valid as on 22/08/2019

Section 125.Investor Education and Protection Fund.
Provisions in green effective from 13-01-2016, others from 07-09-2016

Regulation 61 of LODR

(1) The Central Government shall establish a Fund to be called the Investor Education and Protection Fund (herein referred to as the Fund).

(2) There shall be credited to the Fund—

(a) the amount given by the Central Government by way of grants after due appropriation made by Parliament by law in this behalf for being utilised for the purposes of the Fund;

(b) donations given to the Fund by the Central Government, State Governments, companies or any other institution for the purposes of the Fund;

(c) the amount in the Unpaid Dividend Account of companies transferred to the Fund under sub-section (5) of section 124;

(d) the amount in the general revenue account of the Central Government which had been transferred to that account under sub-section (5) of section 205A of the Companies Act, 1956 (1 of 1956), as it stood immediately before the commencement of the Companies (Amendment) Act, 1999 (21 of 1999), and remaining unpaid or unclaimed on the commencement of this Act;

(e) the amount lying in the Investor Education and Protection Fund under section 205C of the Companies Act, 1956 (1 of 1956);

(f) the interest or other income received out of investments made from the Fund;

(g) the amount received under sub-section (4) of section 38;

(h) the application money received by companies for allotment of any  and due for refund;

(i) matured deposits with companies other than banking companies;

(j) matured  with companies;

(k) interest accrued on the amounts referred to in clauses (h) to (j);

(l) sale proceeds of fractional arising out of issuance of bonus shares, merger and amalgamation for seven or more years;

(m) redemption amount of preference shares remaining unpaid or unclaimed for seven or more years; and

(n) such other amount 

Provided that no such amount referred to in clauses (h) to (j) shall form part of the Fund unless such amount has remained unclaimed and unpaid for a period of seven years from the date it became due for payment.

(3) The Fund shall be utilised for—

(a) the refund in respect of unclaimed dividends, matured deposits, matured debentures, the application money due for refund and interest thereon;

(b) promotion of investors’ education, awareness and protection;

(c) distribution of any disgorged amount among eligible and identifiable applicants for shares or debentures, shareholders, debenture-holders or depositors who have suffered losses due to wrong actions by any person, in accordance with the orders made by the Court which had ordered disgorgement;

(d) reimbursement of legal expenses incurred in pursuing class action suits under sections 37 and 245 by , debenture-holders or depositors as may be sanctioned by the ; and

(e) any other purpose incidental thereto, in accordance with

Provided that the person whose amounts referred to in clauses (a) to (d) of sub-section (2) of section 205C transferred to Investor Education and Protection Fund, after the expiry of the period of seven years as per provisions of the Companies Act, 1956 (1 of 1956), shall be entitled to get refund out of the fund in respect of such claims in accordance with rules made under this section.

Explanation.—The disgorged amount refers to the amount received through disgorgement or disposal of securities.

(4) Any person claiming to be entitled to the amount referred in sub-section (2) may apply to the authority constituted under sub-section (5) for the payment of the money claimed.

(5) The Central Government shall constitute, by    not exceeding seven and a , as the Central Government may appoint.

(6) The manner of administration of the Fund, appointment of chairperson, members and chief executive officer, holding of meetings of the authority shall be in accordance with such .

(7) The Central Government may provide to the authority such offices, , employees and other resources in accordance with such .

(8) The authority shall administer the Fund and maintain separate accounts and other relevant records in relation to the Fund in such form  after consultation with the Comptroller and Auditor-General of India.

(9) It shall be competent for the authority constituted under sub-section (5) to spend money out of the Fund for carrying out the objects specified in sub-section (3).

(10) The accounts of the Fund shall be audited by the Comptroller and Auditor- General of India at such intervals as may be specified by him and such audited accounts together with the audit report thereon shall be forwarded annually by the authority to the Central Government.

(11) The authority shall prepare in such form and at such time for each   after consultation with the Comptroller and Auditor-General of India  its annual report giving a full account of its activities during the financial year and forward a copy thereof to the Central Government and the Central Government shall cause the annual report and the audit report given by the Comptroller and Auditor-General of India to be laid before each House of Parliament. 

2(81) Securities means the securities as defined in clause (h) of section 2 of the Securities Contracts (Regulation) Act, 1956 (42 of 1956)
2(30) Debenture, includes debenture stock, bonds or any other instrument of a company evidencing a debt, whether constituting a charge on the assets of the company or not

Provided that— (a) the instruments referred to in Chapter III-D of the Reserve Bank of India Act, 1934; and

(b) such other instrument, as may be prescribed by the Central Government in consultation with Reserve Bank of India, issued by a company,

shall not be treated as debenture;

2(84) Share means a share in the share capital of a company and includes stock
Refer Rule 3, Rule 5  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 . To view the rule,Click Here
2(55) Member in relation to a company, means—

(i) the subscriber to the memorandum of the company who shall be deemed to have agreed to become member of the company, and on its registration, shall be entered as member in its register of members;

(ii) every other person who agrees in writing to become a member of the company and whose name is entered in the register of members of the company;

(iii) every person holding shares of the company and whose name is entered as a beneficial owner in the records of a depository

2(90) Tribunal means the National Company Law Tribunal constituted under section 408
Refer Rule 7  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 . To view the rule,Click Here
2(58) Notification means a notification published in the Official Gazette and the expression “notify” shall be construed accordingly
Refer Rule (1)-(14)  of the Investor Education and Protection Fund Authority (Appointment of Chairperson and Members, holding of meetings and provision for offices and officers) Rules, 2016. To view the rule,Click Here
Chief Executive Officer means an officer of a company, who has been designated as such by it
 Refer Rule 8  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 . To view the rule,Click Here
2(59) Officer includes any director, manager or key managerial personnel or any person in accordance with whose directions or instructions the Board of Directors or any one or more of the directors is or are accustomed to act
 Refer Rule 9  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 and IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017 . To view the rule,Click Here
Refer Rule 4 of  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 . To view the rule,Click Here
2(41) Financial Year, in relation to any company or body corporate, means the period ending on the 31st day of March every year, and where it has been incorporated on or after the 1st day of January of a year, the period ending on the 31st day of March of the following year, in respect whereof financial statement of the company or body corporate is made up:

Provided that on an application made by a company or body corporate, which is a holding company or a subsidiary or associate company of a company incorporated outside India and is required to follow a different financial year for consolidation of its accounts outside India, the Tribunal may, if it is satisfied, allow any period as its financial year, whether or not that period is a year:

Provided further that a company or body corporate, existing on the commencement of this Act, shall, within a period of two years from such commencement, align its financial year as per the provisions of this clause

Provided also that in case of a Specified IFSC public company, which is a subsidiary of a foreign company, the financial year of the subsidiary may be same as the financial year of its holding company and approval of the Tribunal shall not be required.

Provided also that in case of a Specified IFSC private company, which is a subsidiary of a foreign company, the financial year of the subsidiary may be same as the financial year of its holding company and approval of the Tribunal shall not be required.

Refer Rule 10,11,12 of  Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 . To view the rule,Click Here
sub-section (8) to (11) notified vide notification dated 05.09.2016.To view the notification,Click Here

8.3.10-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

10. Returns and reports

(1) The Authority shall furnish to the Central Government at such time and in such form and manner as may be specified or as the Central Government may direct, such returns and statements and such particulars with regard to its activity.

(2) Without prejudice to the provisions of sub-rule the Authority shall, within one hundred and eighty days after the end of each financial year, submit to the Central Government a report in such form, as may be specified, giving a true and full account of its activities during the previous financial year.


8.3.11-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

11. Protection of action taken in good faith.

No suit, prosecution or other legal proceedings shall lie against the Central Government or Authority or any officer of the Central Government or any member, officer or other employee of the Authority for anything which is in good faith done or intended to be done under these rules.


8.3.12-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

12. Repeal and savings. –

(1) Investor Education and Protection Fund (Awareness and Protection of Investors) Rules, 2001 and Investor Education and Protection Fund (Uploading of information regarding unpaid and unclaimed amounts lying with Companies) Rules, 2012 are hereby repealed.

(2) Notwithstanding such repeal, anything done or any action taken or purported to have been done or taken under the rules repealed by sub-rule (1) shall, in so far as it is inconsistent with the provisions of these rules, be deemed to have been done or taken under the corresponding provisions of these rules.


8.3.3-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

3. Fund.-

(1) The Authority shall administer the Fund.

