The broker firm sold stocks without my permission

#1
Hi all,

I am new to the stock market. I want to get my help in understanding, why broker firm sold my stocks without my knowledge. when I asking about it. They gave the below reply. please help me to understand this.

"With regards to the concern raised by you, we have verified our records and found that your code ******* was in projected risk . Informatively, the markets had witnessed sharp crash in the said scrip , owing to high volatility on the day as a result of which your account came into risk and hence we were compelled to liquidate the shares on 24.04.2020 in order to reduce the loss. "

I didn't order any BUY/SELL call on this day. suddenly they sold some stocks, which brought on 2 days ago on market price. anyone, please help me to understand this.
 
#4
Your broker can sell your stocks if you have signed an agreement allowing him to buy and sell for your portfolio on your behalf. However, such transaction must be within the guidelines of the signed agreement, if you feel that that it is not then you can register a complaint with SEBI at https://scores.gov.in/scores/Welcome.html
Please find the email received from them.
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With regards to the concern raised by you, we have verified our records and found that your code ***** was in projected risk . Informatively, the markets had witnessed sharp crash in the said scrip , owing to high volatility on the day as a result of which your account came into risk and hence we were compelled to liquidate the shares on 24.04.2020 in order to reduce the loss.

A client is expected to maintain atleast 50 % of the VaR ( exchange VaR OR Angel VaR whichever is higher ) in order to avoid the projected square off. If the same is not maintained , the client would be qualified for a projected Risk square off and an intimation would be triggered – Client would be given a day time to make good the shortage amount failing which it would be squared off on the following trading day.
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#5
If its delivery based transaction- then its not possible-

Mostly the transaction is in futures segment-
Please find the email received from them.
---------------------------------------
With regards to the concern raised by you, we have verified our records and found that your code ***** was in projected risk . Informatively, the markets had witnessed sharp crash in the said scrip , owing to high volatility on the day as a result of which your account came into risk and hence we were compelled to liquidate the shares on 24.04.2020 in order to reduce the loss.

A client is expected to maintain atleast 50 % of the VaR ( exchange VaR OR Angel VaR whichever is higher ) in order to avoid the projected square off. If the same is not maintained , the client would be qualified for a projected Risk square off and an intimation would be triggered – Client would be given a day time to make good the shortage amount failing which it would be squared off on the following trading day.
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primitivetrader

Well-Known Member
#6
Please find the email received from them.
---------------------------------------
With regards to the concern raised by you, we have verified our records and found that your code ***** was in projected risk . Informatively, the markets had witnessed sharp crash in the said scrip , owing to high volatility on the day as a result of which your account came into risk and hence we were compelled to liquidate the shares on 24.04.2020 in order to reduce the loss.

A client is expected to maintain atleast 50 % of the VaR ( exchange VaR OR Angel VaR whichever is higher ) in order to avoid the projected square off. If the same is not maintained , the client would be qualified for a projected Risk square off and an intimation would be triggered – Client would be given a day time to make good the shortage amount failing which it would be squared off on the following trading day.
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there is nothing wrong done on the part of the broker. its seems you have taken the trade in the said scrip and not maintained the necessary margin. usually in such conditions dealer normally call you and ask for the margin if it is an offline broker. but trading and broking business are too volatile nowadays and brokers don't want to take a single paisa of margin risk. so risk term mostly squares off is margin shortfall is there. it is not a compulsion for them to call you.
 

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