A notice was issued to SEBI by The Securities and Appellate Tribunal (SAT) regarding the recent order against 63moons Technologies. SEBI rejected 63moon’s application in the STP (Straight-Through Processing) services segment, commenting that the company and its promoters were assessed to be not ‘fit and proper’.

SEBI rejected the business permission to 63moons On December 3 which was intended for providing software-related services. This rejection came almost three years after the application of permission. STP software service is used mainly by institutional players for trade settlement. According to a clause that was inserted In the SEBI rule book in 2018, an STP technology provider has to be 'fit and proper'.  The STP segment is controlled only by two large players, the other being NSDL. 63moons technologies told the court that the provision of ‘fit and proper’ cannot be applied to any entity for a lifetime.

63moons technologies was earlier known as Financial Technologies India Ltd (FTIL). They started providing STP services in 2004 and holding more than 90% of the market share, achieving a near-monopoly in the segment since then.