Mumbai, June 19: The National Stock Exchange (NSE) has revealed in its draft red herring prospectus (DRHP) for the proposed initial public offering (IPO) that it filed a police complaint regarding shares mistakenly deposited into an individual’s demat account.
The complaint was lodged against a person named Kashmiri Lal Rana under sections of the Indian Penal Code (IPC) related to alleged criminal breach of trust and fraud.
According to the NSE, 5,000 equity shares were erroneously credited to Rana’s demat account. Despite knowing that these shares did not belong to him, he allegedly retained them.
The exchange further claims that 3,685 of these shares were later sold for approximately ₹1.33 crore.
Additionally, the NSE and Nuvama Wealth Finance Limited filed a civil suit in the Delhi High Court in May 2025, seeking recovery of the shares and the money obtained from their sale.
The DRHP states that both entities allege that in December 2023, 5,000 NSE shares were mistakenly credited to Rana’s demat account without any purchase request or payment.
According to the documents, by the time this error was discovered, 3,685 shares had reportedly already been sold.
The plaintiffs are seeking recovery of about ₹1.44 crore, equivalent to the amount obtained from the sale of these shares. They have also requested the return of the remaining 1,315 shares and 5,260 bonus shares associated with them.
In May 2025, the Delhi High Court issued an interim order, prohibiting the sale or transfer of the remaining shares and bonus shares until the case is resolved.
The NSE has stated in the DRHP that “this matter is currently pending in court.”
According to the draft documents filed with the Securities and Exchange Board of India (SEBI), the NSE lodged a First Information Report (FIR) at the Bandra-Kurla Complex police station in Mumbai through its authorized representative in July 2025.
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