Recovery of Shares from IEPF

SEBI Mandate: PAN, KYC, and Streamlined Recovery of Shares from IEPF in Stock Markets

The SEBI formulated a framework for the physical stockholders to furnish PAN, KYC information, banking details including signature with many more necessary information, as well as streamline and standardized the entire parameters on recovery of shares from IEPF. Now it became mandatory for all legitimate stockholders and investors to provide their PAN, registration, contact details along with banking details and a sample signature to SEBI. SEBI directed companies and RTAs to present recovery of shares applications using proper Paper works which are digitally signed and received via email.

The RTA may freeze the portfolio for in case the above-said necessary papers are not readily available. The PML Act 2002 and the Benami Transactions (Prohibitions) Act 1988, along with other related laws refer the accounts to the administering authorities in case the accounts are frozen until 2025. Recently in respect to demat accounts, SEBI decided to extend the last date to submit ‘choice of nomination’ to December 31, 2023. SEBI refer in circular dated 26th September, 2023.

Recover your Shares Before it’s too late

Any amount of sum stored to the firm’s unpaid dividend account which has not yet paid or claimed by the right person for more than 7 years after the timeline of proclamation need to be transmitted to the IEPF with the interest as per the provisions of IEPF Rules 2016. It is mandatory for the company to submit to the IEPF authority with an official format statement with the precise details of such transmission. The regulator will issue an invoice as the proof of transmission.

Why there is a need for Recovery of Shares from IEPF?

Number of people are investing their hard-earned money into shares and forget to claim it, or many people expire before making claim on recovery of shares from IEPF. In these cases, the invested money remains unclaimed for several years. Therefore, the Ministry of Corporate Affairs (MCA) introduced the Investor Education and Protection Fund (IEPF) to streamline and ensure the entire process to recover unclaimed shares which can be easily transferred and received by the right person. A company’s shareholders can easily claim the refund on their unclaimed shares transferred to IEPF by a company in accordance with Section 124 of the Companies Act, 2013, along with the Investor Education and Protection Fund Authority Rules, 2016. We at Enterslice helps to recover shares from IEPF.

Role of IEPF for Unclaimed Shares

Whenever the dividends or shares under go with unclaimed or due for 30 days. Then such shares are moved from the unpaid dividend account into the IEPF account within a period of 7 days. The IEPF is responsible to transfer or recover such unclaimed shares using a well-defined procedure. There may be various reasons for the recovery of shares from IEPF such as loss, damage, mutilated share certificate, expired records, death, etc.

Who can apply for the Recovery of Shares from IEPF in India?

Any shareholder can easily make the recovery of unclaimed shares from IEPF as per the process outlined within the sub-section (6) of Section 124 or can submit an application in this regard under clause (a) of sub-section (3) of section 125, in case the equity, unclaimed dividend income, matured deposits or debentures, then the request application money of shareholder must be made to reimbursed with any interest on it and the other assets have to be transferred to IEPF. Moreover, a claimant is required to make only a single consolidated claim related to a company during a financial year. The aggregated claim must linked with the data information of various folios from the same company. In case the claimant is the legal heir, nominee, or successor of the legitimate or registered shareholder. Then the claimant must ensure that the company completes the share transmission procedure for recovery of shares and issues an entitlement certificate as in the letter before filing the IEPF claim with the concerned authorities.

The claim for recovery of shares application must include with

• Application details
• Company details
• Information regarding self-claimed shares.
• Proof of eligibility
• The claimant’s demat account or the extent of entitlement will get the credit for shares. In case shares are presented by physical certificates, then the duplicate certificates will get cancelled and the claimant is supposed to receive the shares.
• Company or corporation will provide the concerned authority with the claimant’s approved reimbursement application.

Our team at Enterslice, helps you to collect these unclaimed assets without any hurdle. Our experts will give you end to end assistance related to issuing of duplicate shares in transfer of shares, repositioning of shares, and title transfer Act. We help to claim shares from IEPF.

We help you in Shares Transmission Procedure

Transmission of shares is entire a legal process to transfer the ownership of a share from the previous shareholder to a claimant or its legal heir due to specific circumstances other than the natural transfer including insolvency, death, marriage, insanity or other reasons. At Enterslice, our experts helps in the entire Paper works process and draft petition for the official transfer of shares. We work closely with you and help you to fulfil the requisite Paper works for successful transmission of shares.

We provide assistance to transfer of unclaimed shares.

The transfer of shares is intentionally passing the claim title from the transferor to the transferee. After the completion of such transaction, the liability of transferor is transferred to the share recipient. We help in the Paper works process and formulate the necessary transfer deed drafts to streamline the entire process of transferring those shares.

We help in recovering your unclaimed dividends on Shares

Whenever a corporation makes profits, dividends are the profit which needs to be made available for shareholders. The value of dividends fluctuates depends upon the how much shareholder own a company’s stock. SEBI made unclaimed shares for more than 7 years to transfer to IEPF account. At Enterslice, we will help you to recover such unclaimed dividends and work closely to recover lost shares.

We help in Application Submission Process for IEPF Claim

Our experts at Enterslice, help you in exploring the online application portal and support you in submitting your claim application in a timely manner, and ensure all the necessary detailed are duly provided.

We take claim follow-up from concerning Authority

Our experts take follow-up from the concerning authority on your behalf, and ensure the claim is processed effectively and efficiently. We work closely to keep you informed with the entire process.

