Stunning shares
Before we discuss the details of recovery of shares and dividends, let us first dive into the magnitude of unclaimed shares. According to reports, till 31 March, 2023, a large scale shares worth 117 crore were unclaimed in India’s Investors Education and Conservation Fund (IEPF). The value of these shares is believed to be ₹ 40,000 to ₹ 50,000 crore. Apart from these shares, IEPF estimates that there is an amount of dividend and 5,700 crores.
IEPF role
Let us understand what is IEPF and it has a role in unclaimed investment. Investor Education and Conservation Fund, or IEPF, was established under Section 205C of the Companies Act, 1956 to encourage investor awareness and protect their interests.
IEPF is important in the protection of unclaimed shares and dividends, to ensure that the right owners claim their unclaimed investment. It is appropriate to mention that if shares and dividends are not claimed for seven straight years, they automatically move to IEPF. However, the owners are eligible to rebuild investment by following the fixed process. Unclaimed investment transferred to IEPF remain in safe custody until the original owners, legal heir, or authorized representatives begin to recover. IEPF is important in increasing financial transparency and protecting unclaimed investments.
How does it invest in rebuilding unclaimed shares?
Investors whose unclaimed shares and dividends have been transferred to IEPF should no longer worry. Even though it is challenging to recover unclaimed shares, the inventorlink helps you simplify long processes to facilitate quick recovery. Unclaimed investment recovery company has assisted thousands of customers in managing its paperwork requirements, ownership issues and bureaucracy delays.
Nobody denys that investors seeking recovery of shares faces regulatory challenges and verification obstacles, which are promoting the process and taking time. However, their expertise and experience to carry forward complications to enable customers to enable their unclaimed investments.
Despite the challenges, Investorlink provides extensive assistance in recovering investment from IEPF. Investors can make an easy recovery by following the phased process mentioned below:
information gathering
Investors will have to collect all the relevant documents including share certificate, dividend records, allocation letters and old income tax returns to validate their claims.
KYC update
Investors have their customers (KYC) details their address, including signature, bank account and demat account information, facilitates harass -free identity checks.
Duplicate certificate
Investors have to apply for duplicate share certificate if they have lost or lost their original certificates incorrectly.
Transmission process
If the original shareholder is the deceased, legal heirs or authorized representatives should initiate the transmission process. However, such cases may also include court proceedings based on the value of investment.
File IEPF Form 5 online
Investors or their legal heirs will have to enter the IEPF Form 5 online on the official website of the Ministry of Corporate Affairs (MCA). However, he should also send physical copies of documents to the company’s nodal officer.
Even though the IEPF recovery process is ending, the Inventorlink team ensures that within 6 to 18 months, the correct approach to assist its customers in recovering their unclaimed investment within 6 to 18 months.
