F-160-06-NSDL-nestupdat-March · 2 Daksh eServices Private Limited IBM Daksh Business Process...

March 2006

Inside:

� Performance

summary

� Investor Accounts

75,33,102

� Demat Custody -

Rs. 22,48,688 Cr.

� Settlement -

Rs. 57,025 Cr.

� Companies available

for demat - 5,938

� Instruments

❖ Debentures/

Bonds - 6,928

❖ Commercial

Paper- 406

� DPs - 222

� DP service

centres - 2,964

� Corporate Action

Statistics

� Companies Name

Change

� Securities

admitted for

dematerialisation

� Topic of Interest -

FAQs at Investor

Depository Meets

(IDMs)

� Calendar of Events

For

private circulation only

Subscription to IDeAS

The following DP has subscribed to the IDeAS facility of NSDL in the month of

February 2006:

� State Bank of India

This takes the total number of DPs who have subscribed to IDeAS to 113. This is

inclusive of 59 DPs who have subscribed to SPEED-e.

Updation of MICR code, pursuant to SEBI circular on Electronic Clearing

System (ECS) for refund in public issues

SEBI, vide its circular no. SEBI/MRD/DEP/Cir-3/06 dated February 21, 2006

has mentioned that applicants residing in 15 centers where clearing houses are

managed by Reserve Bank of India (RBI) will get refunds through Electronic

Clearing System only for public issues. In view of the above, NSDL has advised its

DPs as under :

(i) Inform all the clients residing in 15 centers (For the list of centers refer RBI

website http://www.rbi.org.in under Electronic Clearing Service) to provide

the details of MICR code, if not already updated in the DPM system.

(ii) For all new accounts that are opened or changes in bank details of existing

accounts, who are residing in 15 centers, Participants should ensure that the

details of MICR code are updated as per the procedure mentioned in circular

no. NSDL/PI/2000/2295 dated December 20, 2000.

This has been intimated to DPs vide Circular No. NSDL/POLICY/2006/0006

dated February 23, 2006.

Name change of SSKI Investor Services Private Limited to Sharekhan

Limited

Consequent to the change in name of SSKI Investor Services Private Limited

to Sharekhan Limited, the Securities and Exchange Board of India has granted

the certificate of registration to Sharekhan Limited as a Participant. The DP

Id of Sharekhan Limited is IN300513.

* National Electronic Settlement and Transfer

*

®

Demat-by-NSDL ... Towards a secure future!!! Visit our website at www.nsdl.co.inNest Update March, 20062

Performance Summary

Investors :

As on February 28, 2006, there are 75,33,102 Investor

accounts from within the country and abroad. 2,086

clearing member accounts have been opened to facilitate

trading and settlement of demat shares in the stock

exchanges connected to NSDL. Table 1 shows the

growth in investor accounts over a period of three years.

Settlement :

In February 2006, a total quantity of 337 cr. shares having

a value of Rs. 57,025 cr. were settled in demat form in the

stock exchanges connected to NSDL. Table 3 shows the

settlement figures over the past three years.

Month -Year

SettlementQuantity (Cr.)

SettlementValue

(Rs. Cr.)

Feb-04 159 26,475

Feb-05 453 42,962

Feb-06 337 57,025

Table 3

Dematerialisation :

As on February 28, 2006, 17,021 cr. securities

having a value of Rs. 22,48,688 cr. were

dematerialised. Table 2 shows the dematerialisation

figures over the last three years.

Demat Quantity(Cr.)

Demat Value(Rs. Cr.)

Table 2

Month -Year

Feb-04 7,949 953,914

Feb-05 12,527 1,448,601

Feb-06 17,021 2,248,688

Table 1

Month - YearNo. of Accounts (lakh)

Client Accounts

Feb-04 49.90

Feb-05 61.67

Feb-06 75.33

Companies :

As on February 28, 2006, 5,938 companies are

available for demat . Table 4 indicates the increase in

the number of companies that have joined NSDL

over a period of three years.

Month - YearNo. of Companies

Operational

Table 4

Feb-04 5,177

Feb-05 5,495

Feb-06 5,938


3

DEBENTURES / BONDS

As on February 25, 2006, 652 issuers have issued 17,284

debentures/bonds in demat form. 10,356 instruments

have been redeemed and 6,928 instruments are available

for dematerialisation. Table 4A shows the growth over

a period of last three months.

Month -Year

No. ofIssuers

No. ofactive

Instruments

Table 4A

DematValue (Rs.

Cr.)

