Deep ITM option exercised

What if we have a long call (stock) option which expired deep ITM. (not close the money) .
and we do not have required cash in our account. i think in this case zerodha would try to square off this position, but suppose in case, they could not able to square it off, neither the holder of a call. what will happen? the call will get exercised right? but call holder do not have money to purchase the shares. @siva @nithin

Shares will be delivered to you and your account will show negative balance. In such case

You are required to bring in funds if your account results in a debit balance after physical delivery, failing which the delivered shares will be liquidated to make good of the debit balance. Interest will be charged at 0.05% per day on the debit balance in the account.

shares will be held by the the broker? till i add funds to the account? or how is it?

You will get into your demat in 2 days but broker can sell them to an extent of debit.

Okay. so what will be my liability? penalty? suppose i could not able to bring in required funds. in case of long put and short call. there will be short delivery. and penalty can go till 20% of contract value. what about this? although my position was in profit, do i attract any penalty? or profit or loss? if i unable to add funds?

Having funds won’t solve this, one should have stocks to deliver, if not short delivery will be marked and can result in penalty.
Also this is final case where you are not able to close or even RMS and it is deep ITM etc. End of the day user has to take care of their positions.

No. I am talking about buyer of a call. maybe i did not frame my question correctly.
In case of long put and short call, i know the procedure.
I do not know the procedure of long call which has expired deep in the money.

You said long put and short call above, also asked about short delivery.
Anyhow I told you already in case of long call, if there is no enough funds broker will sell your shares to the extent to recover the debit.

Thank you.