The government of India in 1996 enacted the depositary act 1996 to start depositary service In India .
Depositary is the organisation like a bank . Depositary hold securities ( like share , debenture, bond, government securities, mutual fund unit, etc of the investor in the electronic form at the request of investor through registered depositary participants. The bank hold the deposit in the form of money .
There are two depositary
1) National securities depositary limited (NSDL)
2) Central depository securities limited
