SEBI holds MCX's new platform launch, amid concerns from Chennai Financial Markets & Accountability

India's Multi Commodity Exchange of India (MCX) has announced that the launch of its new commodity derivatives platform, scheduled for next week, has been put on hold following directives from the country's markets regulator, the Securities and Exchange Board of India (SEBI). MCX confirmed that SEBI will be discussing the platform in its upcoming technical advisory committee meeting.

MCX revealed that they will continue conducting mock tests on the platform until further instructions are received from SEBI.

This decision comes after MCX had previously announced the launch of its new platform on October 3, following multiple delays.

SEBI's intervention was prompted by concerns raised by the Chennai Financial Markets and Accountability (CFMA), an investor group, regarding MCX's technical support for the new platform. CFMA had urged the market regulator to ensure that MCX had the necessary technical infrastructure in place.

In response to CFMA's concerns, SEBI informed MCX about the letter received from CFMA dated September 27, highlighting the "technical issues" involved. As a result, SEBI decided to address these concerns during its committee meeting.

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