Top officials of the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) were recently in touch with the LSE for a software system that detects insider trading, LSE deputy chairman Ian G Salter said on the sidelines of a CII seminar on Tuesday.

He said the "sophisticated system" used in LSE now monitors share transactions and tries to trace back whether he has any connection with the concerned company's officials.

NSE and BSE have signed a Memorandum of Cooperation with LSE in February this year covering areas including training, regulatory development, information sharing and joint initiatives in a number of areas.

Mr Salter met BSE president Anand Rathi recently at a function in Brisbane. Although the LSE official termed the meeting as informal, there is a strong indication that the insider trading issue figured in their discussion.

The move from the country's two leading bourses comes in the wake of a Sebi directive to curb insider trading.

The market watchdog recently announced a number of risk containment measures including issuing a Client Identification Code to trace transactions of individual investors and check price manipulations.

Speaking at the seminar, Mr Salter said there is a long queue of 30-40 companies from India that are interested in getting listed in the London exchange. At least 5-6 companies in a broad range of sectors would be listed in the next 1-2 years time, he added. Till date, 20 Indian companies are listed in London and raised $2.8 billion.

"Turnover in the Indian sector in London alone has risen from about $600 million six years ago to over $10 billion last year," Mr Salter said.

(PTI)