Mumbai: Capital market regulator Sebi on Thursday changed the framework for transmission of securities following the death of an investor, introducing a fast-track mechanism for small-value claims, simplifying documentation requirements and removing the mandatory requirement of probate of a will.

The regulator said the revised framework is aimed at making the transmission process more efficient, standardised and investor-friendly across listed companies, registrars and transfer agents (RTAs), depositories, depository participants and mutual funds.

Sebi has introduced quick transmission processing (QTP) for low-value claims by immediate relatives such as parents, spouses, children and parents-in-law.

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Under the new category, claims involving securities worth up to ₹10 lakh in physical form and up to ₹30 lakh in dematerialised form can be processed under a simplified procedure.

The regulator has reduced paperwork by removing the mandatory requirement of obtaining probate of a will, in line with recent amendments to succession laws. It has also replaced separate affidavits and no-objection certificates with a single affidavit cum NOC, while allowing QR code enabled death certificates to be accepted for verification.
For investors who die overseas, Sebi has expanded the list of acceptable verification methods for foreign issued death certificates.