Dec-05 651 6,943 312,017

Jan-06 652 6,894 315,672

Feb-06 652 6,928 322,851

COMMERCIAL PAPER

As on Febuary 25, 2006, 379 issuers have issued

7,291 commercial papers in demat form. 6,885

instruments have been redeemed and 406

commercial papers are available for

dematerialisation. Table 4B shows the growth over

a period of last three months.

Month -Year

No. ofIssuers

No. of activeInstruments

Table 4B

Dec-05 379 420

Jan-06 378 420

Feb-06 379 406

Depository Participants :

As on February 28, 2006, 222 Depository Participants are

offering depository services. DP services are provided from

2,964 locations across the length and breadth of the

country.

Table 5

Month - Year No. of DPs

Feb-04 214

Feb-05 215

Feb-06 222

Sr. During February 2006 For the F.Y. 2005-2006 (upto February 2006)

No.Description

No. of Allottees No. of Securities No. of Allottees No. of Securities

1 Equity Shares 1,714,770 2,393,494,844 10,813,757 31,619,494,410

2 Preference Shares 15 9,702,309 185,571 697,275,951

3 Bonds 871 8,415,313 48,642 388,155,354

4 Commercial Papers 62 58,900 1,072 640,022

5 Certificate Of Deposits 88 377,650 874 4,228,765

6 Securitised Instruments 11 3,078,677 577 210,218,673

7 Mutual Fund Units 437 224,690 5,628 93,452,519

8 Government Securities 0 0 1 2,730

9 Warrants 6 1,025,000 13,749 7,999,775

10 Postal Savings Certificates 2,632 735,651,100* 16,827 5,780,237,400*

11 Commodities 1,044 365,652 5,588 1,069,628

Total 1,719,936 3,152,394,135 11,092,286 38,802,775,226

* Value in Rupees

Corporate Action Statistics


4

Sr. No. Old Name New Name

1 Gujarat Adani Energy Limited Adani Energy (Gujarat) Limited

2 Daksh eServices Private Limited IBM Daksh Business Process Services Private Limited

3 Accel ICIM Frontline Limited Accel Frontline Limited

4 Global Trade Finance Pvt. Limited Global Trade Finance Limited

5 IMP Power Limited IMP Powers Limited

6 Tantia Construction Company Limited Tantia Constructions Limited

7 IDBI Principal Asset Management Company Limited Principal Pnb Asset Management Company Private Limited

8 Mather And Platt (India) Limited MPIL Corporation Limited

9 Pennar Profiles Limited Alumeco India Extrusion Limited

10 Trinethra Super Market Limited Trinethra Super Retail Limited

11 Central East Delhi Electricity Distribution BSES Yamuna Power LimitedCompany Limited

12 Billjunction Payments Limited Techprocess Solutions Limited

13 Mahindra British Telecom Limited Tech Mahindra Limited

14 South India Corporation (Agencies) Limited Sical Logistics Limited

15 Shrachi Securities Limited Shrachi Infrastructure Finance Limited

16 IT Microsystems (India) Limited Panoramic Universal Limited

17 India Infoline.Com Limited India Infoline Limited

18 Jhantla Investments Limited Veer Energy & Infrastructure Limited

19 ANG Exports Limited ANG Auto Limited

List of Companies that have changed Names(During February 2006)

Securities admitted for Dematerialisation during February 2006

COMPANY ISIN

CBay Systems (India) Private Limited INE370H01014

A.V. Cottex Limited INE355H01015

B. L. Kashyap & Sons Limited INE350H01016

JRG Securities Limited INE347H01012

KEC International Limited INE389H01014

L & T Infocity Limited INE403H01013

L & T Transportation Infrastructure Limited INE348H01010

L & T Western India Tollbridge Limited INE404H01011

LKP Shares And Securities Limited INE369H01016

N. R. Mercantiles Private Limited INE349H01018

R Systems International Limited INE411H01016

SBI Factors And Commercial Services INE009E01015

Private Limited

Adhunik Metaliks Limited INE400H01019

Adinath Exim Resources Limited INE398H01015

COMPANY ISIN

Arasmeta Captive Power Company INE362H01011

Private Limited & INE362H01029

Arunjyoti Enterprises Limited INE392H01018

Bagadia Colourchem Limited INE365H01014

Centenial Surgical Suture Limited INE405H01018

Clear Media (India) Private Limited INE399H01013

Dhanus Technologies Limited INE406H01016

Ellora Paper Mills Limited INE384H01015

Emkay Share And Stock Brokers INE296H01011

Limited

Essel Mining & Industries Limited INE077E01012

Gitanjali Gems Limited INE346H01014

Glory Polyfilms Limited INE408H01012

Gremach Infrastructure Equipments INE391H01010

& Projects Limited


5

Topic of Interest

Frequently Asked Questions at Investor Depository Meets

Most of the Investors in India have switched over to electronic (demat) settlement of trades and NSDL stands at the centre stage of thischange. NSDL therefore considers it necessary to create awareness about the depository processes and reassure the investors about thebenefits and safety of the depository system through multiple channels of communication. Investor Depository Meets (IDMs) are animportant communication channel used for this purpose. NSDL organises IDMs across the country in metros, mini-metros as also in smallcities and towns. These programs are organized to receive accountholders’ feedback and spread awareness about the new facilities introducedby NSDL, the safety features and precautions to be taken by the accountholders in the demat environment.

