NSEL One-Time Settlement Scheme Receives Traders' Approval

The National Spot Exchange Ltd., or NSEL's One-Time Settlement Scheme has received approval from traders, marking a step towards resolution in the long-standing NSEL payment crisis. About 91.35% of traders by value and 92.81% by number voted in favor of the scheme as the e-voting concluded on May 17, according to the exchange.

The NSEL, supported by its parent company 63 Moons Technologies Ltd., had presented this Scheme of Settlement to the National Company Law Tribunal or the NCLT. This move was aiming for an amicable and final settlement with 5,682 traders.

The OTS was initially proposed by the NSEL Investors Forum, an association representing traders. Under the terms of the settlement, an amount of Rs 1,950 crore will be disbursed to the 5,682 traders, proportional to their outstanding dues as of July 31, 2024.

This settlement is designed to bring an end to ongoing legal cases against the NSEL group, with all rights of the traders being assigned to 63 Moons.

In August 2013, NSEL, with the support of it parent company, had already disbursed approximately Rs 179 crore, providing relief to 7,053 smaller traders with outstanding amounts less than Rs 10 lakh.

Now, for traders with outstanding amounts above Rs 10 lakh, this settlement means an additional payment of 42%, bringing their total recovery to between 49.3% and 64%, as per a release issued by NSEL.

The e-voting process, ordered by the NCLT on April 8, 2025, commenced on April 17, 2025, and concluded a month later. The proceedings were overseen by Ashwini Gupta, company secretary as scrutinizer and Mukesh Mital, Retd. IRS as chairperson.

The report, submitted on May 19, confirmed the approval, now allowing implementation of the scheme. This settlement offers relief to traders whose funds have been locked since the NSEL payment crisis in July 2013.