Steel, diamond, paddy, rubber trades on ICEX under scanner

 Mumbai: The board of Indian Commodity Exchange (ICEX), in consultation with Sebi, has appointed a forensic auditor to probe the alleged misuse of a market-making scheme run by the bourse to increase liquidity in derivatives contracts of steel, paddy, diamond and rubber since October last year. The scheme stands suspended as of now.

The audit has been mandated on the basis of two anonymous email complaints received by the public interest directors of the ICEX board and the Securities and Exchange Board of India (Sebi) in March-April this year. The complaints allege that certain key management personnel (KMP) of ICEX in collusion with the market makers misappropriated funds allotted for the so-called liquidity enhancement scheme (LES).

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