The dematerialization of the security has gained the importance and to say further a gentle push was made by amending the Companies Act, 2013 by making it a legal requirement. However, it is not just a one-time compliance to made, even after getting the ISIN with any or both the depository (NSDL/CDSL), the Issuer may need to raise capital or may made a preferential allotment etc.
For this purpose they are not only required to comply with the applicable provisions of the relevant laws, even there are procedural requirement that too must be taken care of. In this article, the procedure/requirement of registration of user with NSDL is provided.
After user registration with Issuer Portal, any corporate action can be initiated.
In short, this can be summarized in following steps:
I. REGISTRATION DETAILS
Step 1: Details of the Issuer
Basic Details
1.Select User Type as: Issuer
2. Tick YES/No (whether any security of the company is already available with NSDL in demat form)
3. Tick Yes/NO (whether want to creat equity ISIN)
4. Mention ISIN/Issuer ID and Issuer Name (Issuer Id is 4,5,6 and 7th digits/place of ISIN)
Contact Details
Name:
PAN:
Date of Birth:
Mobile Number (10 digits only): verify with OTP
E-mail ID: verify with OTP
Office Telephone Number: Not to verify
(Name and date of birth must be as per PAN Card)
(E-mail id provided here will be used as USER ID to login)
Note: All fields are mandatory in Registration Details head.
Steps 2: Product & Permission Details:
Here Details are to be provided either:
User to be registered as ‘MAKER’ only (registration of DSC/digital signature is optional)
For example:
Select Product- e.g. Corporate Action
Function Role- Maker
OR
User to be registered as ‘CHECKER’ for all/few product (registration of DSC/digital signature is mandatory)
For example:
Select Product- e.g. Corporate Action
Function Role- Checker
(Note: Rows can be added to select the product and functional role)
Step 3: Login Details
User ID: it is verified email id
Create & Confirm Password:
Select, Sign/Upload DSC/(digital signature): mandatory for checker
Step 4: Check/Tick: Terms and Conditions
Step 5: Click: Save and Next
II. DIGITALLY SIGNED DOCUMENTS TO UPLOAD
- PAN of the user
- Board Resolution
- Details of Authorized Signatory
(Note: All the documents to upload must be digitally signed/DSC)
Click: Save and Next
III. REVIEW AND CONFIRM
Click: Submit
IV. SUCCESSFUL REGISTRATION
Upon successful registration a Unique Reference Number ID (URN) is generated.
The login details are provided at registered email id (user id).
Issuer can login to the Issuer Portal and check the status of request with URN.
V. RECEIPT OF NSDL APPROVAL
Upon receipt of NSDL approval, confirmation message/notification pops-up with URN ID.
IN CASE OF REJECTION OF URN
In case where submitted request/URN is rejected by the NSDL, the Issuer is required to follow the procedure again including;
- Verifying mobile number and email id already provided
- Verify all the details provided in product/function role
- Upload revised documents and submit request to register.
The Registrar and Share Transfer Agent (RTA) on the behalf of Issuer can process the registration of user also. For doing the same, the following forms/details/information is required and drafts of these are available:
- Annexure I: ISSUER SERVICE PORTAL REGISTRATION FORM
- Board Resolution
- Details of Authorized Signatory
- User Registration Form for Maker and Checker with following details:
– Name as per PAN Card
– Date of Birth as per PAN Card
– Mobile Number
– Email ID
– DSC Serial Number
- Digitally signed copy of maker and checker pan card
Note: The readers are advised to consult professional or their RTA for their query.
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