Supreme Court Stays Delhi High Court Order Classifying NSEI as 'Public Authority' under RTI Act

The Supreme Court of India has recently stayed the operation of a Delhi High Court judgment that had declared the National Stock Exchange of India (NSEI) a 'public authority' under Section 2(h) of the Right to Information (RTI) Act, 2005. The apex court’s intervention effectively pauses the obligation for the NSEI to disclose internal information under the RTI framework until the matter is heard and decided upon by the bench. The core of the legal dispute revolves around the definition of a 'public authority.' Under the RTI Act, an entity can be classified as a public authority if it is established or constituted by or under the Constitution, by any other law made by Parliament or State Legislatures, or by notification issued or order made by the appropriate government. Furthermore, bodies owned, controlled, or substantially financed by the government fall under this category. The NSEI, while a critical market infrastructure institution regulated by the Securities and Exchange Board of India (SEBI), operates as a private entity. The debate centers on whether the regulatory oversight and the nature of its functions—which are vital to the national economy—constitute 'substantial control' by the state to warrant the transparency requirements mandated by the RTI Act.