(2) There shall be credited to the Fund, the following amounts. namely:-

(a) all amounts payable as mentioned in clause (a) to (n) of sub-section (2) of section 125 of the Act;

(b) all shares in accordance with sub-section (6) of section 124 of the Act;

(e) all the resultant benefits arising out of shares held by the Authority under clause (b);

(d) all grants, fees and charges received by the Authority under these rules;

(e) all sums received by the Authority from such other sources as may be decided upon by the Central Government;

(f) all income earned by the Authority in any year;

all amounts payable as mentioned in sub-section (3) of section 10B of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, section 10B of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 and section 40A of the State Bank of India (Subsidiary Bank) Act, 1959; and

(g) all amounts payable as mentioned in Sub-section (3) of section 10B of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 and section 10B of Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980; and

(h) all Other sums of money collected by the Authority as envisaged in the Act.

(3) In case of term deposits and debentures of companies, due unpaid or unclaimed interest shall be transferred to the Fund along with the transfer of the matured amount of such term deposits and debentures.

(4) (a) All the money, which accrue under sub section (2) () of section 125 of the Act shall be deposited in the Consolidated Fund of India under the Major Head ‘0075- Miscellaneous General Services – 104 – Unclaimed and Unpaid dividends, deposits and debentures etc.’. Such sums along with amount deposited under section 205C of the Companies Act, 1956 shall be transferred to the Fund in the non-interest bearing Public Account after taking due approval of Parliament through Appropriation Act. This non- interest bearing public Account Shall be termed as IEPF Fund and shall be utilised for the purposes provided under sub-section (3) of section 125 of the Act.

(b) (i) All amounts remitted by the companies shall initially be accounted for under the following heads of Accounts:-

Major Head 0075 – Miscellaneous General Services

Minor Head 104 – Unpaid dividend Of Companies.

(ii) Grants and donations given to the Fund by the State Governments, Companies or any other institutions for the purpose of the Fund as also the interest or other income received out of the Investments made from the Fund shall be credited to a separate sub-head under “800 – Other Receipts” below the MH 0075 – Misc. General Services.

(iii) Amount booked under the above receipt head shall be transferred to the Fund account under Major Head ‘8235 – General and other Reserve Fund – 116 -IE & PF’ by the PAO, Ministry of Corporate Affairs after making suitable budget provision under Major Head ‘3451 – Secretariat Economic Services 797 – Transfer to Reserve Fund Deposit Account – Transfer to Investor’s Education and Protection Fund’. In case the amounts of receipts in a year is more than the budget provision made under Major Head 3451 transfer to the Fund, the difference shall be transferred to the Fund in subsequent year, after obtaining approval of the Budget Division of Department of Economic Affairs and after making adequate budget provision in the relevant year.

(iv) Budget provision in connection with the activities to be financed from the Fund shall be made under Major Head 3451 – Secretariat Economic Services 090 Secretariat – Investor’s Education and Protection Fund. Actual expenditure under the head shall be recouped from the Fund and the amount so recouped shall be accounted for under the Major Head ‘3451’ as Deduct entry below Minor Head ‘902 – Deduct – amount met from Investor’s Education and Protection Fund’ with contra debit to Major Head – ‘8235 – General and Other Reserve Funds -116 – Investor’s Education and Protection Fund’.

Substituted vide IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 GSR 178 dated 28.02.2017. To view the notification,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2019 dated 01.05.2019. To view the Notification, Click Here.
 Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

8.3.4-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

4. Accounts and audit,-

(1) The Authority shall maintain proper accounts and other relevant records as given in to these rules and prepare an annual statement of accounts in such form as may be specified by the Central Government in consultation with the Comptroller and Auditor-General of India.

(2) The accounts of the Authority shall be audited annually by the Internal Audit Party of the Office of Chief Controller of Accounts and Comptroller and Auditor-General of India at Such intervals and any expenditure incurred in connection with such audit shall be payable by the Authority to the Comptroller and Auditor-General of India.

(3) The Comptroller and Auditor-General of India or any other person appointed by him in connection with the audit of the accounts of the Authority shall have the same rights and privileges and authority in Connection with such audit as the Comptroller and Auditor General generally has in connection with the audit of the Government accounts and, in particular, shall have the right to demand the production of books, accounts, connected vouchers and other documents and papers and to inspect any of the offices of the Authority.

(4) The accounts of the Authority as certified by the Comptroller and Auditor-General of India or any other person appointed by him in this behalf together with the audit report thereon shall be forwarded annually to the Central Government and that Government shall cause the same to be laid before each House of Parliament.

To view the schedule,Click Here

8.3.5-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

5. Statement to be furnished to the Fund.-

Any amount required to be credited by the companies to the Fund as provided under clauses (a) to (n) of sub-section (2) of section 125 of the Act shall be remitted online along with a Statement in containing details of such transfer to the Authority within a period of thirty days of such amounts becoming due to be credited to the Fund.

(1) Any amount required to be credited by the companies to the Fund as provided under clause (a) to (n) of sub-section (2) of section 125 of the Act shall be remitted into the specified branches of Punjab National Bank, which is the accredited Bank of the pay and Accounts Office, Ministry of Corporate Affairs and Other authorised banks engaged by the MCA-21 system, within a period of thirty days Of such amounts becoming due to be credited to the Fund.

The amount shall be tendered by the Companies along with challan (in triplicate) to the specified Bank Branches of Punjab National Bank and other authorised banks under MCA- 21 system who will return two copies of the challan, duly stamped in token of having received the amount, to the Company. The third copy of the challan Will be forwarded along with the daily credit scroll by the receiving branch to its Focal Point Branch of the Bank for onward transmission to the pay and Accounts Office, Ministry of Corporate Affairs.

Every company shall file with the concerned Authority one copy of the referred to in sub-rule (2) indicating the deposit of the amount to the Fund and shall fill in the full particulars of the amount tendered including the head of account to which it has been credited.

 the company Shall, along with the copy of the challan as required under sub-rule (3), furnish a Statement in  containing details of such transfer to the Authority within thirty days of submission of challan.

 The companies which have transferred any amount referred to in clauses (a) to (d) of sub-section (2) of section 205C of the Companies Act, 1956 (1 of 1956) to Investor Education and Protection Fund or Central Government, but have not filed the statement or have filed the statement in any format other than in excel template, as required under sub-rule (1) of rule 5, shall submit details mentioned in sub-rule (1) of rule 5 in   along with excel template within sixty days of notification of these amended rule.

(5) The amount may also be remitted by Electronic Fund Transfer in such manner, as may be specified by the Central Government.

(6) (a) On receipt of the statement. the Authority shall enter the details of such receipt in a Register maintained physically or electronically by it in respect of each company every year, and reconcile the amount remitted and collected, with the concerned designated bank on monthly basis.

(b) Each designated bank shall furnish an abstract of such receipts during the month to the Authority within seven days after the close of every month.

 The company shall maintain the record filed under sub – rule (1) in the same format along with all supporting documents and the Authority shall have the powers to inspect such records.

(c) The Company shall maintain record consisting of name, last known address, amount, folio number or client ID, certificate beneficiary details etc. of the persons in respect of whom unpaid or unclaimed amount has remained unpaid or unclaimed for a period of seven years and has been transferred to the Fund and the Authority shall have the powers to inspect such records.

(7) The provisions of this rule shall be applicable mutatis mutandis in respect of the amounts to be credited to the Fund in pursuance of clauses (h) to (m) of sub-section (2) of section 125.

 Every company shall within a period of sixty days after the holding of Annual General Meeting or the date on which it should have been held as per the provisions of section 96 of the Act, whichever is earlier and every year thereafter till completion of the seven years period, identify the unclaimed amounts, as referred in subsection (2) of section 125 of the Act, as on the date of closure of financial year the account of which are to be adopted in the Annual General Meeting as per sub-section (1) of section 137 of the Act, separately furnish and upload on its own website and also on website of Authority or any other website as may be specified by the Government, a statement or information of unclaimed and unpaid amounts separately for each of the previous seven financial years through  , containing following information, namely:-

(a) the names and last known addresses of the persons entitled to receive the sum;
(b) the nature of amount;
(c) the amount to which each person is entitled;
(d)the due date for transfer into the Investor Education and Protection Fund; and
(e) such other information as may be considered necessary

(8) Every company shall within a period of ninety days after the holding of Annual General Meeting or the date on which it should have been held as per the provisions of section 96 of the Act and every year thereafter till completion of the seven years period, identify the unclaimed amounts, as referred in sub-section 2 of 125 of the Act, as on the date of holding of Annual General Meeting or the date on which it should have been held as per the provisions of section 96 of the Act, separately furnish and upload on its own website and also on website of Authority or any other website as may specified by the Government, a Statement or information through , separately for each year, containing following information, namely.-

(a) the names and last known addresses of the persons entitled to receive the sum;

(b) nature of amount;

(c) the amount to which each person is entitled;

(d) the due date for transfer into the Investor Education and Protection Fund; and

(e) Such other information as may be considered relevant for the purposes.

Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
 Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
 Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Refer Circular 13/2016 and 02/2017. To view the clarification, Click Here
 Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the form,Click Here
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
To view the form,Click Here

8.3.6-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

6.

(1) The shares shall be credited to DEMAT Account of the Authority to be opened by the Authority for the said purpose, within a period of thirty days of such shares becoming due to be transferred to the Fund:

Provided that, in case the beneficial owner has encashed any dividend warrant  during the last seven years, such shares shall not be required to be transferred to the Fund even though some dividend warrants may not have been encashed:

 in cases where the provided under sub-section (5) of section 124 has been completed or being completed during the period from 7th September, 2016 to 31st May, 2017, the due date of transfer of such shares shall be deemed to be 31st May, 2017.

For removal of all doubts, it is hereby clarified that all shares in respect of which dividend has been transferred to Investor Education and Protection Fund on or before the 7th September 2016, shall also be transferred by the company in the name of Investor Education and Protection Fund.

(2) For the purposes of effecting transfer of such shares, the Board shall authorise the Company Secretary or any other person to sign the necessary documents.

(3) The company shall follow the following procedure while transferring the shares, namely:-

(a) The company shall inform, at the latest available address, the shareholder concerned regarding transfer of shares three months before the due date of transfer of shares and also simultaneously publish a notice in the leading newspaper in English and regional language having wide circulation informing the concerned that the names of such shareholders and their folio number or DP ID – Client ID are available on their website duly mentioning the website address.

(b) In case, where there is a specific order of Court or Tribunal or statutory Authority restraining any transfer of such shares and payment of dividend or where such shares are pledged or hypothecated under the provisions of the Depositories Act, 1996 or shares already been transferred under sub-rule (1) above, the company shall not transfer such shares to the Fund:

Provided that the company shall furnish details of such shares and unpaid dividend to the Authority in  within thirty days from the end of financial year.

(c) For the purposes of effecting the transfer, where the shares are dealt with in a depository-

(i) the Company shall inform the depository by way of corporate action, where the shareholders have their accounts for transfer in favour of the Authority.

(ii) on receipt of such intimation, the depository shall effect the transfer of shares in favour of  of the Authority.

For the purposes of effecting the transfer where the shares are held in physical form-

(i) the Company Secretary or the person authorised by the Board shall make an application, on behalf of the concerned shareholders, to the company, for issue of duplicate share certificates;

(ii) on receipt of the application under clause (a), a duplicate certificate for each such shareholder shall be issued and it shall be stated on the face of it and be recorded in the register maintained for the purpose, that the duplicate certificate is “Issued in lieu of share certificate No….. for purpose of transfer to IEPF” and the word “duplicate” shall be stamped or punched in bold letters on the first page of the share certificate;

(iii) particulars of every share certificate issued as above shall be entered forthwith in a register of renewed and duplicate share certificates maintained in Form No. SH-2  as specified in the Companies (Share Capital and Debentures) Rules, 2014;

(iv) after issue of duplicate share certificates, the company shall inform the depository by way of corporate action to convert the duplicate share certificates into DEMAT form and transfer in favour of the Authority.

For the purposes of effecting the transfer shares held in physical form-

(i) the Company Secretary or the person authorised by the Board shall make an application, on behalf of the concerned shareholder, to the company, for issue of a new share certificate;

(ii) on receipt of the application under clause (a), a new share certificate for each such shareholder shall be issued and it shall be stated on the face of the certificate that “Issued in lieu of share certificate No….. for the purpose of transfer to IEPF” and the same be recorded in the register maintained for the purpose;

(iii) particulars of every share certificate shall be in as specified in the Companies (Share Capital and Debentures) Rules, 2014;

(iv) after issue of a new share certificate, the company shall inform the depository by way of corporate action to convert the share certificates into DEMAT form and
transfer in favour of the Authority.

(4) The company shall make such transfers through corporate action and shall preserve copies for its .

While effecting such transfer, the company shall send a statement to the Authority in  within thirty days of the corporate action taken under clause (c) of sub-rule (3) of rule 6 containing details of such transfer and the company shall also attach a copy of the public notice published under clause (a) of sub-rule (3) of rule 6 in .

(5) While effecting such transfer, the company shall send a statement to the Authority in  containing details of such transfer.

(6) The voting rights on shares transferred to the Fund shall remain frozen until the rightful owner claims the shares:

Provided that for the purpose of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, the shares which have been transferred to the Authority shall not be excluded while calculating the total voting rights.

 The company shall maintain all such statements filed under sub – rule (5) in the same format along with all supporting documents and the Authority shall have the powers to inspect such records.

(7) The company shall maintain the details of shareholding of each individual shareholders whose shares have been credited to the DEMAT account of the Authority.

 All benefits accruing on such shares like bonus shares, split, consolidation, fraction shares and the like except right issue shall also be credited to such DEMAT account [by the company which shall send a statement to the Authority in   within thirty days of the corporate action containing details of such transfer.]

(8) All benefits accruing on such shares e.g., bonus shares, split, consolidation, fraction shares etc., except right issue shall also be credited to such DEMAT account.

(9) The shares held in such DEMAT account shall not be transferred or dealt with in any manner whatsoever except for the purposes of transferring the shares back to the claimant as and when he approaches the Authority or in accordance with sub-rule (10) and (11).

(10) If the company is getting delisted, the Authority shall surrender shares on behalf of the shareholders in accordance with the Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009 and the proceeds realised shall be credited to the Fund and a separate ledger account shall be maintained for such proceeds.

(11) In case the company whose shares or securities are held by the Authority is being wound up, the Authority may surrender the securities to receive the amount entitled on behalf of the security holder and credit the amount to the Fund and a separate ledger account shall be maintained for such proceeds.

(12) Any further dividend received on such shares shall be credited to the Fund and a separate ledger account shall be maintained for such proceeds.

Any amount required to be credited by the companies to the Fund as provided under sub-rules (10), (11) and sub-rule (12) shall be remitted into the specified account of the IEPF Authority maintained in the  

Authority shall furnish its report to the Central Government as and when noncompliance of the rules by companies came to its knowledge.

(1) The shares shall be credited to an IEPF suspense account (on the name of the company) with one of the depository participants as may be identified by the Authority within a of such shares becoming due to be transferred to the Fund:

Provided that, in case the beneficial owner has encashed any dividend warrant during the last seven years, such shares shall not be required to be transferred to the Fund even though some dividend warrants may not have been encashed.

(2) For the purposes of effecting transfer of such shares, the Board shall authorise the Company Secretary or any other person to sign the necessary documents.

(3) The company shall follow the following procedure, namely:-

(a) The company shall inform at the latest available address, the shareholder concerned regarding transfer of shares three months before the due date of transfer of shares and also simultaneously publish a notice in the leading newspaper in English and regional language having wide circulation. and on their website giving details of such shareholders and shares due for transfer.

Provided that in cases, where the seven years as provided under sub-section (5) of section 124 have been completed or are being completed within three months from the date of Coming into force of these rules, the company shall initiate the aforesaid procedure immediately and transfer the shares on completion of three months;

(b) In case, In where there is a specific order of Court or Tribunal or statutory Authority restraining any transfer of such shares and payment of dividend, the company shall not transfer such shares to the Fund:

Provided that the company shall furnish details of such shares and unpaid dividend to the Authority in    within thirty days from the end of financial year;

(c) For the purposes of effecting the transfer where the Shares are dealt with in a depository,-

(i) the Company Secretary or the person authorised by the Board shall sign on behalf of such shareholders, the delivery instruction slips of the depository participants where the shareholders had their accounts for transfer in favour of IEPF suspense account (name of the company);

(ii) on receipt of the delivery instruction slips. the depository shall effect the transfer of shares in favour of the Fund in its records.

