SEBI clears ₹1,491 crore settlement in NSE co-location, dark fibre cases

SEBI clears ₹1,491 crore settlement in NSE co-location, dark fibre cases


The Securities and Exchange Board of India (SEBI) has given its in-principle approval to settle the National Stock Exchange’s long-running co-location and dark fibre matters for ₹1,491.21 crore, bringing the exchange closer to resolving two of its biggest legacy regulatory cases.

NSE said SEBI, through an email dated July 30, 2026, accepted the proposed settlement terms and asked the exchange to pay ₹714.74 crore. The amount is over and above the ₹776.47 crore already deposited by NSE, which will be adjusted against the total settlement sum.

The exchange had originally filed settlement applications in June 2025 and later revised the proposal in March 2026, increasing the settlement amount to ₹1,491.21 crore.

NSE also noted that it had already recognised a provision of ₹1,391.21 crore toward the settlement, in addition to a ₹100 crore provision made earlier.

The settlement covers the co-location and dark fibre proceedings, which have been under regulatory scrutiny for years and remained among the most significant legal overhangs for India’s largest stock exchange.

What is the NSE co-location case?

In August 2009, the National Stock Exchange introduced its co-location facility, allowing brokers to place their servers within the exchange’s data centre for a fee.

By locating their servers closer to the NSE’s systems, these brokers received market data fractions of a second faster than others, enabling quicker execution of trades and giving them a competitive advantage.Click here to track CNBC-TV18’s full coverage of the NSE co-location case over the years



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