SEBI mandates stock brokers to get all their demat accounts untagged by 30th June, 2022
The Securities and Exchange Board of India (“SEBI”) in consultation with Stock Exchanges and Depositories, has informed that all demat accounts maintained by stock brokers should be appropriately tagged –
Further,
1. All demat accounts of stock brokers which are untagged need to be appropriately tagged by June 30, 2022.
2. Credit of securities will not be allowed in any demat account left untagged from July 01, 2022 onwards. However, Credits on account of corporate actions will be permitted.
3. From 1st August, 2022 debit of securities will not be allowed in any demat account left untagged, and Stock Brokers will have to obtain permission from Stock Exchanges to allow tagging of such demat accounts from August 01, 2022 onwards.
These are not applicable for the demat accounts which are used exclusively for banking activities by stock brokers which are also banks.
