Sebi allows 6-month window to re-lodge old share transfer requests

Sebi on Wednesday said it has permitted a one-time special window for investors to re-lodge physical share transfer requests that were submitted before April 1, 2019, but rejected or returned due to deficiencies.

The six-month window will be open from July 7 to January 6, 2026, as part of the regulator's effort to ease investing and safeguard investor rights.

Transfer of shares in physical form was discontinued from April 1, 2019.

The regulator had earlier allowed investors to re-lodge transfer deeds that were submitted prior to the cut-off but rejected due to documentation issues, and had fixed March 31, 2021, as the deadline.

However, several investors missed that timeline and based on representations from investors, registrar and share transfer agents (RTAs), and listed companies, the matter was reviewed by a panel of experts comprising legal professionals, RTAs and company representatives.

The panel recommended providing another opportunity to such investors.

Thereafter, Sebi said it has been decided to open a special window only for re-lodgement of transfer deeds, which were lodged prior to the deadline of April 01, 2019 and rejected/returned/not attended to due to deficiency in the documents/process/or otherwise, for a period of six months from July 7 till January 6, 2026.

The move came in order to facilitate the ease of investing for investors and to secure the rights of investors in the securities. During this window, such transfer requests will only be processed in dematerialised form and due process must be followed.

Companies and RTAs have been asked to publicise the window through print and social media every two months during the window period.

They are also required to deploy dedicated teams to handle such cases and furnish monthly reports to Sebi on the number of requests received, processed and approved, along with reasons for any rejections and average processing times.