A number of clients have not received their payouts for trades executed last Tuesday , at the expiry of the Nifty weekly options .
The payouts were stopped on a police complaint filed by a client based in Jodhpur against a broking firm's franchisee that the latter was running fraudulent and unauthorised transactions in his account , according to a market source whose payout has been held back.
An exchange official was not immediately available to confirm this .
Payout refers to the transfer of funds from one broker's account to another whose clients were part of a transaction .
The payout was halted by the NSE following instructions from its enforcement authority (EA).
The NSE said in a circular on 6 May that it had been advised to stop all "fraudulent transactions /activities executed in the trading account of the complainant on May 5, 2026, till further instructions."
“Accordingly, the funds payout w.r.t certain clients) who were counterparties for the said trades in certain contracts in Equity derivatives segment have been withheld. The matter is under investigation with the Enforcement Authority,” the circular said.
Weekly equity options on indices like Nifty have become hugely popular with investors and traders alike post the Pandemic and the rise in margins for clients to trade intraday in the equity cash segment to 20% from negligible amount since then .
The options let retail and other traders take a view on how the Nifty would expire every Tuesday . A call gives the buyer the right but not the obligation to buy an underlier . Similarly a put gives a buyer the right to sell . In case of the options sellers they are obligated to buy or sell the underliers . In actuality , index options are cash settled as indices can't be delivered , making them hugely popular products .
NSE had 74.7% of market share in equity options in FY26, with BSE holding the rest through its Sensex options.
Options contracts are the mainstay of revenues for an exchange . For instance , equity options constituted 77% of standalone transaction fees worth ₹12945 crore earned by NSE in FY26 . The rest was contributed by equity cash and equity futures.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.
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