Markets regulator SEBI on Friday approved measures to simplify the transmission of securities following an investor's death, introducing a new category of Quick Transmission Processing (QTP) for small-value claims. According to reports from Mint, the QTP will be available for claims of up to ₹10,000 for physical securities and ₹30,000 for dematerialised (demat) securities. The decision was taken at the regulator's board meeting held on June 19, 2026, with the facility enabling such cases to be processed with minimal documentation. The regulator has also enhanced the thresholds for transmission through simplified documentation, with limits doubled from ₹5 lakh to ₹10 lakh for physical holdings per listed company and from ₹15 lakh to ₹30 lakh for demat holdings per beneficial owner. As per SEBI, these changes are expected to facilitate faster transmission of securities while reducing costs and procedural hardship for claimants.
As reported by Mint, SEBI has implemented several measures to reduce procedural requirements and streamline the transmission process. The regulator has removed the requirement to submit a Permanent Account Number (PAN) considering that PAN details are already available for opening demat accounts. Additionally, the mandatory requirement of obtaining probate of a will has been dispensed with in line with recent amendments to succession laws. SEBI has also allowed the submission of a combined affidavit-cum-no objection certificate (NOC) instead of separate affidavits and NOCs. According to the latest reports, the decision to remove PAN submission aligns with the regulator's recognition that PAN details are already available when demat accounts are opened, making additional submission unnecessary. The framework also allows a combined affidavit-cum-NOC to reduce repetitive documentation, lower execution costs, and reduce the scope for technical objections.
According to Mint, to facilitate easier verification, copies of death certificates carrying a QR code will now be accepted in addition to original or attested copies. For death certificates issued in foreign jurisdictions, SEBI has specified additional verification mechanisms through overseas branches of Indian banks or foreign banks having correspondent banking relationships with Indian banks. These measures are expected to facilitate quicker transmission of securities while reducing costs and procedural hardships for claimants. As per the latest reports, the reforms also allow families to access small investments more quickly through the new QTP framework, which processes claims up to ₹10,000 for physical holdings and ₹30,000 for demat holdings with minimal documentation. The acceptance of QR-code death certificates recognises the increased digitisation of public records and should improve verification while reducing avoidable procedural objections.
As reported by Mint, the move follows recommendations made by a High-Level Committee (HLC) constituted by SEBI to comprehensively review the existing rules on conflicts of interest, disclosures, and related matters concerning SEBI board members and employees. The committee's recommendations were approved by the SEBI board, with suitable modifications, at its meeting held on March 23, 2026. SEBI said the final Code of Conduct and amendments to the SEBI (Employees' Service) Regulations, 2001 (ESR) will be posted on its website after completing due process, including publication of the ESR amendments in the Official Gazette. The latest reforms are part of SEBI's broader push to simplify market processes and strengthen investor protection, with the changes aimed at reducing paperwork, cutting costs and easing procedural hurdles faced by families during an already difficult period.
When will the new rules take effect? SEBI has approved the reforms, but has not yet specified an implementation date. The regulator is expected to issue a detailed circular outlining the operational framework and timeline for the changes to come into force. According to Mint, the proposals were deliberated with the Industry Standards Forum for Registrars to an Issue and Share Transfer Agents and the Association of Mutual Funds in India (AMFI), and incorporate feedback received on the consultation paper issued on March 12, 2026. This comprehensive consultation process ensures that the new framework addresses industry concerns while maintaining operational efficiency for market participants. The success of the reforms depends heavily on intermediaries, with differences in interpretation across market participants potentially creating inconsistent documentation practices.
