Sebi proposes easier rules for transmission of securities, raises limits

Markets regulator proposes higher thresholds for simplified documentation and straight-through processing for low-value cases to ease transmission of securities

The Securities and Exchange Board of India (Sebi) on Thursday issued a consultation paper proposing changes to documentation requirements for transmission of securities and revision of threshold limits for simplified documentation. 

The regulator proposed increasing the threshold for simplified documentation to ₹10 lakh for securities held in physical mode per listed entity or mutual fund units in statement of account form per asset management company, from ₹5 lakh currently. For securities held in dematerialised mode, the limit has been proposed to be increased to ₹30 lakh per beneficial owner from ₹15 lakh. 

Sebi has also proposed introducing straight-through processing for low-value cases. Under the proposal, claims up to ₹10,000 in physical mode and ₹30,000 in dematerialised mode would be processed with minimal documentation.