh by SEBI Over Delayed Disclosures

The Securities and Exchange Board of India (SEBI) has imposed a fine of ₹25 lakh on the Multi Commodity Exchange (MCX) for not fully disclosing details about payments made to 63 Moons Technologies. These payments were linked to continued access to the Commodity Derivative Platform (CDP) after the original agreement ended.

MCX Share Price Performance

As of 09:20 AM on May 27, 2025, MCX share price was trading at ₹6,434, a 0.36% decrease, with a 5.51% increase over the past 6 months and a 69.37% increase over the past year.

MCX Paid ₹222 Crore to 63 Moons

Between October 2022 and June 2023, MCX paid a total of ₹222 crore to 63 Moons. These payments were made as a stop-gap measure while the exchange waited for its new CDP to be developed by Tata Consultancy Services (TCS). The ₹222 crore payout exceeded MCX’s reported annual profit of ₹118 crore for FY21-22.

Disclosures Delayed Until January 2023

MCX disclosed basic information about the contract in its filings but did not mention the specific quarterly payment amounts in its press releases or initial financial statements. SEBI noted that this information was only made public in January 2023, as a note in the unaudited results for the quarter ending December 31, 2022.

Show-Cause Notice and Investigation

The order followed a show-cause notice issued by SEBI in October 2023. The regulator conducted a special purpose examination of both MCX and its clearing arm, MCXCCL, focusing on the platform transition and related financial reporting.

Other Charges Dropped

SEBI dropped several allegations, including 1 about a press release from September 2022. MCX had clarified that the release referred to an extension of the existing arrangement and not a new agreement. Another charge, which involved incorrect timelines for the TCS platform rollout, was also dropped after SEBI found the timelines were based on inputs from the vendor.

New SEBI Measures for MIIs

Separately, SEBI introduced new guidelines for the appointment, resignation, and termination of key personnel at Market Infrastructure Institutions (MIIs), aimed at improving accountability and transparency.

Read more: SEBI Fines OPG Securities ₹5.2 Crore in NSE Co-location Matter!

Conclusion

SEBI’s order points to procedural lapses in financial disclosures during MCX’s transition to a new trading platform and concludes with a monetary penalty for the delayed communication.

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