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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

NSDL - Additional disclosures to Joint demat account holders

17-Nov-2025 | No.: NSDL/POLICY/2025/0152

NSDL has issued a circular to depository participants regarding Additional disclosures for joint demat account holders.

By virtue of this circular a specific clause must be included in the "Rights & Obligations" document for a joint demat account. This requirement is in respect of joint-account holdings and the impact of statutory orders freezing one of the joint holders.

The following clause must be incorporated under the heading "Freezing / Defreezing of accounts" in the "Rights & Obligations of the Beneficial Owner" document (for joint demat accounts):

- The Joint holders are aware that in case of any Statutory Order for freezing any one joint holder, the demat account will be frozen and the other joint holders will have to obtain a specific Order for unfreezing their percentage of joint ownership by submitting the relevant documentary proof to the Order-issuing authority.
- Ensure that the revised document, containing the new clause, is duly obtained from clients at the time of demat account opening.

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