During the financial year 2005-2006 (till February 28, 2006), 125 IDMs were conducted at 125 different places in which more than 13,500persons were present. In these meets, investors sought answers/ clarifications to a wide range of questions/ various issues. The mostfrequently asked questions (based on the experience of last twelve months) are listed below with the answers:

Q. Can I modify/add/delete names of accountholders (first/second/third accountholder) after opening the account?

Ans. No. Names of the accountholders in a depository account cannot be changed. If you want to add or delete the name(s) of theaccountholder(s), you need to open a new account in the desired holding pattern (names) and transfer the securities to the newlyopened account. The old account may then be closed. This is to ensure complete audit trail in the system.

Q. What is ‘Transposition cum Demat’ facility?

Ans. The Companies Act, 1956 permits joint holding of shares. When shares are issued in physical form, names of all the joint holders areprinted on the share certificates. All the joint holders are recognised as members of the company. However, the company will deal withthe member whose name appears first among the joint holders for payment of dividend and delivery of documents/communication/notices. The joint holders are entitled to change the sequence of names by making a written request to the company. This does notconstitute a transfer. Changing the sequence of joint holders is called ‘Transposition’. However, transposition is to be availed for entireholding in a folio and not allowed for part holding.

If the same set of joint holders held securities in different sequence of names, these joint holders were earlier required to opendifferent depository accounts in NSDL depository system. NSDL has introduced ‘Transposition cum Demat’ facility to help jointholders to dematerialise securities in the same account even though share certificates are in different sequence of names. For thispurpose, Dematerialisation Request Form (DRF) and an additional form called Transposition Form (Annexure OA of NSDL BusinessRules) should be submitted to the Depository Participant (DP).

Q. How can I consolidate my holdings?

Ans. Some investors may have opened more than one demat account in different name combinations to dematerialise their holdings. Theycan consolidate their holdings by transferring securities to the account(s) that they would like to maintain in future and close the otherdemat accounts.

COMPANY ISIN COMPANY ISIN

Gujarat Anjan Cement Limited INE412H01014

& IN9412H01012

Gujarat Toll Road Investment Company INE354H01018

Limited

Integra Capital Management Limited INE366H01012

Jayavant Products Limited INE364H01017

Kamdhenu Ispat Limited INE390H01012

Kapil Cotex Limited INE393H01016

Kewal Kiran Clothing Limited INE401H01017

Khaitan Weaving Mills Limited INE409H01010

Kothari Safe Deposites Limited INE407H01014

Lokesh Machines Limited INE397H01017

Malu Paper Mills Limited INE383H01017

Mhaiskar Infrastructure Private Limited INE385H01012

Nalwa Sponge Iron Limited INE394H01014

Pee Jay International Limited INE233H01014

Polygenta Technologies Limited INE441D01012

Ready Test Go Private Limited INE351H01014

Regency Power Corporation Private Limited INE363H01019

Shivalik Global Limited INE353H01010

Shri Bajrang Alloys Limited INE402H01015

Sigachi Laboratories Limited INE368H01018

Slashsupport India Private Limited INE367H01010

Viniyoga Commercial Private Limited INE410H01018


6

Q. What is the procedure for nomination? Can the nominee be changed?

Ans. The accountholder(s) can nominate a person at the time of opening demat account by submitting duly filled-in nomination form tothe DP. The accountholder(s), nominee and two witnesses must sign this form and the name, address and photograph of the nomineemust be submitted. In case the accountholder(s) has/have not nominated any person at the time of opening demat account, the samecan be done subsequently by submitting nomination form as mentioned above. The nomination can be changed anytime by theaccountholder(s) by simply filling up the nomination form once again and submitting it to the DP.

Q. Can joint holders nominate?

Ans. Yes. Nomination is permitted for accounts with joint holders. But, in case of death of any of the joint holder(s), the securities will betransmitted to the account of the surviving holder(s). Only in the event of death of all the joint holders, the securities will betransmitted to the account of the nominee.

