What happens to Pledged Shares if Broker Goes Bankrupt?

Thanks, Abhishek!

I am clear about the process of pledging but I still have doubts about the removal of the pledge.

As you mentioned, there is a series of pledges that happen when the client authorizes it (broker → CM → CC).

My question is that if Zerodha goes out of business tomorrow, how will the pledge be removed?

Will they be automatically removed or is there a process that needs to be followed for that?

Thanks!

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