Got notice that my puchase was short delivered

I Got notice from my broker that my puchase was short delivered.

My question is if the exchange cant buy the stocks in auction market how much amount will be credited to my account if my puchase price was 100 rupees per share.

I am clear that if shares are bought in the auction market the same will be delivered to my demat. I am not clear in case i dont get the shares, How much amount i will receive if my purchase price is 100.

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Although i dont have an answer to your question , I’m just curious and want to know… what was the scrip name? And when did you place the buy order?

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Hy @hemanta_kumar_padhi

Short delivery happens when the seller (on the other side of your buy trade) fails to deliver the shares to the exchange to be credited to your demat account. This typically happens when intraday short positions can not be closed due to illiquidity or due to stocks hitting an upper circuit.

Cash settlement happens to your trading account if the exchange is unable to procure the shares in the auction. This takes place usually on T+3 day.

The price at which it gets settled can be either the closing price on auction day + 20% or highest price of the stock from trading day till auction date.

You can refer to this link to know more on short delivery auction settlement.


I have had short delivery in Bajfin few weeks ago and it was cash settled. These things although rare can happen in such scrips as well.


Thanks :+1:

This is rare but can happen with anyone. Your broker will settle it soon and if not please reach out to their customer support.