(d) For the purposes of effecting the transfer where the shares are held in physical form,-

(i) the Company Secretary or the person authorised by the Board shall make an application, on behalf of the concerned shareholders, to the company, for issue of duplicate share certificates;

(ii) on receipt of the application under clause (a), duplicate certificate for each such shareholder shall be issued and it shall be Stated on the face of it and be recorded in the register maintained for the purpose, that the duplicate certificate is “Issued in lieu of share certificate No… for purpose of transfer to IEPF” and the word “duplicate” shall be stamped or punched in bold letters across the face of the share certificate;

(iii) particulars of every share certificate issued as above shall entered forthwith in a register of renewed and duplicate share certificates maintained in Form NO. SH 2 as specified in the Companies (Share Capital and Debentures) Rules, 2014;

(iv) after issue of duplicate share certificates. the Company Secretary or the person authorised by the Board, shall sign the necessary Form No. SH 4 i.e„ securities transfer Form as specified in the Companies (Share Capital and Debentures) Rules, 2014, for transferring the shares in favour of the Fund;

(v) on receipt of the duly filled transfer forms along with the duplicate share certificates, the Board or its Committee shall approve the transfer and thereafter the transfer of shares shall be effected in favour of the Fund in the records of the company.

(4) The company or depository, as the case may be, shall preserve copies of the depository instruction slips, transfer deeds and duplicate certificates for its records

(5) While effecting such transfer. the company shall send a statement to the Fund in  containing details of such transfer.

(6) on shares transferred to the Fund shall remain frozen until the rightful owner claims the shares:

Provided that for the purpose of the Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, the shares which have been transferred to the Authority shall not excluded while calculating the total voting rights.

(7) Once the physical shares are transferred in the name of the Authority, the Authority Shall dematerialise these shares and it shall keep only those shares in physical form, where dematerialisation of shares is not possible.

(8) The Authority shall maintain IEPF Suspense account (name of the company) with depository participant on behalf of the shareholders who are entitled for the shares and all benefits accruing on such shares e.g. bonus shares, split. Consolidation, fraction shares etc. except right issue Shall also credited to such IEPF suspense account (name of the company).

(9) The shares held in such IEPF suspense account shall not be transferred or dealt with in any manner whatsoever except for the purposes of transferring the shares back to the claimant as and when he approaches the Authority or in accordance with sub-rule (10) and (11).

(10) If the company is getting delisted, the Authority shall surrender shares on behalf of the shareholders in accordance with the Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009 and the proceeds realised shall be credited to the Fund and a separate ledger account shall be maintained for such proceeds.

(11) In case the company whose shares or are held by the Authority is being wound up, the Authority may surrender the securities to receive the amount entitled on behalf of the security holder and credit the amount to the Fund and a ledger account shall be maintained for such proceeds.

(12) Any further dividend received on such shares shall be credited to the Fund and a separate ledger account shall be maintained for such proceeds.

Substituted vide IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 GSR 178 dated 28.02.2017. To view the notification,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Refer General Circular 03/2017 dated 27.04.2017.  General Circular 03/2017 has been withdrawn vide General Circular 05/2017. To view the circular,Click Here
Refer General Circular 06/2017 dated 29.05.2017. To view the circular,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the form,Click Here
The DEMAT Account details are provided vide General Circular No. 12/2017 dated 16.10.2017. To view the Circular,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
To view the form,Click Here
The Information of shareholders whose shares are transferred to IEPF’s DEMAT Account is to be sent to NSDL or CDSL, provided vide General Circular No. 12/2017 dated 16.10.2017. To view the Circular,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
To view the return,Click Here
To view the form,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Transferring amounts other than those provided under sub-rules (10), (11) and sub-rule (12) of rule 6 to this Account is strictly prohibited vide General Circular No. 12/2017 dated 16.10.2017. To view the notification,Click Here
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Third Amendment Rules, 2017 dated 22.05.2018. To view the notification,Click Here
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Substituted vide IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 GSR 178 dated 28.02.2017. To view the notification,Click Here
Refer MCA clarification vide General Circular 15/2016. To view the clarification,Click Here
To view the form,Click Here
To view the form,Click Here
 “voting right” means the right of a member of a company to vote in any meeting of the company or by means of postal ballot

8.3.7-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

7.

(1) Any person whose shares, unclaimed dividend, matured deposits, matured debentures, application money due for refund, or interest thereon, sale proceeds of fractional shares, redemption proceeds of preference shares etc., has been transferred to the Fund, may claim the shares under proviso to sub-section (6) of section 124 or apply for refund under clause (a) of sub-section (3) of section 125 or under proviso to sub-section (3) of section 125, as the case may be, to the Authority by submitting an online application in available on the website www.iepf.gov.in along with fee specified by the Authority from time to time in consultation with the Central Government.

Upon submission,   shall be transmitted online to the Nodal Officer of the company for verification of claim:

Provided that the claimant after making an application in   under sub rule 1, shall send original physical share certificate, original bond, deposit certificate, debenture certificate, as the case may be, along with Indemnity Bond, Advance Receipts, any other document as enumerated in  , duly signed by him, to the Nodal Officer of the concerned company at its registered office for verification of the claim.

(2) The claimant shall after making an application in  under rule (1), send the same duly signed by him along with, requisite documents as enumerated in Form IEPF-5 to the concerned company at its registered office for verification of his claim.

Every company which is required to credit amounts or shares to the fund or has deposited the amount or transferred the shares to the Fund shall nominate a Nodal Officer, who shall either be a Director or Chief financial Officer or Company Secretary of the company, for the purposes of verification of  and coordination with Investor Education and Protection Fund Authority:

Provided that a company may appoint one or more Officer as Deputy Nodal Officer to assist the Nodal Officer for the purposes of verification of claim and for coordination with Investor Education and Protection Fund Authority:

Provided further that the Nodal Officer shall be solely liable for all actions of any officer appointed as Deputy Nodal Officer:

Provided also that in case a company fails to appoint Nodal Officer, every director of the company shall be deemed to be nodal officer and be liable for any failure to comply with requirement of these rules.

 

 The details of the Nodal Officer and Deputy Nodal Officer duly indicating his or her designation, postal address, telephone and mobile number and company authorized e-mail ID shall be communicated to the Investor Education and Protection Fund Authority in   within fifteen days from the date of publication of these rules and the company shall display the name of Nodal Officer and his e-mail ID on its website:

Provided that any change in the Nodal Officer or his details shall be communicated to the Authority through   within seven days of such change along with board resolution thereof.

The company shall, within thirty days from the date of receipt of claim, send an online verification report to the Authority after verification of details in Form No. IEPF-5 in the format specified by the Authority along with all the documents submitted by the claimant and shall attach the scanned copy of all the original documents submitted by the claimant in physical form duly certified by its Nodal Officer alongwith the e-verification report along with a scanned copy of both sides of original physical share certificate or original bond or deposit or debenture certificate/s duly cancelled and certified:

Provided that if the online verification report is not sent by the company within thirty days of filing of claim, the company may do so by paying additional fee of fifty rupees for every day subject to maximum of two thousand and five hundred rupees:

Provided further that the company shall be liable to maintain the original documents submitted to it by the claimant and shall produce such documents whenever required:

Provided also that in case of non-receipt of verification report along with documents by the Authority after the expiry of sixty days from the date of filing of  , the Authority may reject F , after sending a communication to the claimant and the concerned company, on the e-mail address of the claimant and the company, to furnish response within a period of fifteen days:

Provided also that for failure to submit verification report of the claim in accordance with these rules, the company and its Nodal Officer shall be punishable as per the provisions of the Act.

Explanation.- In case (i) loss of original physical share certificate or original bond or deposit or debenture certificate or proof of entitlement, the company and the claimant shall follow the procedure as laid down in the Companies (Share Capital and Debenture) Rules, 2014 , the Securities and Exchange Board of India (Listing Obligation and Disclosure Requirements) Regulation, guidelines, procedures and circulars issued from time to time and  of these rules and attach certified copies of all documents as may be required under the said rules or guidelines with the e-verification report; (ii) In addition, the company shall attach a scanned copy of both sides of share certificate generated under clause (d) of sub-rule (3) of rule 6 of these rules along with the e-verification report;(iii) The Company shall be solely responsible for collecting original physical share certificate or original bond or deposit or debenture certificate or proof of entitlement from the claimant and shall be liable for any misuse thereof.

(3) The company shall, within fifteen days from the date of receipt of claim, send a verification report to the Authority in the format specified by the Authority along with all the documents submitted by the claimant.

