Is the government prioritizing NSE over BSE?

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Editor's note: On 18 July, Ashish Chauhan was appointed as chief executive officer and managing director of the country's largest stock exchange, National Stock Exchange of India Ltd.  Chauhan, at that time was CEO of BSE Ltd, which is engaged in a near duopoly with NSE. Many considered Chauhan, who was part of the founding team of NSE, as the most suitable person to anchor the stock exchange, which has been mired in controversy and questions over corporate governance of late.  “Ashish was the most eligible person to head NSE. He is seen as clean. Also he has done a wonderful job at BSE. Also, he knows NSE better than many other people—since he is part of the founding team,” says an executive who has worked with Chauhan at BSE, asking not to be named. Yet, there are concerns over Chauhan’s shift from BSE to its much larger rival.  The speed at which he moved—or was asked to move—left BSE without a chief executive. For many in the industry, it’s an indication of the government and the Securities and Exchange Board of …