Q. How do I get information about company name change?

Ans. You can contact your DP for the same or else refer to NSDL website www.nsdl.co.in for a list of companies that have changed names.

Q. What if it takes more than 30 days for dematerialisation of the shares (pending demat)?

Ans. The confirmation of dematerialisation request is carried-out by the concerned issuer company/its Registrar & Transfer Agent. However,if the process of dematerialisation takes more than 30 days, please contact your DP. If the DP is unable to help you, you may send yourgrievance to:

The Officer in Charge

Investor Relationship CellNational Securities Depository Limited4th Floor, Trade World,Kamala Mills Compound,Senapati Bapat Marg,Lower Parel, Mumbai - 400013Email : [email protected]

Q. What can I do if I do not receive transaction statement on time from my DP or if I do not receive transaction statement at all?

Ans. According to Clause 6 of the agreement between the DP and its accountholder, the DP undertakes to provide a transaction statementto the accountholder at monthly intervals. If there is no transaction in the account, the DP shall provide such statement to theaccountholder at least once a quarter.

In case the accountholder does not receive transaction statements in accordance with the provisions mentioned above, then it shouldbe brought to the notice of the DP or NSDL for resolution.

Q. What is the procedure for pledging securities in NSDL?

Ans. The procedure for pledging securities in NSDL is explained below:

1. Pledgor and the pledgee must have a beneficial owner account in NSDL. These accounts can be with the same DP or withdifferent DPs.

2. Pledgor will instruct its DP to create a pledge request by submitting a “Pledge Form” with a tick on “Create Pledge”.

3. Pledgor will inform the pledgee about the creation of pledge request by giving a copy of the pledge report obtained from its DP.

4. Pledgee may instruct its DP to confirm the creation of pledge by submitting a “Pledge Form” with a tick on “Confirm creationof Pledge”. The pledge gets created in favour of the pledgee only when the pledgee’s DP confirms the creation of pledge in thesystem.

Execution of agreement with lender (pledgee), disbursement of the loan to the pledgor etc. is outside the depository system.

Q. Why does NSDL not regulate DP charges?

Ans. The pricing structure adopted by NSDL is two-tiered. NSDL charges the DPs for different types of transactions. DPs charge theinvestors based on their own pricing structure. DPs have the freedom to devise their own price structure and NSDL does not controlor impose any restrictions on the DPs in this regard. This helps in development of competition amongst the DPs and increases theefficiency of services provided by them to their accountholders. However, some of the principles prescribed by NSDL and incorporatedas a part of the DP-Client agreement, that the DPs are required to follow are enumerated below:1. Investors should be made aware of the DP’s charges at the time of account opening and should be clearly mentioned at

Schedule A to the DP-Client Agreement.


7

2. Any subsequent change made by a DP in its pricing structure should be notified to the accountholders at least 30 days inadvance. (Clause 1 of Annexure B to the Bye Laws of NSDL).

However, as per SEBI’s instructions DPs cannot levy any charges for receiving credit into demat account, custody and accountopening (other than statutory charges).

Q. Can I freeze my account?Ans. A depository accountholder (beneficiary account) may freeze securities lying in the account for as long as the accountholder wants it. By

freezing the account, accountholder can prevent unexpected debits or credits or both, creeping into its account. The following types offreeze facilities available in the NSDL system may be availed of by submitting freeze instruction to the DP in the prescribed form:

� Freeze for debits only - A demat accountholder may freeze the account only for debits by submitting a freeze instruction to itsDP. However, during the period of freeze, the accountholder will continue to receive credits like bonus or credits arising out ofany other corporate action.

� Freeze for debits as well as credits - An accountholder may freeze the account for debits as well as credits. No debits andcredits can be made in the account, unless the accountholder issues unfreeze instruction. This facility is beneficial to clients whodo not use their account for long periods. By freezing their account for debits and credits, they can avoid undue credits to theiraccounts in addition to preventing debits.

� Freeze a particular ISIN in the account - An accountholder may freeze a particular ISIN (security of a specific company)from being debited from the account, without freezing the whole account. If this type of freeze facility is used, all othersecurities in the account can be debited or credited but the securities under the specific ISIN will be frozen for debit. The clientwill be able to use other securities lying in its demat account and also receive credits in the ISIN which has been frozen for debit.

� Freeze a specific number of securities held under an ISIN in an account - An accountholder may freeze a specific quantityof a specific security in an account.

Q. How does SPEED-e work?

Ans. You can submit delivery instructions electronically, on the SPEED-e website https://speed-e.nsdl.com, after your DP has authorisedyou to operate your account through the SPEED-e facility. You can monitor the status of such delivery instructions to ensure that theinstructions have been executed.