(4) After verification of the entitlement of the claimant-

(a) to the amount claimed, the Authority and then Drawing and Disbursement Officer of the Authority shall present a bill to the Pay and Accounts Office for e- payment as per the guidelines,

(b) to the shares claimed, the Authority shall issue a refund sanction order with the approval of the Competent Authority and shall credit the shares to the DEMAT account of the claimant to the extent of the claimant’s entitlement.

(5) The Authority shall, in its records, cause a note to be made of all the payments made under sub-rule (4).

(6) An application received for refund of any claim under this rule duly verified by the concerned company shall be disposed off by the Authority within sixty days from the date of receipt of the verification report from the company, complete in all respects and any delay beyond sixty days shall be recorded in writing specifying the reasons for the delay and the same shall be communicated to the claimant in writing or by electronic means.

 Where the Authority, on examining any application for claim, finds it necessary to call for further information or finds such application or e-form or document to be defective or incomplete in any respect, the Authority shall give intimation of such information called for or defects or incompleteness, by e-mail on the email address of the claimant and the company, which has filed such application or e-form or document, directing him or it to furnish such information or to rectify such defects or incompleteness or to re-submit such application or e-Form or document within fifteen days from the date of receipt of such communication, failing which the Authority may reject the claim or  :

Provided that if such information or incompleteness is called from the claimant, he shall file the e-form and shall send such documents as called for within fifteen days, duly signed by him, to the Nodal Officer of the concerned company at its registered office for verification of the claim and company shall send a revised verification report:

Provided further that if any such information or incompleteness is called from the company, the company shall file the revised verification report and shall send such documents as called for within thirty days:

Provided also that the provisions of sub-rule (3) of rule 7 shall apply mutatis mutandis to this sub-Rule.

(7) In cases, where the application is incomplete or not approved, a communication shall be sent to the claimant and the concerned company by the Authority detailing deficiencies of the application.

In case, claimant is a legal heir or successor or administrator or nominee of the registered share holder, the claimant shall ensure to submission of self-attested scanned copy of all documents detailed in  of these rules online along with the :

Provided that in case of loss of securities held in physical form, he has to ensure to submission of self-attested scanned copy of additional documents detailed in  of these rules online along with the :

Provided further that the claimant shall submit in original all these documents duly signed by him, to the Nodal Officer of the concerned company at its registered office for verification of the claim.

(8) In case, claimant is a legal heir or successor or administrator or nominee of the registered share holder, he has to ensure that the transmission process is completed by the company before filing any claim with the Authority.

(9) In case, claimant is a legal heir or successor or administrator or nominee of any other registered security or in cases where request of transfer or transmission of shares is received after the transfer of shares by company to the Authority, the company shall verify all requisite documents required for registering transfer or transmission and shall issue letter to the claimant indicating his entitlement to the said security and furnish a copy of the same to the Authority while verifying the claim of such claimant .

. the authority shall dispose such request of transfer or transmission based on the e-verification report of the company subject to verification of such request.

.

(11) The company shall be liable under all circumstances whatsoever to indemnify the Authority in case of any dispute or lawsuit that may be initiated due to any incongruity or inconsistency or disparity in the verification report or otherwise and the Authority shall not be liable to indemnify the security holder or Company for any liability arising out of any discrepancy in verification report submitted etc., leading to any litigation or complaint arising thereof.

Any fraudulent claim by the claimant shall be deemed to be fraud within the meaning of section 447 of the Act and the claimant shall be liable accordingly.

If any person deceitfully personates an owner of any security or of any share warrant or coupon issued in pursuance of this Act and thereby files any claim to obtain or attempts to obtain any such security or interest or any such warrant or coupon due to the lawful owner, he shall be punishable under sections 57, 447 and 448 of the Act.

(1) Any person, whose shares, unclaimed dividend, matured deposits, matured debentures, application money due for refund, or interest thereon, sale proceeds of fractional shares, redemption proceeds of preference shares, etc. has been transferred to the Fund, may claim the shares under provision to sub-section (6) of section 124 or apply for refund under clause (a) of sub-section (3) of section 125 or under proviso to sub-section (3) of section 125, as the case may be, to the Authority by making an application in  online available on website www.iepf.gov.in along with fee, as decided by the Authority from time to time in consultation with the Central Government, under his own signature.

(2) The claimant shall after making an application online in Form IEPF-5 under rule (1) send the same duly signed by him along with, requisite documents as enumerated in Form IEPF-5 to the concerned company at its registered Office for verification of his claim.

(3) The company shall within fifteen days of receipt of claim form, send a verification report to the Authority in the format specified by the Authority along with all documents submitted by the claimant.

(4) After verification of the entitlement of the claimant-

(a) to the amount claimed, the Authority and then Drawing and Disbursement Officer of the Authority shall present a bill to the Pay and Accounts Office for e- payment as per the guidelines.

(b) to the shares claimed. the Authority shall issue a refund sanction order with the approval of the Competent Authority and shall either credit the shares which are lying with depository participant in IEPF suspense account (name of the company) to the demat account of the claimant to the extent of the claimant’s entitlement or in case of the physical certificates, if any, cancel the duplicate certificate and transfer the shares in favour of the claimant.

(5) The Authority shall, in its records, cause a note to be made of all the payments made under sub-rule (4).

(6) An application received for refund of any claim under this rule duly verified by the concerned company shall be disposed of by the Authority within sixty days from the date of receipt of the verification report from the company, complete in all respects and any delay beyond sixty days shall be recorded in writing specifying the reasons for the delay and the same shall be communicated to the claimant in writing or by electronic means.

(7) In case, where the application is incomplete, a communication shall be sent to the claimant by the Authority detailing deficiencies of the application.

(8) In case, claimant is a legal heir or successor or administrator nominee of the registered security holder, he has to ensure that the transmission process is completed by the company before filing any claim with the Authority.

(9) The claimant shall file only one consolidated claim in respect of a company in a financial year.

(10) The company shall be solely liable under all circumstances whatsoever to indemnity the IEPF Authority in case of any dispute or lawsuit that may be initiated due to any incongruity or inconsistency or disparity in the verification report or otherwise. The IEPF Authority shall not be liable to indemnity the security holder or Company for any liability arising out of any discrepancy in verification report submitted etc. leading to any litigation or complaint arising thereof.

 

Substituted vide IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 GSR 178 dated 28.02.2017. To view the notification,Click Here
To view the form,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
To view the return,Click Here
To view the return,Click Here
To view the return,Click Here
To view the form,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Refer Schedule IV. To view the schedule,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the return,Click Here
To view the return,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
To view the return,Click Here
To view the return,Click Here
To view the schedule,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
To view the return,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 dated 13.10.2017. To view the notification,Click Here
Substituted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
To view the schedule,Click Here
To view the return,Click Here
To view the schedule,Click Here
To view the return,Click Here
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.09.2019. To view the Notification, Click Here.
Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
 Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
Substituted vide IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 GSR 178 dated 28.02.2017. To view the notification,Click Here
To view the form,Click Here

8.3.8-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

8. Power to direct payment of amount due to the Fund.

 The company shall furnish a statement to the Authority in   within thirty days of end of financial year stating therein the amounts due to be transferred to the Fund in next financial year.

The company shall also furnish a statement to the authority within thirty days of the closure of its accounts for the financial year stating therein the reasons of deviation, if any, of amounts detailed in sub-rule (1) above and actual amounts transferred to the Fund.

(3) Authority shall furnish report to the Central Government within sixty days of end of financial year giving details of who have failed to transfer the due amount to the Fund.

(4) Authority shall also furnish a report to the Central Government by end of next financial year giving details of companies who have failed to file information referred to in sub-rule (8) of rule 5.

 Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.
To view the form,Click Here
Omitted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

8.3.9-Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016

9. Transfer of assets, liabilities, etc., of the existing IEPF to the Authority.- On and from the date of establishment of the Authority,-

(a) any reference to the existing IEPF in any law other than these rules or in any contract or other instrument shall be deemed as a reference to the Authority;

(b) all properties and assets, movable and immovable, of, or belonging to, the existing IEPF, shall vest in the Authority;

(c) all rights and liabilities of the existing IEPF shall be transferred to, and be the rights and liabilities of the Authority;

(d) without prejudice to the provisions of clause (c), all debts, obligations and liabilities incurred, all contracts entered into and all matters and things engaged to be done by, with or for the existing IEPF immediately before that date, for or in connection with the purpose of the said existing IEPF shall be deemed to have been incurred. entered into, or engaged to be done by, with or for, the Authority;

(e) all sums of money due to the existing IEPF immediately before that date shall be deemed to be due to the Authority; and

(f) all suits and other legal proceedings instituted or which could have been instituted by or against the existing IEPF, immediately before that date may be continued or may be instituted by or against the Authority.


