Developments in the Jignesh Shah Case

The founder of 63 Moons Technologies, Jignesh Shah may face some more challenges in his path of recovery. During the early weeks of June, 2018, the Chennai National Company Law Tribunal (NCLT) division bench had declared him and nine others ‘not fit and proper’ to be the directors or hold any other office connected with the management of 63 Moons and its subsidiary National Spot Exchange Ltd (NSEL) in regard of their alleged involvement in the Rs.56 crores NSEL scam. The division has also requested the government to appoint three nominees for the Financial Technologies India Ltd. (FTIL) board of directors.

To justify the order, the NCLT bench said, “The respondents (Jignesh Shah and certain others) have conducted themselves in a manner prejudicial to the public interest and the interest of the respondent companies…The actions of the respondents have shaken the public confidence in the Indian commodity markets. The failure of the said respondents in exercising due diligence has resulted in the suspension of trade in NSEL and has had/will have adverse effects on the members and other stakeholders of FTIL also.”

Responding to the order, S Rajendran, MD & CEO of 63 moons, said, “While we are still analyzing the order, on a quick review, it appears to be full of factual inaccuracies and inherent contradictions.” He also said that there are many “unexplained and unsubstantiated inconsistencies in the Order”, “We are examining all legal options.”

Jignesh Shah’s life narrates the tale of a young archetypal boy who made it to the list of the billionaires through hard work and constant efforts. It is his intellectual and innovative strategies that led him to his global empire. After getting featured among the ‘Top 30 Global Innovators in e-finance’ by Institutional Investor in 2008, listed among the ‘Dominant Financial & Futures Industry Leaders for 2008’ by Futures Industry Association (FIA), Washington and awarded for the ‘Indian Express Innovation Award’ presented by the then President, Late Dr. A. P. J. Abdul Kalam, any speculations on his competency seem redundant. His CSR initiatives like ‘Gramin Suvidha Kendra’ in association with India Post and ‘Pragati’ with Rotary International to empower underprivileged communities with education and training within the group are a step towards a better and brighter tomorrow.

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