Balbharati solutions for Secretarial Practice [English] 12 Standard HSC Maharashtra State Board chapter 9 - Depository System [Latest edition]

In physical mode, securities are held in ______ form.

Risk of losing certificates exists in _________ mode.

Select the correct answer from the options given below and rewrite the statement.

In Depository System, securities are held in ______ form.

Select the correct answer from the options given below and rewrite the statement.

______ is the institute which facilitates electronic holding of securities.

Select the correct answer from the options given below and rewrite the statement.

There is no payment of ______ when securities are demated.

Depository Act was passed in __________.

Select the correct answer from the options given below and rewrite the statement.

India has a ______ depository system.

Select the correct answer from the options given below and rewrite the statement.

______ is a constituent of depository system.

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______ is the oldest depository in India.

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Demat account is opened by ______.

Select the correct answer from the options given below and rewrite the statement.

Demated shares are ______.

Select the correct answer from the options given below and rewrite the statement.

______ is a unique code given to a security.

In India ISIN for corporate securities is allotted by ______.

Select the correct answer from the options given below and rewrite the statement.

______ has to apply for ISIN.

Select the correct answer from the options given below and rewrite the statement.

______ has to pay charges to maintain Demat Account.

Select the correct answer from the options given below and rewrite the statement.

NSDL is promoted by ______.

Select the correct answer from the options given below and rewrite the statement.

CDSL is promoted by ______.

Match the pairs.

Write a word or a term or a phrase which can substitute the following statement.

This mode of holding securities may result in loss and theft of certificates.

Write a word or a term or a phrase which can substitute the following statement.

The organization which holds the securities in electronic mode.

Write a word or a term or a phrase which can substitute the following statement.

This system eliminates storing of certificates.

Write a word or a term or a phrase which can substitute the following statement.

This system allows faster and easier transfer of securities.

Write a word or a term or a phrase which can substitute the following statement.

The oldest Depository of India.

Write a word or a term or a phrase which can substitute the following statement.

The country where depository system started for the first time.

Write a word or a term or a phrase which can substitute the following statement.

The registered owner of securities.

Write a word or a term or a phrase which can substitute the following statement.

The Agent of the Depository.

Write a word or a term or a phrase which can substitute the following statement.

This process converts securities into electronic form from physical form.

Write a word or a term or a phrase which can substitute the following statement.

This process converts securities into physical form from electronic form.

Write a word or a term or a phrase which can substitute the following statement.

This means securities are without distinctive identity number.

Write a word or a term or a phrase which can substitute the following statement.

This is the unique code for security given in depository system.

State whether the following statement is true or false.

Physical mode of holding securities is risky.

State whether the following statement is true or false.

Allotment of securities take longer time when in physical mode.

State whether the following statement is true or false.

Transfer of securities is easier in electronic mode.

State whether the following statement is true or false.

Bad delivery is likely in Depository System.

State whether the following statement is true or false.

Depository system began in the USA for the first time in the world.

State whether the following statement is true or false.

India has a multi Depository System.

State whether the following statement is true or false.

Depository system is very similar to banking system.

State whether the following statement is true or false.

DP is a constituent of Depository System.

State whether the following statement is true or false.

DP is an agent of Depository.

State whether the following statement is true or false.

A Bank can work as a DP.

State whether the following statement is true or false.

DRF is required for conversion from physical to electronic.

State whether the following statement is true or false.

ISIN is a unique code given to the specific securities.

Find the odd one.

Find the odd one.

Find the odd one.

Find the odd one.

Find the odd one.

Find the odd one.

Complete the sentence.

Central location for keeping securities in demated form is ______.

Complete the sentence.

Freezing of debit/credit of securities is possible in ______.

Complete the sentence.

First Depository of the world started in the year ______.

Complete the sentence.

The Indian Depository Act was passed in the year ______.

Complete the sentence.

Link between Depository and Investor is ______.

Complete the sentence.

Account of securities of the Investors is maintained by ______.

Complete the sentence.

The process which converts physical securities in electronic form is ______.

Complete the sentence.

The process which converts digital securities in physical form is ______.

Complete the sentence.

The Issuer company must register with ______.

Complete the sentence.

The unique code identifying a security is ______.

Complete the sentence.

The first depository of India is ______.

Select the correct option from the bracket.

(1999, Agent of Depository, Germany, physical to electronic)

Select the correct option from the bracket.

(12 digit code, NSDL, Electronic to physical, No distinctive number)

Answer in one sentence.

What is Depository System?

