New Delhi: The Competition Commission has dismissed a complaint of discriminatory conduct made against National Stock Exchange (NSE) with regard to alleged preferential access extended to certain trading members in co-location case."The allegations against NSE are yet to be established in an appropriate proceeding", Competition Commission of India (CCI) said in an order as it dismissed complaint.The regulator noted that genesis of NSE co-location case dates back to 2015, when a whistle-blower wrote a letter to Sebi alleging that NSE gave preferential access to a few high-frequency traders and brokers to exchange's trading platform.Sebi is already looking into case.In a complaint to CCI, Rajasthan-based advocate Jitesh Maheshwari had alleged that NSE by giving unfair access has limited and restricted provision of services to other trading members availing co-location service.
This resulted in denial of market access, thereby contravening Section 4 of Competition Act, he had alleged.Section 4 pertains to abuse of dominant market position."The Commission notes that it is apparent that Sebi is looking at similar issues as alleged in information by informant (Maheshwari)."However, exact role of Opposite Party (NSE) either direct or indirect, with respect to alleged contravention in provision of preferential/ discriminatory co-location services is still at stage of investigation," CCI said in its order dated January 7.The CCI noted that discriminatory and abusive conduct which contravenes provisions of Act falls within its jurisdiction and can be independently examined by regulator based on facts and evidence.However, due to insufficient information and data "it may not be apposite for Commission to delve into allegations at present," it said.