Nomination for DP a/c

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

30 November 2009 Can any legal entity like a society, trust, body corporate, partnership firm, karta of HUF or a power of attorney be a nominee to a Depository account held by individual/s either singly or jointly? Can a minor be a nominee to such an account?

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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30 November 2009 NOMINATION

Nomination can be made only by individuals holding beneficiary accounts either singly or jointly. Non-individuals including society, trust, body corporate, partnership firm, karta of Hindu Undivided Family, holder of power of attorney cannot nominate.

Nomination is permitted for accounts with joint holders. But, in case of death of any of the joint holder(s), the securities will be transmitted to the surviving holder(s). Only in the event of death of all the joint holders, the securities will be transmitted to the nominee. NRI can nominate directly. But, the power of attorney holder cannot nominate on behalf of NRI. NRI can be a nominee subject to the exchange control regulations in force from time to time. A minor cannot nominate either directly or through its guardian. But a minor can be a nominee. At present only one nomination can be made for one depository account. Nomination can be made account wise and not security wise.

Querist : Anonymous

Querist : Anonymous (Querist)

30 November 2009 I thank you Expert for your detailed reply. Regards.

Querist : Anonymous

Querist : Anonymous (Querist)

30 November 2009 Thanks a lot Expert for your detailed reply. Regards.

Querist : Anonymous

Querist : Anonymous (Querist)

30 November 2009 I thank you Expert for your detailed reply. Regards.

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