8.4.1-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

1. Short title and commencement. –

(1) These rules may be called the Investor Education and Protection Fund Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

(2) These rules shall come into force on the date of their publication in the Official Gazette.


8.4.10-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

10. Disciplinary Proceedings. –

The modalities of disciplinary proceedings against the General Manager and Assistant General Manager of the Investor Education and Protection Fund Authority shall be notified by the Chief Executive Officer of the Investor Education and Protection Fund Authority as per rules and regulations applicable to officers and employees of the corresponding Level in the Pay Matrix of the Central Government.


8.4.11-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

11. Disqualification. –

No person-

(i) who has entered or contracted a marriage with a person having a spouse living, or

(ii) who, having a spouse living , has entered into or contracted a marriage with any person, Shall be eligible for appointment to the said posts:

Provided that the Central Government may, if satisfied that such marriage is permissible under the personal law applicable to such person and the other party to the marriage and that there are other grounds for so doing, exempt any person from the operation of this rule.


8.4.12-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

12. Power to relax.-

Where the Central Government is of the opinion that it is necessary or expedient to do so, it may, by order and for reasons to be recorded in writing, relax any of the provisions of these rules with respect to any class or category of persons.


8.4.2-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

2. Definitions. –

(1) In these rules, unless the context otherwise requires,-

(a) “Act” means the Companies Act, 2013 (18 of 2013);

(b) “Investor Education and Protection Fund Authority” means the Authority as defined under section 125 of the Act;

(2) All the used and not defined in these rules, but defined in the Act shall have the meanings as assigned to them in the Act.

 words and expressions used and not defined in this Act but defined in the Securities Contracts (Regulation) Act, 1956 (42 of 1956) or the Securities and Exchange Board of India Act, 1992 (15 of 1992) or the Depositories Act, 1996 (22 of 1996) shall have the meanings respectively assigned to them in those Acts

8.4.3-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

3. Application. –

These rules shall apply to the General Manager and Assistant General Manager of the Investor Education and Protection Fund Authority.


8.4.4-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

4. Number of posts, classification and level in the pay matrix. –

The number of posts, their classification and level in the pay matrix attached thereto shall be as specified in columns (2) to (4) of the Schedule.

SCHEDULE

Name of
the Post
Number of
Post
ClassificationLEVEL in
the Pay
Matrix
Whether
selection
post or non selection
post
Age limit
for direct
recruits
Educational
and other
qualifications
required for
direct recruits
1234567
(1) General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending
Not
applicable
Level – 13
in pay
matrix of
Rs.
118500 –
214100.
Not
applicable
Not
applicable
Not
applicable
(2)
Assistant
General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending on
work load
Not
applicable
Level - 10
is the pay
matrix of
Rs. 56100
- 177500
Not
applicable
Not
applicable
Not
applicable
Whether age
and other
educational
qualifications
prescribed
for direct
recruits will
apply in the
case of
promotees
Period of
probation,
if any
Method of
recruitment,
whether by direct
recruitment or by
promotion or by
deputation or
absorptions and
percentage of posts
to be filled by
various methods
In case of recruitment by promotion or
deputation or absorption, grades from
which promotion/ deputation/
absorption is to be made
If Departmental
Promotion Committee
exists, what is its
composition
Circumstances
in which
UPSC is to be
consulted in
making
recruitment
8910111213
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
– or--
(ii) with six years regular service in
LEVEL 12 in the Pay Matrix of
Rs. 78800 – 209200.
--or--
(iii) with ten years regular service in
LEVEL 11 in the Pay Matrixof
Rs 67700 - 208700
Desirable: Having experience in
Administration/ Establishment
The Selection Committee for deputation consists of:
(i) Additional Secretary, Ministry of Corporate Affairs -- Chairman
(ii) Joint Secretary, Ministry of Corporate Affairs -- Member
(iii) Joint Secretary, Ministry of Corporate Affairs -- Member

The Selection Committee for deputation consists of:-
(i) Chief Executive Officer, Investor Education and Protection Fund Authority, Chairman
(ii) General Manager, Investor Education and Protection Fund Authority Member
(iii) Director/ Deputy Secretary, Ministry of Corporate Affairs member (substituted vide IEPF (Recruitment, Salary and
other Terms and Conditions of Service of General Manager and Assistant General Manager) Amendment
Rules, 2018)
Not
Applicable
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
-or-
(ii) with two years regular service in
LEVEL 8 in the Pay Matrix of
Rs. 47600 - 151100
Desirable: Having experience in
Administration/Establishment
The Selection
Committee for
deputation consists of :
(i) Additional Secretary,
Ministry of Corporate
Affairs -- Chairman
(ii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
(iii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
Not
Applicable


8.4.5-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

5. Method of recruitment, eligibility etc. –

The method or recruitment, eligibility and other matters relating thereto shall be as specified in columns (5) to (13) of the Schedule.

SCHEDULE

Name of
the Post
Number of
Post
ClassificationLEVEL in
the Pay
Matrix
Whether
selection
post or non selection
post
Age limit
for direct
recruits
Educational
and other
qualifications
required for
direct recruits
1234567
(1) General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending
Not
applicable
Level – 13
in pay
matrix of
Rs.
118500 –
214100.
Not
applicable
Not
applicable
Not
applicable
(2)
Assistant
General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending on
work load
Not
applicable
Level - 10
is the pay
matrix of
Rs. 56100
- 177500
Not
applicable
Not
applicable
Not
applicable

Whether age
and other
educational
qualifications
prescribed
for direct
recruits will
apply in the
case of
promotees
Period of
probation,
if any
Method of
recruitment,
whether by direct
recruitment or by
promotion or by
deputation or
absorptions and
percentage of posts
to be filled by
various methods
In case of recruitment by promotion or
deputation or absorption, grades from
which promotion/ deputation/
absorption is to be made
If Departmental
Promotion Committee
exists, what is its
composition
Circumstances
in which
UPSC is to be
consulted in
making
recruitment
8910111213
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
– or--
(ii) with six years regular service in
LEVEL 12 in the Pay Matrix of
Rs. 78800 – 209200.
--or--
(iii) with ten years regular service in
LEVEL 11 in the Pay Matrixof
Rs 67700 - 208700
Desirable: Having experience in
Administration/ Establishment
The Selection Committee for deputation consists of:
(i) Additional Secretary, Ministry of Corporate Affairs -- Chairman
(ii) Joint Secretary, Ministry of Corporate Affairs -- Member
(iii) Joint Secretary, Ministry of Corporate Affairs -- Member

The Selection Committee for deputation consists of:-
(i) Chief Executive Officer, Investor Education and Protection Fund Authority, Chairman
(ii) General Manager, Investor Education and Protection Fund Authority Member
(iii) Director/ Deputy Secretary, Ministry of Corporate Affairs member (substituted vide IEPF (Recruitment, Salary and
other Terms and Conditions of Service of General Manager and Assistant General Manager) Amendment
Rules, 2018)
Not
Applicable
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
-or-
(ii) with two years regular service in
LEVEL 8 in the Pay Matrix of
Rs. 47600 - 151100
Desirable: Having experience in
Administration/Establishment
The Selection
Committee for
deputation consists of :
(i) Additional Secretary,
Ministry of Corporate
Affairs -- Chairman
(ii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
(iii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
Not
Applicable


8.4.6-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

6. Procedure for appointment on deputation. –

The following procedure shall be followed for making appointment on deputation to posts wherever prescribed in the Schedule:

(1) The Investor Education and Protection Fund Authority shall invite applications for the posts of General Manager and Assistant General Manager.

(2) The selection committee for evaluating the applications received under sub-rule 1 above shall be constituted as per column 12 of the schedule.

