How can you claim shares and dividend transferred to IEPF authority?

Posted by Infiny Solution on January 18th, 2022

The IEPF, also known as Investor Education and Protection Fund, is a specific fund that was set up initially under section 205C of the Companies Act, 1956 and now has been under section 125 of the Companies Act, 2013. It is a specific fund that is set up to gather all the shares, matured deposits, dividends, interests of the companies. 

So, the investors who are trying to claim shares from IEPF can ask for a refund from the IEPF Authority. However, there are many investors who feel helpless after knowing that their investments or shares may be transferred to the fund known as IEPF because they do not know the right procedure to claim the transferred dividend and shares. Hence, here are the details of the procedure.

The procedure need to follow by the claimant

Here is the procedure through which the claimant can claim his/her dividends and shares from the iepf recovery.

1. The claimant should open his/her Demat Account with CSDL / NSDL. The reason is that the shares will be released by the authority of IEPF only in the Demat Account of the claimant and in favour of the persons who are claimants. 

2. Next, the person should download the IEPF-5 form from the official website of the IEPF. Also, before filling up the form, it is better to read the instructions carefully that is provided in the instruction kit or website. 

3. After that, the claimant should fill up the required fields of the form and submit the form only by following the instructions that are provided in the upload link of the website. 

4. If the form has been uploaded successfully on the MCA Portal, the claimant will receive an acknowledgement. This acknowledgement will be generated by indicating the SRN. It is crucial to note down the SRN, because this will help in tracking the form in the future.

5. Next, the claimant needs to send the important attachments suggested below to the nodal officer of the company at the registered office. Also, the envelope should be marked as “claim for a refund from the authority of IEPF”, to initiate the verification process regarding the claim.

The important documents needed to submit 

1. A copy of the acknowledgement.

2. Print out the filled up form with the signature of the claimant.

3. The original Advance Stamped receipt, with the signature of two witnesses and the claimant.

4. The original Indemnity Bond with the signature of the claimant. This can be:

• On a plain paper, when the claimed amount is not more than 10,000 Rs.

• A non-judicial paper of value following the Stamp Act of the state, if the claim is more than or 10,000 Rs.

• In case of shares refunding, a non-judicial Stamp paper of the certain value prescribed by the Stamp Act.

1. Self attested copies of Aadhaar and PAN card.

2. A cancelled cheque.

3. Proof of the entitlement

4. Latest list of Client Master

5. Copy of Passport, PIO or OCI in case of the NRIs and foreigners

6. Original Share certificate

7. The transfer statement showing the share transfers.

Therefore, if someone wants the refund or claim of shares from IEPF, he/ she should follow the steps mentioned above for a successful refund.

Issue of Duplicate Share Certificates