SEBI Extends Deadline for Demat Account Nomination and PAN, KYC Submission
The Securities and Exchange Board of India (SEBI) has announced an extension of the deadline for Demat account holders to nominate their accounts. Additionally, SEBI has also extended the deadline for physical security holders to submit PAN, nomination, and KYC details. The new deadline is now December 31, 2023, as opposed to the previous deadline of September 30, 2023.
SEBI had originally mandated Demat account holders to either select a nominee or opt out of nomination altogether in a circular issued on March 27, 2023. The regulator had previously warned that Demat accounts that failed to make a decision would be frozen starting September 30, 2023.
Similar instructions were issued to physical security holders in listed companies on March 16, 2023, requiring them to provide PAN, nomination, contact details, bank account information, and specimen signatures for their corresponding folio numbers.
SEBI, in its press release, stated that the submission of a ‘choice of nomination’ for trading accounts is now voluntary, as this change aligns with its efforts to simplify the business process.
Furthermore, SEBI has instructed stock exchanges, depositories, Registrar and Transfer Agents (RTA), and listed companies to take the necessary actions to implement the provisions of this circular and monitor compliance with its requirements.
