Comment on On the Karvy Issue

Nitin Agrawal commented on 07 Dec 2019, 02:51 PM

Can anybody tell me why zerodha required poa from clients? Today I got below email from NSE –

Dear Investors,

In view of the recent developments in the securities market, we advise the following:

• Ensure that pay-out of funds/securities is received in your account within 1 working day from the date of pay-out.

• Be careful while executing the PoA (Power of Attorney) – specify all the rights that the stock broker can exercise and timeframe for which PoA is valid. It may be noted that PoA is not a mandatory requirement as per SEBI / Exchanges.

• Register for online applications viz Speed-e and Easiest provided by Depositories for online delivery of securities as an alternative to PoA.

• Ensure that you receive Contract Notes within 24 hours of your trades and Statement of Account at least once in a quarter from your Stock Broker

• Please note that securities provided by you towards margin are not permitted to be pledged by your Stock Broker for raising funds.

• If you have opted for running account, please ensure that the stock broker settles your account regularly and in any case not later than 90 days (or 30 days if you have opted for 30 days settlement).

• Do not keep funds and securities idle with the Stock Broker.

• Regularly login into your account to verify balances and verify the demat statement received from depositories for correctness.

• Check messages sent by Exchanges on a monthly basis regarding funds and securities balances reported by the trading member and immediately raise a concern if you notice a discrepancy.

• Always keep your contact details viz Mobile number / Email ID updated with the stock broker. You may take up the matter with Stock Broker / Exchange if you are not receiving the messages from Exchange / Depositories regularly.

• If you observe any discrepancies in your account or settlements, immediately take up the same with your stock broker and if the Stock Broker does not respond, with the Exchange/Depositories

Thanks & Regards

National Stock Exchange of India Ltd.

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