SEBI introduces concept of ‘Demat Debit and Pledge Instruction’ for transfer of securities mitigating misuse of PoA

SEBI has introduced the concept of DDPI to mitigate the misuse of PoA. SEBI has provided two conditions under which a client can execute DDPI to authorize the stock broker/DP to access their beneficial owner (BO) account for the purpose of meeting pay-in obligations for settlement of trades executed by them. DDPI is applicable if a client opt so. Further, the existing PoAs shall continue to remain valid till the time client revokes it. This circular will be effective from July 01, 2022.SEBI has introduced the concept of DDPI to mitigate the misuse of PoA. SEBI has provided two conditions under which a client can execute DDPI to authorize the stock broker/DP to access their beneficial owner (BO) account for the purpose of meeting pay-in obligations for settlement of trades executed by them. DDPI is applicable if a client opt so. Further, the existing PoAs shall continue to remain valid till the time client revokes it. This circular will be effective from July 01, 2022.taxmann.com Latest Statutory HappeningsRead More

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