High Court of Bombay

National Stock Exchange of India Limited v. Moneywise Media Private Limited and Ors.

MANU/MH/2384/2015

09.09.2015

Capital Market

NSE’s defamation claim against article alleging benefits to select traders rejected

Mere boldness, strength of expression, or even exaggeration does not make a comment unfair; Plaintiffs will succeed if a reasonable person would not have been moved to draw conclusions or make statements the Defendants have. The National Stock Exchange had claimed before the Bombay High Court that articles published by Sucheta Dalal and Debashish Basu on their website were defamatory. The articles, based on information provided in an anonymous letter, had alleged illicit trading advantages afforded by NSE to select algorithmic trades, which benefited from premium co-location access, reducing their latency. The Court, declining the application for injunction, noted the influential role Sucheta Dalal had played in bringing to light the ‘Harshad Mehta scam’ in 1992 and dismissed “petty-minded” assertions of the NSE that she was prone to scare-mongering or populism.

Relevant

Shree Maheshwar Hydel Power Corporation Ltd. v. Chitroopa Palit & Anr.MANU/MH/1008/2003
Rajagopal v. State of Tamil NaduMANU/SC/0056/1995
Devidas Ramachandra Tuljapurkar v. State of Maharashtra MANU/SC/0612/2015

Tags : Defamation nse anonymous journalism

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