Is it legal to carry out transactions in a deceased person's account?
No, it is illegal to continue to carry out transactions in a deceased person's trading/demat account. This includes all activities such as market trades, off-market trades (gifting/DIS), etc. It can lead to penalties charged as per provisions of the Indian Penal Code, 1860.
Hence, it is advised to transfer any funds and/or securities to the nominees/ legal heirs via the Transmission process. The demat account of the deceased client will be frozen on receipt of information regarding their death at our branch.