Q. What is IDeAS?

Ans. IDeAS is a facility available on SPEED-e website for clients (including brokers) to view the latest balances and transactions that havetaken place in the last five days in their depository account. Also, a facility has been provided to the subscribers of IDeAS to downloadthe transaction statements on monthly basis. The transaction statements of a particular month will be available latest by 7th of thefollowing month and will be available for download till the details of the following month are uploaded to IDeAS.

Q. Who will effect the transmission in case of the death of the accountholder if securities are in demat form?

Ans. Transmission will be effected by the DP on submission of the requisite documents. There is no need to approach each issuer companyin which the deceased held the securities.

Q. Who will get the securities in the event of the death of the accountholder if a nominee is registered with the DP?Ans. If the account is held singly, the securities will be transmitted to the account of the nominee after requisite documents are submitted

to the DP. Similarly, if the account is held jointly, the securities will be transmitted to the account of the surviving holder(s).

Q. What is the procedure for transmission if securities are held jointly?Ans. The surviving holder(s) must have a depository account e.g. if the account is in the joint names of Mr. A, Mr. B & Mr. C and in the

event of the death of Mr. B, the survivors Mr. A & Mr. C must have a joint account. The surviving holder(s) will have to submit thefollowing documents to the DP:• Transmission Form (Annexure O to the NSDL Business Rules); and• Copy of the death certificate of the deceased duly notarised.After verifying the above documents and satisfying itself, the DP will transmit the securities to the account of the surviving holder(s)and will close the account with the name of the deceased.

Q. What will happen if my DP stops operation?Ans. In a rare event of your DP closing its operations, the interests of the investors will be fully protected. In such a situation, the investor

will be given an option of either transferring the securities to a new DP or rematerialise the securities.


8

NSDL Calendar of Events

Officer-In-Charge,

National Securities Depository Ltd.4th floor, A Wing, Trade World,Kamala Mills Compound,Senapati Bapat Marg, Lower Parel,Mumbai - 400 013Tel: (022) 24994200Fax: (022) 24976351Email: [email protected]

Head Office

Mumbai

4th & 5th Floors, A Wing, Trade World,Kamala Mills Compound,Senapati Bapat Marg, Lower Parel,Mumbai - 400 013.Tel: (022) 24994200 (60 lines)Fax: (022) 24972993; 24976351Email: [email protected]

Kolkata

5th Floor, The MilleniumFlat No. 5W, 235/2A,Acharya Jagdish Chandra BoseRoad, Kolkata - 700 020Tel: (033) 22814661/22814662Fax: (033) 22891945Email: [email protected]

Chennai

6A, 6th Floor, Kences Towers#1 Ramkrishna Street,North Usman Road,T. Nagar, Chennai - 600 017Tel: (044) 28143917/18Fax: (044) 28144593Email: [email protected]

New Delhi

409/410, Ashoka Estate Building,4th floor, Barakhamba Road,Connaught Place,New Delhi - 110 001.Tel: (011) 23353815/23353817Fax: (011) 23353756Email: [email protected]

Branch Offices

Officer-In-Charge,

National Securities Depository Ltd.4th floor, A Wing, Trade World,Kamala Mills Compound,Senapati Bapat Marg, Lower Parel,Mumbai - 400 013Tel: (022) 24994200Fax: (022) 24976351Email: [email protected]

NSDL Offices

"Printed and Published by Mr. Jayesh Sule on behalf of National Securities Depository Limited

and Printed at Printography Systems (India) Private Limited, 28, Mumbai Samachar Marg, Raja Bahadur

Building, 1st Floor, Fort, Mumbai - 400 023 and Published from National Securities Depository Limited,

5th Floor, Trade World, Kamala Mills Compound, Senapati Bapat Marg, Lower Parel, Mumbai 400 013.

Editor: Mr. Jayesh Sule"

NSDL Certification ProgramInvestor Relationship Cell

Investor Depository Meets

April 7, 2006 Tuticorin

April 8, 2006 Madurai

April 20, 2006 Chinsura

April 21, 2006 Serampore

Business Partner Training

April 18-20, 2006 DP Training

April 22, 2006 Durgapur

April 27, 2006 Kurnool

April 28, 2006 Ongole

April 29, 2006 Nellore

F-160-06-NSDL-nestupdat-March · 2 Daksh eServices Private Limited IBM Daksh Business Process...

Documents

Transcript of F-160-06-NSDL-nestupdat-March · 2 Daksh eServices Private Limited IBM Daksh Business Process...