Common and Simplified Norms for processing investor’s service request by Registrar and Share Transfer Agents (RTA) and norms for furnishing PAN, KYC details and Nomination – Linking of PAN and Aadhaar
The Securities Exchange Board of India vide its circular SEBI/HO/MIRSD_RTAMB/P/CIR/2021/655 dated Nov 3, 2021 amongst other things has advised the Companies and Registrar and Transfer Agents (RTA) as follows:
Compulsory linking of PAN and Aadhaar by all holders of physical securities in listed companies
The Central Board of Direct Taxes (CBDT), vide Notification S.O. 3814(E) dated September 17, 2021, has extended the date for linking PAN with Aadhaar number to March 31, 2022. SEBI issued Press Release dated September 03, 2021, advising
- intermediaries to accept only valid PANs from this aforesaid date, while opening new accounts
- existing investors to link their PAN with their Aadhaar number by the date specified by CBDT.
Accordingly, from March 31, 2022 or any other date as may be specified CBDT, RTA shall
- accept only valid PANs and
- verify that the PAN in the existing folios are valid; i.e. whether it is linked to the Aadhaar number of the holder.
Please note the following:
Further, if the folios in which PAN is / are not valid as on the notified cut-off date of March, 31, 2022 or any other date as may be specified by the CBDT,
- The folios wherein any one of the above stated documents/ details shall be frozen by RTA and the said folios shall be restored to normal status only after furnishing by the holders of Physical securities all the completed documents/ details as stated above or on dematerlisation of all the securities in such folios.
- Those securities that were frozen on or after April 1, 2023 and continues to remain frozen as on December 31, 2025, then such securities will be referred by RTA/ Company to the administering authority under Benami Transactions (Prohibitions) Act, 1988 and or Prevention of Money Laundering Act, 2002.