Terming the allegations of harassment and victimisation by former DSE director M G Bajaj as "baseless", DSE spokesman V Shankaran said "in the course of discharging their duty, stock exchange officials are required to ensure compliance of all members, including elected directors".

Terming the statement of Bajaj that the exchange switched off his terminal as "factually incorrect", Shankaran said not only did Bajaj not inform of the disconnection immediately but waited for two days before coming to the authorities.

"DSE also informed members on October 30 that in view of the problem in the MTNL exchange, members should not wait till the last minute to square off their positions," Shankar said in a statement. Bajaj had alleged that the disconnection cost him heavily as he was unableto square-off positions for his clients.

Members are also expected to inform DSE immediately after disconnection so that it could make alternative arrangements for trading, Shankaran said.