What is Transmission of shares and when should it be used?
Transmission is basically the transfer of ownership of shares from a deceased holder to a) Nominee b) legal heir or legal representative or c) the surviving joint holder
Process of Transfer
Nominee
Transmission is easiest when the demat account has a nominee assigned. In the event of the death of beneficiary holder(s) of demat account, the nominee needs to provide duly filled
a) Transmission form
b) certified true copy of death certificate of the demat account holder(s) and
c) Client Master List of the Nominee's demat account if the account is maintained with Other depository participant. This is not needed if the nominee has a demat account within Tradeplus.
Legal heir or Legal representative
For a legal heir to inherit shares of the deceased holder, they need to submit the following
a) Transmission form
b) Copy of notarized death certificate duly signed by Claimant(s)
c) Copy of notarized Succession Certificate or
d) An order from a court of competent jurisdiction in case the deceased has not left a Will or
e) Copy of Notarized Probate or Letter of Administration
f) Client Master List of the demat account to which the shares are to be transferred. This can be ignored if the demat account is with us.
If the legal heir or representative does not have either of the documents mentioned in c), d) and e) above documents, we process the request if the value of shares to be transferred is less than 1 lakh in terms of market value on the date of transfer, with the following
a) Transmission form
b) Copy of notarized death certificate
c) Letter of Indemnity duly supported by a guarantee of an independent Surety acceptable, made on appropriate non judicial stamp paper
d) An Affidavit made on appropriate non judicial stamp paper and
e) No objection certificate(s) from all the legal heir(s) who do not object to such transmission
'Transmission cum Demat' can also be used when one of the joint holders mentioned in the share certificate (held in physical form) is no more and the survivors wish to have the securities transmitted in their name in demat form. Using this facilit,the twin objective of deleting the of name of deceased joint holders and dematerialization of securities can be achieved in a single step. This is explained in the diagram
Also Read
Can I demat shares held in a particular sequence of holding in an account with different sequence of holding?
Can I de-materialize shares held by a single owner into a joint demat account?
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