SCHEDULE

Name of
the Post
Number of
Post
ClassificationLEVEL in
the Pay
Matrix
Whether
selection
post or non selection
post
Age limit
for direct
recruits
Educational
and other
qualifications
required for
direct recruits
1234567
(1) General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending
Not
applicable
Level – 13
in pay
matrix of
Rs.
118500 –
214100.
Not
applicable
Not
applicable
Not
applicable
(2)
Assistant
General
Manager,
IEPF
Authority
*1 (2017)
*Subject to
variation
depending on
work load
Not
applicable
Level - 10
is the pay
matrix of
Rs. 56100
- 177500
Not
applicable
Not
applicable
Not
applicable

Whether age
and other
educational
qualifications
prescribed
for direct
recruits will
apply in the
case of
promotees
Period of
probation,
if any
Method of
recruitment,
whether by direct
recruitment or by
promotion or by
deputation or
absorptions and
percentage of posts
to be filled by
various methods
In case of recruitment by promotion or
deputation or absorption, grades from
which promotion/ deputation/
absorption is to be made
If Departmental
Promotion Committee
exists, what is its
composition
Circumstances
in which
UPSC is to be
consulted in
making
recruitment
8910111213
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
– or--
(ii) with six years regular service in
LEVEL 12 in the Pay Matrix of
Rs. 78800 – 209200.
--or--
(iii) with ten years regular service in
LEVEL 11 in the Pay Matrixof
Rs 67700 - 208700
Desirable: Having experience in
Administration/ Establishment
The Selection Committee for deputation consists of:
(i) Additional Secretary, Ministry of Corporate Affairs -- Chairman
(ii) Joint Secretary, Ministry of Corporate Affairs -- Member
(iii) Joint Secretary, Ministry of Corporate Affairs -- Member

The Selection Committee for deputation consists of:-
(i) Chief Executive Officer, Investor Education and Protection Fund Authority, Chairman
(ii) General Manager, Investor Education and Protection Fund Authority Member
(iii) Director/ Deputy Secretary, Ministry of Corporate Affairs member (substituted vide IEPF (Recruitment, Salary and
other Terms and Conditions of Service of General Manager and Assistant General Manager) Amendment
Rules, 2018)
Not
Applicable
Not
Applicable
Not
Applicable
Deputation By Deputation
Officers of the Central or State
Government
(i) holding analogous post on regular
basis.
-or-
(ii) with two years regular service in
LEVEL 8 in the Pay Matrix of
Rs. 47600 - 151100
Desirable: Having experience in
Administration/Establishment
The Selection
Committee for
deputation consists of :
(i) Additional Secretary,
Ministry of Corporate
Affairs -- Chairman
(ii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
(iii) Joint Secretary,
Ministry of Corporate
Affairs -- Member
Not
Applicable


8.4.7-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

7. Period of deputation.-

The period of deputation, including the period of deputation in another ex-cadre post held immediately preceding this appointment in the same or some other organisation or department of the Central Government, shall be three years from the date of beginning of the deputation for the posts below LEVEL 11 in the PAY MATRIX of Rs 67700 – 208700 and shall be five years for the posts of LEVEL 13 in the PAY MATRIX of Rs 118500 – 214100 or above. The period of deputation may be extended as per extant instruction of the Department of Personnel and Training issued in this regard.

(2) The applicant for deputation should not have attained the age of fifty six years on the last date of receipt of applications. The instructions issued by Department of Personnel and Training shall be applicable to officers and staff serving on deputation basis to the Investor Education and Protection Fund Authority


8.4.8-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

8. Conditions of service. –

The conditions of service of the General Manager and Assistant General Manager of the Investor Education and Protection Fund Authority including in matters of pay, allowances and leave shall be regulated in accordance with such rules and regulations as are as the extant time applicable to the officers and employees of the corresponding Level in the Pay Matrix of the Central Government.


8.4.9-IEPF Authority (Recruitment, Salary and other Terms and Conditions of Service of General Manager and Assistant General Manager) Rules, 2017

9. Accommodation.

The General Manager and Assistant General Manager of the Investor Education and Protection Fund Authority shall have the option of claiming House Rent Allowance in accordance with the rate prescribed by the Central Government as applicable to officers and employees of the corresponding Levels in the Pay Matrix of the Central Government:

Provided that they shall not be eligible for House Rent Allowance in case they are declared eligible for general pool residential accommodation and occupy such a Government accommodation allotted to them.


Investor Education and Protection Fund Authority (Appointment of Chairperson and Members holding of meetings and provision for offices and officers) Rules, 2016.

MINISTRY OF CORPORATE AFFAIRS NOTIFICATION

New Delhi, the 13th January, 2016

G.S.R. 26(E).—In exercise of the powers conferred by sub-sections (5), (6) and (7) of section 125 read with section 469 of the Companies Act, 2013 (18 of 2013), the Central Government hereby makes the following rules, namely:-

1. Short title, extent and commencement. –

(1) These rules may be called the Investor Education and Protection Fund Authority (Appointment of Chairperson and Members, holding of meetings and provision for offices and officers) Rules, 2016.

(2) They shall come into force on the date of their publication in the Official Gazette.

2. Definitions.– (1) In these rules, unless the context otherwise requires,—

(a) “Act” means the Companies Act. 2013;

(b) “Authority” means the Investor Education and Protection Fund Authority constituted under subsection (5) of section 125 of the Act;

(c) “Chairperson” means the chairperson of the authority appointed under rule (5) of these rules;

(d) “Company” means company as defined in sub-section (20) of section 2 of the Act and includes ‘corresponding new bank’ as defined in sub-section (d) of section 2 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970 (5 of 1970) and clause (b) of section 2 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 (40 of 1980);

(e) “Fund” means the Investor Education and Protection Fund (IEPF) established under section 125 of the Act;

(f) “Investor” means any person, who has committed money in shares, or debentures, bond or deposits under a scheme or plan of a company registered under the Act;

(g) “Member” means members of the Authority appointed under sub-section (6) of section 125 of the Act; and

(h) “Section” means the section of the Act.

(2) Words and expressions used in these rules and not defined herein but defined in the Act or in the Companies (Specification of Definitions Details) Rules, 2014, shall have the same meanings respectively assigned to them in the Act or in the said rules.

3. Establishment of the Authority.- The Authority shall be established on such date as may be notified by the Central Government.

 The Authority shall be a body corporate by the name aforesaid having a perpetual succession and common seal with a power to acquire, hold or dispose of  property, both moveable and immovable, and to contract and shall by the said name, sue or be sued.

4. Composition of the Authority.-

(1) The Authority shall consist of the following, namely:- (a) Chairperson (b) six members (c) Chief Executive Officer

(2) The Chief Executive Officer shall be the convenor of the Authority.

5. Chairperson of the Authority.- The Secretary, Ministry of Corporate Affairs shall be the ex-officio Chairperson of the Authority.

6. Chief Executive Officer of the Authority.- The Central Government shall appoint a person to be the Chief Executive Officer of the Authority.

7. Members of the Authority.- The Central Government may appoint the following as the members of the Authority, namely:—

(i) a person not below the rank of Executive Director to be nominated by the Reserve Bank of India as ex-officio member;

(ii) a person not below the rank of Executive Director to be nominated by the Securities and Exchange Board of India as ex-officio member;

(iii) four persons having special knowledge and experience of not less than fifteen years, in finance, management, accountancy or law with one person from each discipline and such person shall have special knowledge, or professional experience, which shall in the opinion of the Central Government shall be useful to the Authority.

8. The term of office of members of the Authority.-

(1) The members of the Authority appointed under clause (iii) of rule 7 shall hold office for a period of three years and shall be eligible for reappointment; Provided that no member shall hold office for more than three terms. Provided further that a member shall be eligible for reappointment after expiration of cooling off period of three years after his term.

(2) Notwithstanding anything contained in sub-rule (1), the Central Government shall have the right to terminate the services of a member appointed under clause (iii) of rule 7, at any time before the expiry of the period specified under sub-rule (1), by giving him notice of not less than three months in writing for reasons mentioned in sub-rule (4), and a member shall also have the right to relinquish his office, at any time before the expiry of the period specified under sub-rule (1), by giving to the Central Government notice of not less than three months in writing.

(3) The members appointed under clause (iii) of rule 7 shall hold office for a period of three years or till attaining the age of 65 years whichever is earlier.

(4) The Central Government shall remove a member from office if he—

(a) is, or at any time has been, adjudicated as insolvent;

(b) is of unsound mind and stands so declared by a competent court;

(c) has been convicted of an offence which, in the opinion of the Central Government, involves a moral turpitude;

(d) has, in the opinion of the Central Government, so abused his position as to render his continuation in office detrimental to the public interest. Provided that no member shall be removed under this sub-rule unless he has been given a reasonable opportunity of being heard in the matter.

