Arbitration on Unauthorized Trades by the Trading Member of the Stock Exchange: An Empirical Study

Abstract

This case is an appeal matter with the Stock Exchange on the award passed by the sole arbitrator with regard to a dispute between a client and trading member of the Stock Exchange. Mumbai Capitals Ltd . contended that the award passed by the arbitrator did not take into account of the evidences, supported documents and rules of stock exchange appropriately while determining the case matter and passing the award. Appellant challenged the Award on grounds that the award was beyond the scope of submissions to the arbitration, pre - mediated conclusion, non - application of mind, ignorance of established judicial principles, and misreading of the provisions of stock exchange . The Appellate Tribunal had to determine whether there had been any lapses on the part of the arbitrator in applying the trading rules and procedures of the exchange while analyzing the matter, determining the case and passing the award. Based on that, the Appellant Arbitral Tribunal had to decide whether to set aside the award passed by sole arbitrator, modify the award or uphold it .