New Delhi, Dec 5 (NationPress) The National Stock Exchange has officially extended the deadline for investors to submit claims against the defaulting brokerage Karvy Stock Broking Ltd to March 31, 2026. This decision comes in light of recommendations from the market regulator SEBI.

The previous deadline for filing claims was set for June 2, 2025, as indicated in the statement.

Karvy Stock Broking was labeled a defaulter by the exchange on November 23, 2020. According to the NSE bylaws, claims from investors against the defaulting broker were invited.

The exchange strongly encourages investors to be mindful of these new deadlines and to submit their claims online through the NSE website (https://www.nseindia.com/complaints/details-to-be-provided-for-lodging-claims) before the deadline, if they haven't done so already.

Alternatively, investors may send a completed and signed claim form, along with the necessary documents, physically to the Defaulters’ Section at the Exchange offices, as stated.

For this purpose, the claim form can be downloaded from https://www.nseindia.com or picked up at the corporate office in Mumbai and from regional or branch offices of the exchange.

However, the exchange emphasizes that all claimants should utilize the online claim submission facility noted above for improved tracking of their claims.

An investigation into Karvy Stock Broking Ltd revealed that the company failed to disclose a depository participant in its filings with regulators and exchanges. The investigation also uncovered fraudulent transfers of client shares to Karvy’s undisclosed demat account and subsequent pledging of those securities with banks or lenders.

Through the illicit pledging of client shares, Karvy is estimated to have secured loans amounting to Rs 2,873 crore. The funds were deposited into six Karvy bank accounts labeled as “stock broker‑own accounts” instead of stock broker‑client accounts, and these accounts were not reported to the market regulator.