KYC registration bodies have said that mutual fund accounts of 1.3 crore investors out of 11 crore investors in the country have been suspended after the completion of the KYC process. The reason for this turned out to be non-submission of Aadhaar and official valid documents by individual investors. According to the new rules implemented by SEBI from April 1, investors whose accounts have been suspended can no longer carry out any transactions, including investing in new mutual funds and redeeming units from existing funds. Many taxpayers have still not attached their PAN and Aadhaar in KYC, while some have attached e-bills, telephone bills, bank account details in their documents, these are no longer considered valid documents to complete KYC. Out of 11 crore investors in the country, only 7.3 crore i.e. 73 percent have valid KYC. While 1.6 crore investors are in the registered category, they have limited options for investment. Whereas 12 percent cannot operate their demat accounts and mutual fund accounts. However, mutual fund investors can get information about their KYC. Investors can get information by visiting KRA’s website www.cvlkra.com and www.camskra.com.
Valid KYC of only 7.3 crore investors
1.6 crore investors in registered category
12 percent demat, mu.funds cannot operate
How to get information through KRA website?
From April 1, the KYC registration authority has classified investors into three categories: valid, registered and suspended.
This is decided on the basis of PAN, Aadhaar, email and mobile number information.
Investors with valid KYC need not take any action. Investors with registered KYC will have to get KYC done again for further investments.
The accounts of those who have deposited bank account numbers, electricity and telephone bills in the old KYC have been suspended. Their accounts have also been suspended for not being linked to PAN, Aadhaar.
Investors can get information from CVL, NSD, NSDL, DOTEX and Karvy websites. KRA provides a helpdesk number and email number from where investors can get their KYC information. Mutual fund houses and RTAs also help investors.
