NSE drags Moneylife to HC for false algorithm reports

The National Stock Exchange (NSE) on Tuesday said that it has filed a Rs 100-crore defamation suit in the Bombay High Court against online news portal Moneylife for allegedly publishing false reports on algorithm (algo) trading mechanism on its platform. 

The exchange said it has sought withdrawal of the reports and has made a claim of Rs 100 crore (which can be revised upwards) from Moneylife for the defamation.

"We have filed a defamation suit against Moneylife and its representatives who published unsubstantiated and misleading reports against the exchange," the National Stock Exchange said in a statement. According to the National Stock Exchange, the reports filed by Moneylife refer to algo trading mechanism.

"Since inception, the National Stock Exchangehas been maintaining a high degree of surveillance and integrity in its daily operations and strictly adheres to the rules, regulations and guidelines issued by the regulators from time to time," the stock exchange said.

In one of its reports recently, Moneylife had claimed that certain institutions registered for algo trading were allowed to profit illegally by the National Stock Exchange.