SEBI Proposes Major Relief for Investors: Easier Duplicate Certificate Process
The Securities and Exchange Board of India (SEBI) has proposed significant simplifications for investors seeking duplicate securities certificates, raising the threshold for easier documentation from ₹5 lakh to ₹10 lakh.
Key Changes Proposed
- Simplified documentation threshold increased from ₹5 lakh to ₹10 lakh
- Single affidavit-cum-indemnity bond replaces multiple documents
- No FIR or police complaint required for securities below ₹10 lakh
- All future duplicate certificates to be issued in dematerialized form
Current Process Challenges
Currently, investors face a complicated process involving filing police complaints, publishing newspaper notices, and submitting multiple affidavits and indemnity bonds. SEBI acknowledged that different companies and registrars follow varying rules, creating inconvenience for investors.
New Simplified Procedure
Under the proposed changes, investors with securities valued below ₹10 lakh would only need to submit a single combined affidavit-cum-indemnity bond on non-judicial stamp paper. This eliminates the requirement for separate stamped documents.
“To provide ease of investment and procedural convenience to the investors, it is proposed to increase the limits for simplified documentation for issuance of duplicate securities from Rs 5 lakh to Rs 10 lakh,” the market regulator said.
SEBI clarified that for securities exceeding ₹10 lakh in value, the existing requirements of filing FIRs or similar complaints will remain mandatory.
Benefits for Investors
The regulator stated these reforms would simplify procedures, reduce costs, and protect the rights of investors holding physical certificates while supporting India’s broader transition to complete dematerialization of securities.
