Meanwhile, the governing board of the exchange met for the first time on Thursday, after the recent capital market crisis, and the Securities and Exchange Board of India (Sebi) decided to sack the elected directors from the board. The board reviewed the market situation, including margin collection, and also reviewed other risk containment measures, Mr Joshi said.

Mr Tirodkar was served a notice on March 13, by the exchange to hold an independent, fair and impartial inquiry by a high power management committee to go in to details of all the alleged omissions and commissions occurred under him.

Mr Tirodkar is accused of leaking sensitive information from surveillance department, which recorded the conversation of the then BSE president, Mr Anand Rathi, and an employee of the department. This was passed by him to a former office bearer of the exchange which in turned was leaked it to media.

This ultimately resulted in a situation that Mr Rathi had to resign and other elected directors, who were present at that time, were also sacked by the regulator.

The notice to Mr Tirodkar further says, this leakage of information has not only caused serious damage to the image of the stock exchange but also eroded the integrity of the entire capital market.

Mr Tirodkar, who was in charge of finance & accounts and secretarial & legal departments, besides holding additional responsibility of surveillance, was absolved of all the responsibility and the executive director directly took the charge of the most sensitive surveillance department.

Rajnikant Patel is surveillance chief
The Bombay Stock Exchange (BSE) has announced the appointment of Mr Rajnikant Patel as the director of the surveillance and inspection department. This important post fell vacant at the exchange after the former surveillance chief Mr AA Tirodkar was asked to go on leave pending an inquiry after he allegedly leaked out some information to outsiders, which created major crisis on the bourses.

Mr Patel will take charge from the executive director AN Joshi who was directly in charge of surveillance after the controversy dogged the market.

Prior to joining BSE, Mr Patel was in charge of Inspection and Compliance at BNP Paribas.

Mr Patel has worked with many premier institutions like Reserve Bank of India, BNP Paribas and has more than 15 years experience in inspection and compliance in the field of banking and financial services, said a BSE release.