Dayanand (Finance Manager) 09 May 2012

Grievance redressal mechanism of mcx

Greetings.

I had a grievance againsta a commodity broking house for (a) misappropriation of margin money lying in my share trading account (b) activating my commodity trading account without any margin money (c) executing commodity trades with out my permission (d) excessive speculation in my account to the tune of Rs. 10 crore in a single day without any margin money and withut my permission (e) trying to induce me to indulge in speculative day trading by calli g me up repetedly and assuring handsome returns. etc.

I had complained to MCX on the above malpractices of the Broker as per the Grievance redressal mechanism of MCX. on 2nd Feb. 2012. while MCX is generating unwnated corrospondance in the matter, I do not see any serious attempt by MCX in resolving the grievance. the Borking house is using expert legal language to avoid accepting the facts. My resquet to MCX to scrutinise the voice recording to establish my allignations also did not find any response.

The Economic Times dated 9th May 2012, has published the new related to similar malpractice by this borking house wherein the Forward Market Commission has imposed heavy fines on the Borker for initiaing trades without adequate margins.

In the circumstances, I shall be grateful to receive advise on the other remedies available to me to get my margin money in share trading account restored, which was misappropriated by the broking house.

Best regards

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2 Replies

DEFENSE ADVOCATE.-firmaction@g (POWER OF DEFENSE IS IMMENSE ) 09 May 2012

Some where you had consented to such huge losses.

Continue for arbitraton and only thereafter you can go to HC.

Daksh (Student) 10 May 2012

Dear Mr.Dayanand,

The relation ship of any person with any trading house is governed through an Agreement known as KYC according to which it is imperative that the trading is conducted in a transparent and authorized manner. In your case when you have found out alleged (a) misappropriation of margin money lying in my share trading account (b) activating my commodity trading account without any margin money (c) executing commodity trades with out my permission (d) excessive speculation in my account to the tune of Rs. 10 crore in a single day without any margin money and withut my permission (e) trying to induce me to indulge in speculative day trading by calli g me up repetedly and assuring handsome returns. etc. as per the Agreement you ought to have put across the same to the Broking House and otherwise as a matter of right could have invoked the Arbitration Clause which is a standard clause in every such Agreement. Every exchange does have investor grievance cell you could have approached the same as well. If in case you have any problem still you can approach some good professional who has knowledge of Commodity Trading.

Best Regards

Daksh