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No payment crisis in BSE, says Deena Mehta

The Bombay Stock Exchange (BSE) is not facing a payment crisis and has adequate funds to meet any eventuality, its acting president Deena Mehta said on Monday.

"The market is 1,001 per cent safe. As an exchange, we have to ensure safety and that is what we are doing," she told reporters in New Delhi before a meeting with the Finance Minister Yashwant Sinha.

The BSE, which has been embroiled in a scandal involving allegations of insider trading and a stocks slump, has a trade guarantee fund with a corpus of Rs 24 billion, she said.

Out of that Rs 12.60 billion is in cash and that is enough to meet any situation, she said.

The Sensex fell nearly three per cent on Monday to 3,737.89 points -- taking the total losses to 14.1 per cent from its peak after the February 28 budget which was widely acclaimed as investor friendly.

The market slump has triggered worries that some brokers may default on payments.

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