The Chairman & Managing
All Scheduled Commercial Banks
Designated Post Offices
Stock Holding Corporation of India ltd.(SHCIL)
National Stock Exchange of India Ltd. & Bombay Stock Exchange
Sovereign Gold Bonds, 2016-17 -
This has reference to the GoI notification F.No.4(7)-W&M/2016 and RBI circular IDMD.CDD.No.2020/14.04.050/2016-17 dated
July 14, 2016 on the Sovereign Gold Bonds, 2015-16. FAQs in this regard have been placed on our
website (rbi.org.in). Operational
guidelines with regard to this scheme are given below:
Application forms from investors
will be received at branches during normal banking hours from July 18-22,
2016. Relevant additional details may be obtained from the applicants,
where necessary. Receiving offices need to ensure that the application is
complete in all respects.
2. Joint holding and nomination
Multiple joint holders and
nominees (of first holder) are permitted. Necessary details may be obtained
from the applicants as per practice.
3. Interest on application money
Applicants will be paid interest
at prevailing savings bank rate from the date of realization of payment to
the settlement date, i.e. the period for which they are out of funds. In
case the applicant’s bank account is not with the receiving bank, the
interest has to be credited by electronic fund transfer to the account
details provided by the applicant.
Cancellation of application is
permitted till the closure of the issue, i.e., July 22, 2016. Part
cancellation of submitted request for purchase of gold bonds is not
permitted. No interest on application money needs to be paid if the application
5. Lien marking
As the bonds are government
securities, lien marking, etc. will be as per the extant legal provisions
of Government Securities Act, 2006 and rules framed there under.
6. Agency arrangement
Scheduled commercial banks may
engage NBFCs, NSC agents and others to collect application forms on their
behalf. Banks may enter into arrangements or tie-ups with such entities.
Commission for distribution shall be paid at the rate of rupee one per
hundred of the total subscription received by the receiving offices on the
applications received and receiving offices shall share at least 50% of the
commission so received with the agents or sub-agents for the business
procured through them.
7. Processing through RBI’s
Sovereign Gold Bonds will be
available for subscription at the branches of scheduled commercial banks
and designated post offices through RBI’s e-kuber system. The e-kuber
system can be accessed either through Infinet or Internet. The receiving
offices need to enter the data or carry out bulk upload for the
subscriptions received by them. They may ensure accuracy of entry of data
to prevent occurrence of any inadvertent errors. An immediate confirmation
will be provided to them for receipt of application. In addition, a
confirmation scroll will be provided for file uploads to enable the
receiving offices to update their database. On the date of allotment, i.e.,
August 5, 2016, Holding Certificates will be generated for all the
subscriptions. The receiving offices can download the same and take
printouts. The Holding Certificates will also be sent through e-mail to the
investors who have provided their email address. For the investors who have
specified their demat account details, the securities will be credited in
their demat accounts on the allotment date.
8. Printing of Holding
Holding Certificate needs to be
printed in colour on A4 size 100 GSM paper.
9. Servicing and follow up
Receiving offices, i.e.,
branches of the scheduled commercial banks and designated post offices will
“own” the customer and provide necessary services with regards to this bond
e.g. update contact details, receive requests for premature encashment,
etc. Receiving offices will be required to preserve applications till the
bonds are matured and are repaid.
10. Contact details
Any queries/clarifications may
be e-mailed to the following:
(a) Sovereign Gold Bond related:
Please click here to send email.
(b) IT related: Please click here to