We help in Recovery of Mutual Funds

Even Mutual Funds fall in the same league. This is because many people invested their money in mutual funds and then forgot about them. However, the catch here is that these investments cannot be traced from the IEPF or Ministry of Corporate Affairs but from the Mutual Fund itself. The mutual fund can be recovered following the same procedure as the Recovery of Shares. Enterslice can give you overall advisory and assistance in the recovery of mutual funds as we are a team of highly skilled & dedicated professionals. We specialise in providing legal consultancy services.

We help in Issuing of Duplicate Shares from IEPF

Issue of Duplicate Shares can be done by issuing a certificate for the same, which can be done by applying with the concerned company. Enterslice has a team of professionals to provide professional support throughout the process.

We help in Name Deletion/Updation in Shares

The name deletion/updation occurs in case of death or abscondment of one of the joint shareholders. The surviving shareholder needs to apply for deletion/ updation of the name in such circumstances by applying with the company / RTA. We can provide professional support to our clients in the process of name deletion/ updation in the shares.

We help in Issuing a Succession Certificate

A succession certificate is a kind of legal necessary paper offered to the successor of the deceased person in lieu of a will which authenticate the right successor and helps the concern authority to transfer the ownership of shares and debts of deceased person. The district judge is the concerning authority to issue the certificate after filing petition in the same district court.

Our team of experienced advocates and lawyers can assist in drafting and filing the petition together with representation before the relevant court.

Recovery of Shares from IEPF; Expert Guidance and Timely necessary paperation Assistance to Recover Unclaimed Shares

Recovery of shares from IEPF can be a complex process, but with a proper right guidance and experts support, it is easier for recovery of shares from IEPF or easy to reclaim your rightful shares. At Enterslice, we offer a comprehensive support through entire process of recovery of shares from IEPF, starting from Paper works to application submission and follow-up. Moreover we are here to ensure that all the necessary IEPF Paper works aligned in order to comply the deadlines. Trust Enterslice, to recover your shares from IEPF with the utmost professionalism and attention to detail.

Filing for the Recovery shares from IEPF authority by the claimant

Claimant who wish to avail their refund or recover their shares, need to submit the Form IEPF-5 on the MCA portal. It is necessary to provide the following information within the same form for the recovery of shares from IEPF

• The claimant’s information
• The company details along its CIN number to confirm the due amount.
• Details of dividend from IEPF for the amount to claim
• Aadhaar number in case the claimaint is an Indian citizen. Need to furnish passport, OCI, PIO card number at the time of NRI claimant.
• Details of bank account linked with Aadhaar
• Demat account number details.

Submit the claim to the Company for Recovery of Shares from IEPF

As you submit the form IEPF-5, you need to send the copy of the form mentioned with the claim for recovery of shares from IEPF or to get refund of lost shares from IEPF Authority to the company IEPF Nodal officer along with the below mention necessary papers

• Printout of Form IEPF duly signed by the claimant
• Reciept of acknowledgment along with SRN number.
• Orginal indemnity bond with claimant signature on a non-judicial stamp paper.
• Original advance stamped receipt duly signed by the claimaint and witnesses.
• Original share certificate
• Copy of Aadhaar card
• Proof of entitlement certificate such as share certificate, interest warrant application number.
• Cancelled cheque
• Copy of demat account’s client master list.

Submission of claim from the company’s end to the IEPF Authority

The company is required to prepare a verification report within a period of 15 days, from the date of receiving a claim form from the end of claimant and requires to submit the same to the IEPF authority with the necessary claimant Paper works.

Refund from IEPF Authority to the claimant

The concerning IEPF authority is required to decide the application of claim within a period of 60 days after receiving the verification report from the end of relevant company which has validated the claimant application. Further, the IEPF Authority will issue an order related to refund , when the claimaint is entitled for the physical shares with the permission of competent authority. The IEPF Authority and the Drawing and Disbursing Officer will forward a bill to the pay and the accounts officer for payment purpose after getting verified the claimaint entitlement. The shares or extent of the claimaint’s entitlement gets transferred to the Demat account of the claimant. At Enterslice, we offer experts guidance and support for the recovery of shares from IEPF and monitor the entire process on a timely manner.

Timeline for Recovery of shares from IEPF

Challenges in Making Shares Claim

Claiming shares from IEPF brings lots of complexity with various challenges, which generally a claimant face. Some sort of challenges include lack of awareness among the people related to IEPF and the recovery of shares from IEPF claim process. Unable to determine the eligibility for a claim based upon applicable laws, or facing difficulties to gather the required necessary necessary papers with many more. At Enterslice, we are expertise in best in recovery of shares from IEPF and facilitate you with the required needs and assistance through the entire recovery of shares process. We will offer guidance on the Paper works process, verify your application form and ensure the required necessary necessary papers are correctly submitted. We will give you timely advice for recovery of shares from IEPF and help you in the entire process.

Enterslice, is your one stop shop to claim such unclaimed shares and helps you to handle your share issue in special and distinctive manner. Our experts are well versed with in-depth knowledge of applicable rules and regulation concerning the recovery of shares from IEPF Authority. We will work closely with you and guide you the claiming your IEPF unclaimed shares and support you in filing the relevant and necessary paperwork and other formalities for the recovery of shares from IEPF. We will ensure the entire recovery of shares process is quickly processed and efficiently so that you can easily receive your unclaimed shares.

Why Enterslice for Recovery of Shares?

• Recovered Shares Value worth Rs 42 Crore+
• Resolved 20,000+ Shares Dispute
• A Passionate Team of 1500+ Shares Recovery Experts
• Offered Shares Recovery Services in 10,500+ Pincodes
• Recovered Unclaimed Shares and Dividends of 1000+ Investors