PAN requirement for transfer of shares in physical form
Summary
The circular mandates that transferees must furnish a copy of their PAN card to companies or RTAs for registering the transfer of physical shares. Stock Exchanges are instructed to amend bye-laws and listing agreements to implement this requirement and notify listed companies. Registrars to an Issue and Share Transfer Agents are advised to implement the decision and disseminate the provisions on their websites.
Text
for securities market transactions and off-market/ private transactions involving transfer of shares in physical form of listed companies, it shall be mandatory for the transferee(s) to furnish copy of PAN card to the Company/RTAs for registration of such transfer of shares.
implement the above by making necessary amendments to the bye-laws and Listing Agreement, as applicable;
bring the provisions of this circular to the notice of the listed companies for necessary compliance and also to put the same on their website for easy access to the investors;
communicate to SEBI the status of the implementation of the provisions of this circular and the action taken in this regard in the Monthly Development Report.
take necessary steps to implement the above decision.
disseminate the provisions of this circular on their website.
This circular is issued in exercise of powers conferred under section 11 of the Securities and Exchange Board of India Act, 1992, read with section 55A of Companies Act to protect interests of investors in securities and to promote the development of, and to regulate the securities market.
Source: SecMarx — PAN requirement for transfer of shares in physical form. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.