The Securities and Exchange Board of India on 26th August 2022, has notified certain modification to the master circular for depositories issued on 5th February 2022, on opening of demat account in case of Hindu Undivided Family (HUF).
The modification is made under section 1.4 which deals with opening of demat account in case of HUF in which under sub section 1.2 it is stated that “In the event of death of Karta of HUF, the name of the deceased Karta in the Beneficial Owner (BO) account shall be replaced by the new Karta of the HUF who in such a case shall be eldest coparcener in the HUF or a coparcener who is appointed as Karta by an agreement reached amongst all the coparceners of the HUF.
