Comment on Consequences of Short delivery - NSE/BSE
commented on
23 Mar 2016, 02:03 PM
It is not really a penalty, it is essentially the auction price at which exchanges buy back the stock on your behalf. Depending on what price exchange is able to buy this 3000 shares on your behalf in auction, the difference amount (your buying price – auction price) is charged as penalty. If an auction is already done, nothing much you can do now.