Mumbai: Days after an outage at MCX, Sebi chairman Tuhin Kanta Pandey on Tuesday expressed his displeasure over “repeated” instances of breakdowns at exchanges.
The capital markets regulator will take corrective steps, if required, after an analysis of the issue at hand, Pandey told reporters, stressing that there is a standard operating protocol Sebi follows to deal with such incidents.
“The last problem was in July and now there is this (MCX). Repeated instances of such problems is not right,” Pandey told reporters on the sidelines of an event by Morningstar here.
The Sebi SOP (standard operating procedure) has laid out action to be taken in detail after such an instance, he said, adding that it starts with reporting of the matter and goes on to do a root cause analysis. There are also multiple levels of reports which get generated, starting with one within 24 hours and then after a week, he added.
There is a need for market intermediaries to ensure operational resilience and maintain business continuity amid rapid digital transformation, he said.
“Cyber security remains a foremost concern for all market participants. Firms must safeguard sensitive client data and critical infrastructure from sophisticated threats,” he said.
MCX suffered a major technical outage last month, which had led to challenges on executing trades and also a selling in the commodity exchange’s scrip.
Pandey also said that he hopes to implement the revised rules governing stock brokers’ conduct by December
this year.