Karvy stock Broking with effect from the market closing on Monday (November 23, 2020) has been declared a defaulter by the NSE and alongside its membership has been scapped.
"All members are hereby informed that the Karvy Stock Broking has been expelled from the membership of the Exchange under Rules 1 and 2 of Chapter IV of the NSEIL Rules and has been declared as defaulter under provision 1 (a) of Chapter XII of Exchange Bye laws w.e.f. November 23, 2020, after close of market hours," NSE said in a statement.
Last year at around the same time, the company misused the power of attorney handed over the client and transferred securities valued at Rs. 2300 into its account.
The clients' securities were sold and transferred to company's related business such as Karvy Realty.