If you find your shares have been transferred to IEPF, you can reclaim them by following a structured procedure. However, this legal procedure is quite laborious and requires a lot of patience. But with the right assistance, it can be done with ease. We at Share Connection have a large number of experts who assist in fast-tracking the share recovery process. In this blog, we will learn about why IEPF claims our shares and how recovery experts help in recovering unclaimed dividends and shares from IEPF in India.
Why Shares Get Transferred to IEPF
Share investment needs awareness and continuous monitoring of financial assets, knowledge of financial terms and good analytical skills. But even if you have it all, you might forget to claim dividends on shares, matured deposits, and debentures. In other scenarios where you forget to update bank details, revalidate physical share certificates into demat form, or simply neglect investment can lead to shares getting unclaimed.
Given the widespread concerns about unclaimed shares, the Government of the Ministry of Corporate Affairs established the IEPF (Investor Education and Protection Fund) to safeguard investor interests by promoting awareness and protecting their shares. Governed by Section 125 of the Companies Act, 2013, IEPF was established to promote investor awareness and safeguard their investment. According to this act, if a shareholder fails to claim their dividend for seven consecutive years, the shares linked to such unclaimed dividends are transferred to the IEPF Authority. Unclaimed matured deposits, debentures, or unclaimed application money are other reasons why shares are transferred.
Legal Procedure on Recovery of Shares from IEPF
IEPF acts as a secure place for your unclaimed investments. However, reclaiming them requires adherence to legal procedures. Here’s how recovery experts help recover those shares for investors:
- They have a deep understanding of IEPF regulations and legal procedures
- They provide dedicated assistance in gathering the documents, suggesting which legal steps to follow and filling the form 5 of IEPF.
- Submission of the documents to the Nodal Officer of the company.
- Using their contacts and experience to expedite the verification process.
- They ensure all the claims comply with the IEPF regulations.
- Established communication on behalf of the claimant with the IEPF authority.
- Track and follow up on the status of the application.
- Resolve complex issues that may occur during the recovery process like succession or disputes.
Overall, the recovery experts take charge of bearing the load of the administrative and judicial hassle associated with this case, reducing the burden on investors. Consulting our experts is the best solution for recovering unclaimed dividends and shares from IEPF in India.
Conclusion
If you notice unclaimed shares and dividends, initiate the recovery process by reaching the recovery experts because you should claim what is rightfully yours. Recovering shares from the IEPF may seem complex, but a systematic approach can simplify the process. By assisting in gathering the necessary documents, monitoring the application status up to date, and diligently following the legal steps, our experts help in successfully reclaiming your shares. To avoid your dividends being transferred into IEPF, regularly monitor your investments and keep your contact details updated with the respective companies.
For further details, you can reach out to the support team at Share Connection.