NSE Flags ₹1.33 Crore Share Dispute in IPO Papers, 5,000 Mistakenly Credited Shares Trigger Legal Battle
· Free Press Journal
Mumbai: The National Stock Exchange (NSE) has revealed a major share dispute in its draft red herring prospectus (DRHP) filed for its proposed IPO.
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The exchange said 5,000 of its equity shares were mistakenly credited to an individual’s demat account due to an error.
Shares Worth Over Rs 1 Crore Sold
According to NSE, the shares were wrongly credited to the demat account of Kashmiri Lal Rana in December 2023.
NSE IPO Filing Triggers Rally In Shares Of Key StakeholdersThe exchange alleged that although the shares did not belong to him, they were knowingly retained in the account.
NSE further claimed that 3,685 of these shares were later sold for around Rs 1.33 crore.
Police Complaint Filed
NSE has filed a police complaint against Rana under provisions of the Bharatiya Nyaya Sanhita (BNS).
The complaint includes allegations related to criminal breach of trust and cheating.
According to the IPO filing, NSE lodged a First Information Report (FIR) at Bandra-Kurla Complex Police Station in July 2025 through its authorised representative.
NSE Files DRHP For ₹30,000 Crore IPO; Stakeholders To Divest 6% In Complete OFSCivil Suit Also Filed
Apart from the criminal complaint, NSE and Nuvama Wealth Management also filed a civil suit in the Delhi High Court in May 2025.
The suit seeks recovery of the wrongly credited shares and the money earned from their sale.
The two entities have sought recovery of around Rs 1.44 crore, including the sale proceeds.
Court Restrains Further Sale
The plaintiffs have also requested the return of the remaining 1,315 shares.
In addition, they have sought 5,260 bonus shares generated from these holdings.
The Delhi High Court, in an interim order passed in May 2025, restrained any transfer or sale of the remaining shares and bonus shares until the case is decided.
NSE said the matter is pending before the court.
(With IANS Inputs)