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Transposition & Transmission
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Transposition & Transmission
TRANSPOSITION
There is concept introduced in demat called the transposition of shares. Transposition means that if  the shares are held in the name of A & B and customer has a demat account in the reverse order i.e. name of B & A - the shares can be dematerialised in the same account, and  a new demat account in the name of B and A would not be required. The client has to submit the shares and the demat request form along with transposition form. You may get the transposition form from any of the Saraswat Bank Branches.

TRANSMISSION
Transmission means transfer of the title of shares to the surviving holders on account of death of one of the holders. The person/s to whom the shares devolve, has to prove his entitlement by submitting the appropriate documents. Transmission may be required in either of the two cases:
  • If the shares are held in physical form 
  • If the shares are held in demat form 
  • Transmission in case of physical holdings:
If the securities are held in physical form and the client wishes to demat these holdings, then the surviving holders have to open a demat account in the name of the surviving holder only. In case the surviving holders already have a demat account in their names a new demat account is not required. The physical shares have to be submitted to Saraswat Bank along with the duly signed Demat Request Form and Transmission form (Form OB).The shares will be then send to the respective companies which will be dematerialised and credited to the surviving holder’s account.
Transmission in case of demat holdings:
  • Transmission in case of death of single holder
  • Transmission in case of death of joint holder
Transmission in case of death of single holder:

In the event of death of the sole holder, if valid nomination has not been made, then the claimants /successors/legal heirs of the deceased can get the securities transmitted in their favour, by submitting the following documents to Saraswat Bank along with the transmission form. 
  1. A copy of the death certificate, duly notarised
  2. A copy of the succession certificate duly notarised or an order of  a competent court if the deceased has not left a will  OR
  3. A copy of the probate or letter of Administration duly notarised.
Transmission of securities held in a single name without nomination and valuation of securities exceeds Rs.1 Lakh.
  1. Demat account required in the name of legal heir(s) or legal representative.
  2. (If demat account of the legal heir is with other DP the original Client Master List in Crystal format duly signed, stamped and verified by that DP to be affixed.)
  3. Original copy of death certificate or notarized copy of death certificate with Rs.25/- notarial stamp to be affixed, and duly stamped by the Notary.
  4. Transmission Form (Annexure "O") duly signed by the legal heir(s).
  5. A copy of the Succession Certificate, duly notarized, or an order of a Competent Court, if the deceased has not left a will; or
  6. A copy of Probate or Letter of Administration duly notarized.
Transmission of securities held in a single name without nomination and valuation of securities is below Rs.1 Lakh.
  1. Demat account required in the name of legal heir(s) or legal representative. (If demat account of the legal heir is with other DP the original Client Master List in Crystal format duly signed, stamped and verified by that DP required).
  2. Original copy of death certificate or notarized copy of death certificate with Rs.25/- notarial stamp to be affixed, and duly stamped by the Notary.
  3. Letter of Idemnity on Rs.200/- non-judicial stamped paper duly supported by a guarantee of an independent Surety (in a prescribed format i.e. Annexure OC).
  4. An Affidavit made on a Rs.100/- non-judicial stamped paper with verification. (in a prescribed format. i.e. Annexure OD).
  5. No Objection Certificate(s) from all the legal heir(s).
    OR
    Settelment deed of family (in a prescribed format. Annexure OE).
  6. Transmission Form (Annexure "O") duly signed by the legal heir(s).
The formats of the legal documents are available at any of the Saraswat Branches.

Transmission in case of death of joint holder:

If any of the joint-holders of a security dies the surviving joint-holders can get the securities transmitted in their favour by producing the death certificate of the deceased to Saraswat Bank. The surviving holders will have to open a demat account only in the name of the surviving holders. If such a demat account exists, then a new account need not be opened.

NOMINATION
A client can avail of the nomination facility for his/her demat account. You can nominate at the time of account opening itself or any time in the future by filling the nomination form. A nomination can be changed at any time by filling the same form. By availing of the nomination facility, the nominees are entitled to receive shares outstanding in the name of the deceased clients. However the following categories of investors cannot nominate:
  • Minor accounts 
  • HUF accounts
  • Power of attorney holders 
Accounts in the name of society, trust body corporate.
The nomination forms (Form JA), are available in any of the Saraswat Bank Branches
Please contact us at user_demat@saraswatbank.com or 27884161- 64 or fax: 27884153

Rajiv Gandhi Equity Savings Scheme (RGESS)
The RGESS scheme was proposed in the Union Budget 2012-13, to encourage flow of savings in the financial instruments and improve the depth of domestic capital market

Features of the Scheme:
  • Designed exclusively for the first time retail investors in securities market, whose gross total income for the year is less than or equal to Rs. 10 lakh.
  • The investor would get under Section 80CCG of the Income Tax Act, a 50% deduction of the amount so invested, upto a maximum investment of Rs.50,000, from his/her taxable income for that year.

Eligibility :
The Scheme is open for all New Retail Investors who have gross total income less than or equal to Rs. 10 lakh. A new  retail investor is one:
  • Who is a resident individual (the benefit cannot be availed corporate entities / trusts etc)
  • Who has not opened a Demat account and has also not done any trading in the derivative segment till RGESS account opening date.
  • Those who have opened the Demat account and have not made any any transactions in equity and/ or in the derivative segment till designating such account as RGESS.

Eligible Securities:
The individual can invest in any of these eligible securities :
  • Equity shares of selected companies which include:
    • Companies falling in the list of 'CNX-100' of NSE or 'BSE-100'.
    • Public sector enterprises categorized as Maharatna, Navratna or Mini-ratna by the Central Government.
  • Units of Mutual Fund (MF) schemes which are RGESS compliant.
  • Units of Exchange Traded Funds (ETFs) which are RGESS compliant.
  • IPOs /NFOs of above mentioned companies/funds. IPO of PSUs with annual turnover greater than Rs.4000 cr. consistently for past years.

Process of availing for RGESS facility:
  • Client can opt for this scheme by submitting Form A at any of Saraswat Bank branch at the time of opening the Demat account.
  • On receiving the Form, Saraswat Bank will validate the eligibility basis i.e. PAN card of the first holder updated in the demat account.
  • If the investor is eligible for RGESS scheme as per SEBI guidelines, Saraswat Bank will sent the Client Master List.
  • The client can then invest in RGESS eligible securities with a maximum limit of Rs. 50,000/- to claim the tax benefit, which will be automatically locked in his Demat account.
  • If the client does not wish a certain set of eligible securities to be locked under RGESS, he / she can submit a Form B within 30 days of such investment.
  • In case the client wishes to sell part of securities during the flexible lock-in period (after the first year) however the value of securities sold should be replenished with equivalent value of other securities as defined under RGESS

Important: As per SEBI guidelines deduction claimed shall be withdrawn if the lock–in period requirements of the investments are no complied with or any other condition of the scheme is violated.
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