Emkay Global admits error in Nifty crash
9 Oct 2012 12:04 AM GMT
Emkay Global Financial Services on Monday admitted an error on its part for the 900-point flash crash of the NSE index Nifty on Friday morning, and said it would help the stock exchange in probe into the matter.
The shares of the company fell by 10 per cent on Monday. They had seen a similar plunge on Friday as well. In a clarification to the stock exchanges, Emkay Global said, 'On 5 October, while executing an order to transact a Nifty cash basket, in Nifty-50, a dealer committed a bona fide error.
'The error was in entering the value of the order as the quantity of Nifty-50 basket to be transacted. The order got transmitted to the NSE trading server as a single large Nifty basket order comprising of Nifty 50 stocks.
'Immediately on realising the error, we promptly got in touch with the NSE and kept in touch with them to co-ordinate all future course of action until the entire erroneous outstanding position was closed out.'
The company's scrip continued its southward journey for the second consecutive day and tanked 10 per cent to hit the lower trading limit on Monday.
The shares of the company fell by 10 per cent on Monday. They had seen a similar plunge on Friday as well. In a clarification to the stock exchanges, Emkay Global said, 'On 5 October, while executing an order to transact a Nifty cash basket, in Nifty-50, a dealer committed a bona fide error.
'The error was in entering the value of the order as the quantity of Nifty-50 basket to be transacted. The order got transmitted to the NSE trading server as a single large Nifty basket order comprising of Nifty 50 stocks.
'Immediately on realising the error, we promptly got in touch with the NSE and kept in touch with them to co-ordinate all future course of action until the entire erroneous outstanding position was closed out.'
The company's scrip continued its southward journey for the second consecutive day and tanked 10 per cent to hit the lower trading limit on Monday.
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