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 – Mandatory furnishing of Documents
The Securities Exchange Board of India vide its Circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/37 dated March 16, 2023 amongst other things has advised the Companies and Registrar and Transfer Agents (RTA) as follows:
Mandatory furnishing of PAN, KYC details and Nomination by the holders of physical securities
SEBI has mandated that all holders of Physical securities in listed company shall mandatorily furnish the following documents / details to the RTA and the RTA shall not process any service requests or complaints received from the holder(s) / claimant(s) till documents / details are furnished to the RTA
Compulsory linking of PAN and Aadhaar by all holders of physical securities in listed companies. The detailed requirements are per Annexure A of the Circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/37 dated March 16, 2023
Nomination – “Nomination” or “declaration to opt-out” shall be furnished for all eligible folios in the following formats.
For nomination – Nomination through Form SH-13 or cancellation or variation in nomination though Form SH- 14 as provided in the Rules 19 of Companies (Shares capital and debenture) Rules, 2014 or
For Declaration to Opt-out – The Security holder can opt out of nomination through Form ISR-3 after cancelling his existing nomination, if any, through Form SH - 14
Contact details – All holders of physical securities shall register their postal address with PIN, Mobile number, E-mail address. The security holder can register/ update the contact details through Form ISR – 1
Bank account details – All holders of physical securities shall register their Bank account details for their corresponding folio number. The registration/ updation of bank details is through FORM ISR – 1
Specimen signature- All holders of physical securities shall register the specimen signature for their corresponding folio number. For registration/ updation, the security holder may refer para – 1.2 of Annexure - C of the Circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/37 dated March 16, 2023.
Please note the following:
Upon receipt or updation of bank details, the RTA shall suo-moto, pay electronically, all the moneys of / payments to the holder that were previous unclaimed / unsuccessful.
The folios wherein any one of the above stated documents/ details are not available on or after October 1, 2023, the said folios shall be frozen by RTA and the frozen folios shall be restored to normal status by RTA upon receipt by RTA 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 October 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.
The securities in the frozen folios shall be eligible to lodge grievance or avail service request from the RTA only after furnishing the complete documents / details as aforesaid.
The securities in the frozen folios shall be eligible for any payment including dividend, interest or redemption payment only through electronic mode and upon complying with the requirements in paragraph 4 of the Circular SEBI/HO/MIRSD/MIRSD-PoD-1/P/CIR/2023/37 dated March 16, 2023.