The Target Book, the latest book by veteran investigative journalist Shantanu Guha Ray, raises some pertinent questions on the Rs 5600 crore payment crisis at the National Spot Exchange Ltd (NSEL) that hit the markets in 2013. Guha has dug deep into the crisis and has come up with a conspiracy angle to the whole story, backing it with documentary evidence from government offices.
Guha says that the crisis was deliberately created and kept alive by powers that be because the ultimate aim was to decimate Jignesh Shah, the tech innovator and founder of FTIL, now known as 63 moons technologies limited, the parent company of NSEL.
Guha makes some really serious and sensational revelations on how the nexus of powerful politicians, bureaucrats, influential brokers and corporate rivals ganged up to finish off the Exchange markets that Shah had created in span of 10 years across Asia, Africa and the Middle East, stretching from East of Suez to Singapore! As Guha writes, Shah wanted to make India the finest commodity trading hub between Tokyo and New York…since he knew India’s importance on the ancient Silk Route.
But Shah was stopped in his tracks by influential forces in the corridors of power. NSEL was told to abruptly shut shop and that resulted in the payment crisis where 24 traders on NSEL defaulted on a payment of Rs 5600 crore. As a result, Shah and his FTIL were declared “Not fit and proper” to run any exchange and subsequently they were forced out of MCX and all other exchanges created by Shah in India and the world over.
Soon, FTIL was besieged with a series of government orders. A merger order was forced upon FTIL and NSEL although, as Guha points out, no court had yet pronounced its judgment on the culpability of either of them regarding the default money. All this happened despite the fact that the Economic Offences Wing of the Mumbai Police had clearly established entire money trail of the default money with the 24 defaulting traders.
The only solution to the crisis is the recover the money from these traders and give it back to those who lost it. No country destroys its finest institutions once created by its entrepreneurs and innovators and Jignesh Shah should be no exception, Guha argues, especially when investigations have clearly established that not a paisa of the default has come to him or NSEL and FTIL.
For more information check The Target Book Reviews.