New Delhi: Markets regulator SEBI on Friday approved measures to simplify the transmission of securities following an investor's death, making it easier and faster for nominees and legal heirs to claim financial assets.
The regulator, at its board meeting, introduced a new category of Quick Transmission Processing (QTP) for small-value claims and enhanced the thresholds for simplified documentation. The board also approved a new Code of Conduct for its members and amendments to the SEBI (Employees’ Service) Regulations, 2001 (ESR), to strengthen the framework governing conflict of interest and disclosures.
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The move follows recommendations made by a High-Level Committee (HLC) constituted by SEBI to comprehensively review the existing rules on conflicts of interest, disclosures, and related matters concerning SEBI board members and employees.
The committee's recommendations were approved by the SEBI board, with suitable modifications, at its meeting held on March 23, 2026.
SEBI said the final Code of Conduct and amendments to the ESR will be posted on its website after completing due process, including publication of the ESR amendments in the Official Gazette.
Regarding the new mechanism, SEBI said QTP will be available for claims of up to Rs 10,000 for physical securities and Rs 30,000 for dematerialised (demat) securities. Further, SEBI has doubled the limits for transmission through simplified documentation. The threshold has been increased from Rs 5 lakh to Rs 10 lakh for physical holdings per listed company and from Rs 15 lakh to Rs 30 lakh for demat holdings per beneficial owner.
The regulator has also approved several measures to reduce procedural requirements and streamline the transmission process.
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As part of the changes, the requirement to submit a Permanent Account Number (PAN) has been removed, considering that PAN details are already available for opening demat accounts. In addition, the mandatory requirement of obtaining probate of a will has been dispensed with in line with recent amendments to succession laws.
SEBI has also allowed the submission of a combined affidavit-cum-no objection certificate (NOC) instead of separate affidavits and NOCs.
To facilitate easier verification, copies of death certificates carrying a QR code will now be accepted in addition to original or attested copies. For death certificates issued in foreign jurisdictions, the regulator has specified additional verification mechanisms through overseas branches of Indian banks or foreign banks having correspondent banking relationships with Indian banks.
These measures are expected to facilitate quicker transmission of securities while reducing costs and procedural hardships for claimants.
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