Kotak Securities — the transaction gets executed without consent/confirmation of the customer

Address:

4000034

Dear sir,
I have been customer of kotak since last 2 years having d-mat and online trading account.
I have had a very bitter experience of the services of kotak offer by facilitating the online trading through your portal.
Given below are the brief case details.
• i was attempting to perform a sale transaction of the script bajaj finance ltd. Of which i held 20 shares to my account. (08.10.2018, 2.40pm)
• as a part of process i entered the qty and limit price for sale.
• sale price was 1940 and the qty 20 nos.
• by mistake i put the rate in the quantity column for second order after not executed first order.
• instead of alerting me of the mistake and without showing the amount involved; the transaction got executed selling 20 and 1930 nos. At the same time 2.49pm.
• transaction value :38, 81, 702/-
• after some time there was a message on my cellphone informing me of the above transaction. (This involved approx. Amount of rs 38-39 lakhs, where as my whole portfolio is about 17-18 lakhs).
• this was the biggest shock of life ever i got.
• in the evening there was a message asking to make a settlement of the transaction and
• on the second day kotak settled the transaction with prevailing rate resulting in the total loss of around 6.6 lakhs
• i was informed that this is a short sale transaction and required to pay rs 6.6 lacks excluding interest @ 23% pa.
• next few days there was a series of exchange of mails, calls with kotak office. Where myself asking for reverting the transaction & kotak trying to prove their point.
I have very specific questions to kotak,
1) why the customer is not alerted at the 1st stage of transaction and
2) how the transaction gets executed without consent/confirmation of the customer.
Conclusion:
There is enough scope to say that there is lacunae in the system which allows such transaction to move without intervention of the customer.
By way of this letter i once again strongly insist to kotak to revert the wrongfully executed transaction and relieve the grievance raised by me without any further delay.
I strongly feel that there is a shortcoming of services offered by kotak of
A) not protecting the lawful, fair & justifiable interests of customer and
B) not installing strong, foolproof and healthy interactive online trading system
And they can therefore be taken to consumer court for this act.