The National Stock exchange (NSE) index crashed on early Friday after Emkay Global Financial Services placed erroneous orders worth around Rs. 650 crore.

The erroneous orders led to a big 900-point flash crash in 50-share Nifty, which erased around Rs 10 lakh crore in market wealth. The figure represented a fall of 15.5 per cent over Thursday's close. The incident forced the stock market to halt trading for some time, and prompted regulator SEBI to launch an investigation into the incident.

The erroneous orders were placed by Emkay Global Financial Services, a trading member of the market, on behalf of an institutional client.

NSE said in a clarification, "The market circuit filter got triggered due to entry of 59 erroneous orders which resulted in multiple trades for an aggregate value of over Rs. 650 crore."

These flawed orders resulted in executing trades at several price points across the whole order book, and caused the circuit filter to be triggered.

The incident occurred on a day when the market was expecting upward trading on bourses, as the government's recently announced economic reforms have cheered investors once again.

NSE has disabled Emkay Global Financial Services from trading for the time being.