Losing or misplacing securities certificates can be a daunting situation for investors. However, there’s a systematic procedure in place for the issuance of duplicate securities certificates, whether you’re an Indian or Overseas claimant. This article delves into the details, breaking down the process based on the value of the securities.
INDIAN CLAIMANT(S)
| Value of securities > 5 Lakhs | Value of securities < 5 Lakhs |
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· Submit copy of FIR – having details of the securities, folio number, distinctive number range and certificate numbers · Issue advertisement regarding loss of securities in a widely circulated Newspaper. · Submission of Affidavit (FORM A) · Submission of Indemnity Bond (FORM B) · ISR 4 |
· Submission of Affidavit (FORM A) (on non-judicial stamp paper of Rs.50/- and in the presence of Public Notary) · Submission of Indemnity Bond (FORM B) (on non-judicial stamp paper of Rs.300/- and in the presence of Public Notary) · ISR 4 |
OVERSEAS CLAIMANT(S)
| Value of securities > 5 Lakhs | Value of securities < 5 Lakhs |
| · Instead of submitting FIR he/she shall be permitted to provide self declaration of the security certificates lost/misplaced/stolen – duly notarized/ apostilled/ attested by the Indian Consulate / Embassy along with self attested copies of valid passport and overseas address proof.
· Issue advertisement regarding loss of securities in a widely circulated Newspaper. · Submission of Affidavit (FORM A) · Submission of Indemnity Bond (FORM B) · ISR 4 |
· Submission of Affidavit (FORM A) (on non-judicial stamp paper of Rs.50/- and in the presence of Public Notary) · Submission of Indemnity Bond (FORM B) (on non-judicial stamp paper of Rs.300/- and in the presence of Public Notary) · ISR 4 |
1. The applicant shall quantify the value of the securities on the basis of the closing price at any one of the recognized stock exchanges.
2. If folio number, distinctive number range and certificate numbers are not available – RTA shall provide the same on request after matching the records. If records mismatch – the security holder shall first comply with KYC procedures.
3. Fake / forged / stolen certificates or certificates where duplicate certificate is issued, must be seized and defaced by the RTA /listed company and disposed of (in the manner specified by the Board of the Co). These shall be kept in the custody of company/RTA and disposed of (in the manner specified by the Board of the Co).
4. The listed company shall take special contingency insurance policy for the risk associated with the issuance of duplicate securities.
5. Issue duplicate securities in dematerialized mode only.
Procedures For Issuance Of Duplicate Securities Certificate
1. RTA/ Company shall send LETTER OF CONFIRMATION (FORM C) through Registered Post/Speed Post within 30 days of the receipt of request. It may be sent through e-mail with e-sign/digital signature additionally.
2. Within 120 days of the receipt of Form C, the claimant(s) shall submit demat request to DP. Error! Reference source not found.
3. DP shall forward the same to RTA/ Company.
4. RTA/Company – issue reminder to claimant(s) – at the end of 45 days and 90 days from the date of issue of Form C – to submit demat request (if request has not been received).
5. Securities shall be credited to Suspense Escrow Demat Account within 120 days of issue of Form C (if request is not received).
Conclusion: Securing your investment is paramount. Thankfully, there is a thorough process in place for those who have lost or misplaced their securities certificates. While the steps might appear extensive, following them ensures that investors’ rights are protected, and their investments remain secure. Always stay informed and proactive about such procedures to handle such scenarios with ease.
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