MMTC clarifies news item

With reference to the news item appearing in a leading financial daily titled "MMTC exchange", MMTC Ltd has clarified

1. MMTC being a PSU under the administrative control of Department of Commerce, Government of India had submitted a proposal for acquiring / subscribing 26% equity capital of a Company (SPV) to be jointly floated by India Bulls Ltd., and MMTC to set up a Commodity Exchange. The said proposal of MMTC's investment in the said SPV is subject to
approval of the shareholders for which Company shall be approaching the shareholders in due course.

2. In the News item appearing in a daily, it is stated that Department of Commerce has given MMTC 'in principle' approval to set up a Commodity Exchange. However, as of now, the Company has not received any written communication from Department of Commerce in this regard. From the News item it appears that Department of Commerce has approved the proposal of MMTC as stated at 1 above for which written approval is yet awaited.

3. Setting up of a Commodity Exchange also requires approval of the "Future Markets Commission" who shall be approached by the SPV at appropriate time.