NEW DELHI: capital marketplace regulator Sebi on Tuesday prolonged the closing date until September-end for current buying and selling and demat account holders to offer selection of appointment or choose out of nomination.
Earlier the closing date used to be March 31, 2023.
In July 2021, the Securities and Exchange Board of India (Sebi) requested all current eligible buying and selling and demat account holders to offer selection of nomination on or earlier than March 31, 2022, failing which the buying and selling and demat accounts would were frozen for debits.
Later, this used to be prolonged via yet another 12 months until March 31, 2023.
“Based on the assessment of the trading as well as demat accounts in which choice of nomination details (furnishing of nomination or declaration for opting out of nomination) has not been updated and on the basis of representations received from the stakeholders, it has been decided that the provisions… with regard to freezing of accounts shall come into force with effect from September 30, 2023 instead of March 31, 2023,” Sebi stated in a round.
Also, SEBI has requested inventory agents and depository members to inspire their purchasers to replace ‘selection of nomination’ via sending a conversation on fortnightly foundation by the use of emails and SMS to all such UCCs/demat accounts in which the ‘selection of nomination’ isn’t captured.
The conversation would offer steering during which the buyer may give his/her ‘selection of nomination’.
Investors who’re opening new buying and selling and demat accounts from October 1, 2021 have the selection of offering nomination or opting out of nomination via a declaration shape.
Earlier the closing date used to be March 31, 2023.
In July 2021, the Securities and Exchange Board of India (Sebi) requested all current eligible buying and selling and demat account holders to offer selection of nomination on or earlier than March 31, 2022, failing which the buying and selling and demat accounts would were frozen for debits.
Later, this used to be prolonged via yet another 12 months until March 31, 2023.
“Based on the assessment of the trading as well as demat accounts in which choice of nomination details (furnishing of nomination or declaration for opting out of nomination) has not been updated and on the basis of representations received from the stakeholders, it has been decided that the provisions… with regard to freezing of accounts shall come into force with effect from September 30, 2023 instead of March 31, 2023,” Sebi stated in a round.
Also, SEBI has requested inventory agents and depository members to inspire their purchasers to replace ‘selection of nomination’ via sending a conversation on fortnightly foundation by the use of emails and SMS to all such UCCs/demat accounts in which the ‘selection of nomination’ isn’t captured.
The conversation would offer steering during which the buyer may give his/her ‘selection of nomination’.
Investors who’re opening new buying and selling and demat accounts from October 1, 2021 have the selection of offering nomination or opting out of nomination via a declaration shape.