UPDATE 2-Broker's bad orders trigger brief halt on India's Nifty index

* Emkay placed 59 erroneous orders - exchange

* Nifty index dropped more than 900 points, or 15 percent

* Trading halted for 15 minutes

* Nifty index resumed - down 0.75 pct

(Updates with NSE statement on Emkay, details)

MUMBAI, Oct 5 (Reuters) - India's largest stock exchange wasbrought to a brief halt on Friday after a local financial firmplaced more than five dozen erroneous orders worth more than$125 million, triggering a sharp fall on the Nifty stock index.

The National Stock Exchange said a single dealer terminal atEmkay Global Financial Services placed 59 erroneousorders for an institutional client, resulting in trades worthover 6.5 billion rupees. The trades triggered a sudden drop ofmore than 900 points on the 50-share Nifty index to a sessionlow of 4,888.20 points - 15.5 percent below Thursday's close.

After resuming, the index last traded down 0.7 percent at0709 GMT.

"These non-algo market orders have been entered for anerroneous quantity which resulted in executing trades atmultiple price points across the entire order book, therebycausing the circuit filter to be triggered," the NSE said in astatement.

An exchange source declined to comment on whether thosemisplaced trades would be reversed, or what would happen to anyother trades placed at the time of the trading halt.

Officials at Emkay, a financial services firm founded 17years ago, did not respond to multiple requests for comment.

Trading on the NSE, whose $731 billion market value exceedsthat of Bombay's Sensex (BSE) index , was halted foraround 15 minutes during morning trading. NSE futures andoptions markets traded as normal and the BSE was uninterrupted.

Some financial stocks, which make up more than a fifth ofthe exchange's value, fell sharply before trading was halted,including State Bank of India and mortgage lender HDFC.

In April, a sudden drop in Nifty futures sparked speculationof an erroneous trade, but the exchange said no errors had beenspotted on its trading systems.

($1 = 51.8650 Indian rupees)

(Reporting by Abhishek Vishnoi and Manoj Dharra; Writing byRafael Nam; Editing by Ian Geoghegan)

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Keywords: INDIA NSE/TRADING