Former NSE CEO Chitra Ramkrishna claims decisions guided by Himalayan resident 'Siddha Purusha'; SEBI bars her

Former National Stock Exchange (NSE) Managing Director (MD) Chitra Ramkrishna’s bizarre claim of having been guided by a Siddha Purusha/ Yogi dwelling in Himalayas in making her professional decisions did not find favour with the Securities and Exchange Board of India (SEBI) which barred her from associating with any market infrastructure institution or any intermediary registered with SEBI for a period of three years..The SEBI found that she indulged in financial misdeed relating to fixation and frequent revision of compensation of one Anand Subramanian in a disproportionate manner in cahoots with the 'Siddha Purusha'.Subramanian had also been appointed Chief Strategic Advisor (CSA) and later re-designated as Group Operating Officer (GOO) and Advisor to MD by Ramkrishna. Ramkrishna was also found to have shared confidential information relating to NSE with the unknown 'Siddha Purusha'.The market regulator, therefore, saddled Ramrkishna with a penalty of ₹3 crores and Subramanian with a penalty of ₹2 crores.A penalty of ₹2 crores was also imposed on NSE which was also barred from launching any new product for a period of six months.Penalties were also imposed on then NSE vice-chairperson Ravi Narain, J Ravichandran (then president and company secretary of NSE), and VR Narasimhan, the chief regulatory officer..The 190-page order passed by SEBI whole time member Ananta Barua found that the Ramkrishna, Subramanian and the 'Siddha Purusha' were involved in some grave money making scheme as per which Ramkrishna increased the compensation payable to Subramanian who would then pay 'Siddha Purusha' from such increased compensation.“I note from the email correspondence dated February 19, 2015 between the Noticee no. 1 (Chitra Ramkrishna) and the unknown person, as brought out in sub-para (ix) to this allegation above, that “Siddha Purusha” has advised her to revise the contract with Noticee no. 6 (Anand Subramanian) to 5 days a week only on paper for the sake of emoluments. Further, from the said mail, “Kanchan” i.e. Noticee no. 6 is to withdraw and surrender to the unknown person per month as gratitude on gross amount. Therefore, I note that it is not just advise from the unknown person but also payment “as gratitude” was to be made to the unknown person by Noticee no. 6. I note that Noticee no. 6 is also a recipient of the said mail from the unknown person. Hence, there appears to be a glaring conspiracy of a money making scheme that involves Noticee no. 1 and 6 with the unknown person,” the order said..Interestingly, order also noted that Ramkrishna did not dispute contents of certain email sent by her to a Siddha Purusha/ Yogi who she claimed, dwells in Himalayas and was the spiritual force guiding her for the past 20 years.The said email correspondence pointed to Ramkrishna making professional decisions as per the guidance received from the unknown 'Siddha Purusha'.“I note that Noticee no. 1 in her statements before SEBI on April 14, 2018 has stated that the identity of the email id holder rigyajursama@outlook.com is the Siddha Purusha/Yogi i.e. a Paramahansa who maybe largely dwelling in the Himalayan ranges. Further, that he is a spiritual force who has been guiding her for the past 20 years and that as a spiritual force, their spiritual powers do not require them to have any such physical co-ordinates and would manifest at will. Hence, I note that Noticee no. 1 has submitted that for the past 20 years she has sought guidance from the unknown person on many personal and professional matters and therefore, it may suffice to say that Noticee no. 1 holds the unknown person in very high regard and is influenced significantly by the unknown person,” the order noted.The order was passed by the SEBI in the proceedings initiated with regard to appointment of Anand Subramanian as Chief Strategic Advisor (CSA) and his re-designation as ‘Group Operating Officer and Advisor to MD and sharing of internal confidential information of NSE with unknown person by Chitra Ramkrishna..The SEBI in its order specifically noted two emails exchanged between them.First, an email dated September 5, 2015, from the 'Siddha Purusha' to Ramkrishna - “SOM, If I had the opportunity to be a person on Earth then Kanchan is the perfect fit. Ashirvadhams. SIRONMANI.” Second, an email dated December 30, 2015 from Ramkrishna to the 'Siddha Purusha' stated - “Struggle is I have always seen THEE through G, and challenged to on my own realise the difference.” From the said emails, SEBI concluded it was apparent that Ramkrishna held Subramanian in the same light as her spiritual force, the 'Siddha Purusha'. "Hence, the preferential treatment towards Noticee no. 6 (Subramanian) becomes apparent from the above that Noticee no. 1 regards Noticee no. 6 as to be like her spiritual guru whom she has revered and relied upon for the past 20 years," the order said.Hence, it was not surprising that Subramanian received frequent arbitrary increase in compensation even though there was no evidence of any performance evaluation, the SEBI ruled.Further, it observed that from the exchange of emails as well as forensic report of Ernst & Young, it was clear that Ramkrishna had divulged confidential information of NSE to 'Siddha Purusha'. "It is clear from the statements of Noticee no. 1 itself that she has provided intricate details that are confidential information of NSE to the unknown person who the Noticee no. 1 fails to identify stating that he is apparently a spiritual force that has no physical co-ordinates. The Noticee no. 1 has tried to justify to sharing of confidential information with such unknown person by stating that being spiritual in nature there would never be a question of any confidentiality or integrity issues being compromised for the organization," the order noted.It is unfortunate that the head of the leading and largest stock exchange in India has had to resort to such attempts to justify her actions of sharing confidential information pertaining to NSE with an unknown person, the market reguator lamented."I find that it is bizarre attempt at concealing the identity of the unknown person. Clearly such an attempt is unacceptable," the SEBI order said. Ramkrishna was the first woman Managing Director and Chief Executive Officer of NSE, a position she held from April 1, 2013 to December 2, 2016. She had resigned after the manner of appointment of Subramanian as GOO became public. .[Read Order].Follow Bar and Bench channel on WhatsAppDownload the Bar and Bench Mobile app for instant access to the latest legal news.