Procedure to be Adopted in the Event of Death of Karta

a) HUF, being a Hindu Undivided Family, is managed by the Karta.

b) HUF does not come to an end in the event of the death of the Karta.

c) In the event of the death of the Karta of the HUF, the name of the deceased Karta in the Beneficial Owner (BO) account shall be replaced by the new Karta appointed by the members of the HUF, who shall be the senior-most member of the family.

d) The new Karta shall submit:

• A new list of members, signed by all the surviving members.
• A declaration stating:
  “We state that the list of surviving members is complete and exhaustive and does not leave out any members of the HUF. Further, we confirm that the list provided is correct in all respects and also the information provided herein is complete and correct in all respects. All the members of the HUF are fully perceptive of the request made to the participant and also there is no pending dispute or claim for the same among the members of the HUF with reference to this.”

e) Original or a copy of the death certificate of the deceased Karta, duly notarized/attested by a Gazetted Officer.
f) A No Objection Certificate (NOC) from all surviving members of the HUF appointing the new Karta.

g) The existing demat account need not be closed; the same account may continue under the new Karta.

h) The death of the Karta does not warrant the division of securities among the coparceners. Such division only happens in the case of partition of the HUF.

i) The new Karta must submit an account modification form and update the signature with the Depository Participant (DP). The DP will verify all documents and make the necessary changes to reflect the new Karta and update the signature to operate the account.

For more information, please reach out to our support team at help@tradejini.com.