Answer in one sentence.

Give examples of action termed as corporate action.

Answer in one sentence.

When was Depository Act passed in India?

Answer in one sentence.

What is a DP?

Answer in one sentence.

What is Dematerialisation?

Answer in one sentence.

What is Rematerialisation?

Answer in one sentence.

What is ISIN?

Answer in one sentence.

Name the depositories in India?

Correct the underlined word and rewrite the following sentence.

Electronic mode of holding securities is risky.

Correct the underlined word and rewrite the following sentence.

Allotment and Transfer of securities are time consuming in electronic mode.

Correct the underlined word and rewrite the following sentence.

Banking system leads to a scrip less capital market.

Correct the underlined word and rewrite the following sentence.

Storage of Certificates is not required in Physical mode of holding.

Correct the underlined word and rewrite the following sentence.

India has a single Depository system.

Correct the underlined word and rewrite the following sentence.

Depository Participant in India has to register under the partnership act.

Correct the underlined word and rewrite the following sentence.

Demat accounts are opened and maintained by the Depository.

Correct the underlined word and rewrite the following sentence.

Securities are fungible in Physical mode.

Correct the underlined word and rewrite the following sentence.

ISIN is a code given to a company.

Correct the underlined word and rewrite the following sentence.

ISIN of Indian Government securities is issued by NSDL.

Arrange in proper order.

1. Gets Statement of Accounts
2. Open Demat Account
3. Submit DRF

Arrange in proper order.

1. Investor (BO) submits an application for securities to the issuer company.
2. Depository intimates the DP about crediting BO's Account.
3. Issuer company gives details of allotment to Depository.

Explain the following term/concept.

Depository system

Explain the following term/concept.

Dematerialisation

Explain the following term/concept.

Rematerialization

Explain the following term/concept.

Fungibility

Explain the following term/concept.

ISIN

Study the following case/situation and express your opinion.

Mr. Z holds 100 shares of Peculiar Co. Ltd. in Physical mode and wishes to convert the same in electronic mode :

1. Mr. Z holds a Saving Bank Account with CFDH Bank Ltd. Can he deposit his shares in this account for Demat?
2. What type of account is needed for the same?
3. Is it the RBI which will be the custodian of shares of Mr. Z after demating?

Study the following case/situation and express your opinion.

Mr. R holds 100 shares of Peculiar Co. Ltd. in Demat mode :

1. He wants to transfer one share each to his wife, daughter, and son. Can he do so?
2. Does he need to submit DRF or DIS if he wants to transfer his shares?
3. Can he nominate his wife in his Demat account?

Study the following case/situation and express your opinion.

Mrs. Z wishes to open a Demat account in her name :

1. Can she open the account by going to the Mumbai office of NSDL?
2. Is she required to pay for the opening of the account and its maintenance?
3. Does she have to send the shares to the respective company for demating?

Study the following case/situation and express your opinion.

Mr. L wants to demat his 25 shares of Peculiar Co. Ltd. bearing certificate No. 100 and distinctive No. 76-100.

1. Which form is he required to fill as a written request to the DP?
2. Does he have to fill the instrument of transfer if he wishes to transfer the same after demat?
3. Does he have to quote certificate no. and distinctive no. if he wishes to transfer his shares after it is in demat form?

Study the following case/situation and express your opinion.

Mr. S holds 50 shares of Peculiar Co. Ltd. in demat form. The company has declared a dividend of ₹ 5/- per share and a Bonus of 1:1 to its shareholders.

1. How will Mr. S get his dividend?
2. Will he get a Bonus share in Physical or demat?
3. Who is entitled to dividend and Bonus: Mr. S or the depository? (NSDL in this case)

Distinguish between the following:

Dematerialization and Rematerializotion

Explain disadvantages of physical mode of holding securities.

Explain any four advantages of Depository system to Investor.

Explain four advantages of Depository system to the Company.

Explain Depository as constituent of Depository System.

Answer in brief.

Explain DP as the constituent of Depository system.

Justify the following statement.

The electronic holding of securities is safer than physical holding.

Justify the following statement.

Depository provides easy and quicker transfer of shares.

Justify the following statement.

The depository system results in reduced time, cost, and efforts.

Justify the following statement.

Depository system is very similar to the Banking system.

Justify the following statement.

DP is an important constituent of Depository system.

Justify the following statement.

ISIN is necessary component of Demat.

Answer in one sentence.

What is Depository System?

Explain the advantages of the Depository System to the companies.

Explain the constituents of Depository system.