9. The number of officers and employees of the Authority.- The Authority shall have such number of officers and other employees for rendering secretarial assistance and for its day to day functions as are set out in Schedule I to these rules.

10. Functions of the Authority.-

(1) Subject to the provision of the Act, the Authority shall have the duty to administer the Fund for Investor Education and Protection.

(2) The general management of the affairs of the Authority shall vest in the Chief Executive Officer, who may exercise powers, which may be authorised by the Authority.

(3) The Chief Executive Officer shall function under superintendence and direction of the Chairperson.

(4) Without prejudice to the generality of the provisions, the functions of the Authority shall include the following, namely:-

(a) The Authority may constitute permanent Committees for overseeing its functions;

(b) Each Committee shall comprise two members, Chief Executive Officer and concerned functional head, who shall be the secretary of the Committee. The Committee shall be headed by an ex-officio member;

(c) The Committee may invite experts with special knowledge and expertise, as and when required to assist it on any specific issue;

(d)The Authority may outsource, if required, work related to Funds and Shares Management.

(e) The broad functional divisions of the Authority shall be as per Schedule II to these rules.

11. Meetings.- (1) The Authority and its Committees shall meet at such times and places as it may consider necessary.

(2) The Authority and its Committees shall determine its own procedure for holding of meetings.

(3) If the Authority or its Committees has to hold a meeting elsewhere than in New Delhi, the approval of the Chairperson of the Authority shall be obtained indicating the reasons thereof.

(4) The Authority and the Committees shall meet at least once in a quarter and at least four such meetings shall be held in a financial year: Provided that not more than one hundred and twenty days shall intervene between two consecutive meetings.

(5) The meeting of the Authority shall be presided over by the Chairperson.

(6) If for any reason, the Chairperson is unable to attend a meeting, any other Member chosen by the Members present from amongst themselves at the meeting shall preside over the meeting.

(7) In case of difference in opinion on any question before the Authority, or any of its Committees, the views of the majority shall be taken as the final decision.

(8) More than fifty percent appointed Members of the Authority shall constitute the quorum for the transaction of business at a meeting of the Authority.

(9) Two members of a Committee shall constitute the quorum for the transaction of business at a meeting of the Committee.

(10) For journeys performed by a non-official member of the Authority or Committee or a special invitee in connection with the work of the Authority or Committee, the actual expenditure for attending the meeting shall be reimbursed, subject to maximum of such expenditure limit applicable to a Senior Administrative Grade officer of Government of India.

12. Member not to participate in meetings in certain cases.- A member, who has any pecuniary interest, direct or indirect in any matter that is brought up for consideration at a meeting of the Authority and its Committees, shall, as soon as possible after relevant circumstances have come to his knowledge, disclose the nature of his interest at such meeting and such disclosure shall be recorded in the proceedings of the Authority and its Committees, and the member shall not take any part in any deliberation or decision of the Authority and its Committees with respect to that matter.

13. Vacancies, etc., not to invalidate proceedings of Authority.- No act or proceeding of the Authority and its Committees shall be invalid merely by reason of-

(a) any vacancy in, or any defect in the constitution of the Authority and its Committees;

(b) any defect in the appointment of a person acting as a member of the Authority and its Committees;

(c) any laches in the procedure of the Authority and its Committees not affecting the merits of the case.

14. Protection of action taken in good faith.- No suit, prosecution or other legal proceedings shall lie against the Central Government or Authority or any officer of the Central Government or any member, officer or other employee of the Authority for anything, which is in good faith done or intended to be done under these rules.

Inserted vide notification date 05.09.2016.To view the notification,Click Here

Enforcement Notification [S.O. 125(E)] dated 13/01/2016


Enforcement Notification [S.O.2866(E)] dated 05/09/2016


IEPF Authority (Appointment of Chairperson and Members, holding of meetings and provision for offices and officers) Amendment Rules, 2016[GSR 853(E)]dated 05/09/2016


IEPF Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 [GSR 178(E)] dated 28/02/2017


The Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2019 dated 01.05.2019


The Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017 [GSR.1267E] dated 13/10/2017


The Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019


The Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Third Amendment Rules, 2017 dated 22.05.2018


General Circular 02/2017


General Circular 10/2016


General Circular 12/2017


General Circular 13/2016


Form IEPF – 2 (Effective from 20.08.2019)


Form IEPF – 4 (Effective from 20.08.2019)


Form IEPF – 5 (Effective from 20.08.2019)


Form IEPF 1 (Effective till 19.08.2019)


Form IEPF 2 (Effective till 19.08.2019)


Form IEPF 3


Form IEPF 3 (Effective from 28.02.2017)


Form IEPF 4 (Effective till 19.08.2019)


Form IEPF 5


Form IEPF 5 (Effective from 28.02.2017 to 19.08.2019)


Form IEPF 6


Form IEPF 6 (Effective from 28.02.2017)


Form IEPF-1 (Effective from 20.08.2019)


Form IEPF-1A (Effective from 20.08.2019)


Form No. SH-1 Share Certificate


IEPF – 7 w.e.f.,22.05.2018


Schedule I -IEPF(Accounting, Audit, Transfer and Refund) Rules, 2016

SCHEDULE

REGISTERS AND BOOKS OF ACCOUNT TO BE MAINTAINED BY THE AUTHORITY

(i) Register of Shares transferred under sub-section (6) of section 124

(ii) Central Cash Book

(iii) Company wise Ledger

(iv) General Ledger

(v) Cashier’s Cash Book

(vi) Bank Ledger (vii) Register of Assets

(viii) Investment Register

(ix) Claim Register

(x) Refund Register

(xi) Suspense Register

(xii) Documents Register

(xiii) Any other register or Book as decided by Authority

Numbered vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

Schedule II -IEPF(Accounting, Audit, Transfer and Refund) Rules, 2016

Documents to be submitted to the Authority to register transmission of securities

A. Documentary requirement for securities held in physical mode
1. Where the shares are held singly with nomination:

1.1. Duly signed transmission request form by the nominee.

1.2. Original or copy of death certificate duly attested.

1.3. Self-attested copy of PAN card.

1.4. Original share certificate(s).

1.5. Any other government ID proof of the nominee.

2. Where the shares are held singly without nomination, the following documents in addition to the documents specified at paragraph 1 are required:

2.1 Affidavit from all the legal heirs made on appropriate non-judicial stamp paper- to the effect of identification and claim of legal ownership to the securities:

Provided that in case the legal heir(s) or claimant(s) is named in the succession certificate or probate of will or Letter of Administration, an Affidavit from such legal heir(s) or claimant(s) alone would be sufficient.

2.2 For value of securities up to Rs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application, one or more of the following documents:
(a) Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

(b)In the absence of the documents as mentioned at (a) above,

(i). No objection certificate from all legal heir(s) executed by all the legal heirs of the deceased holder not objecting to such transmission (or) copy of Family Settlement Deed duly notarized and

(ii). An Indemnity bond made on appropriate non-judicial stamp paper –  indemnifying the STA or Issuer Company.

2.3 For value of securities more than Rs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application: Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

3. Where the shares are held jointly with nomination:

3.1 Duly signed transmission request form by the nominee.

3.2 Original or copy of death certificate(s) of all the joint holders duly attested

3.3 Self-attested copy of PAN card.

3.4 Original share certificate(s).

3.5 Any other government ID proof of the nominee.

4. Where the shares are held jointly without nomination, the following documents in addition to the documents specified at paragraph 3 are required:

4.1 Affidavit from all the legal heirs made on appropriate non-judicial stamp paper- to the effect of identification and claim of legal ownership to the securities.

Provided that in case the legal heir(s) or claimant(s) is named in the succession certificate or probate of will or Letter of Administration, an Affidavit from such legal heir(s) or claimant(s) alone would be sufficient.

4.2 For value of securities uptoRs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application, one or more of the following documents:

(a) Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925.(39 of 1925)

(b) In the absence of the documents as mentioned at (a) above,

(i). No objection certificate from all legal heir(s) executed by all the legal heirs of the deceased holder(s) not objecting to such transmission (or) copy of Family Settlement Deed duly notarized and

(ii). An Indemnity bond made on appropriate non-judicial stamp paper – indemnifying the STA or Issuer Company.

4.3 For value of securities more than Rs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application:Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

B. Documentary requirement for securities held in DEMAT mode

1. Where the shares are held singly with nomination:

1.1. Duly signed transmission request form by the nominee.

1.2. Original or copy of death certificate duly attested

1.3. Self-attested copy of PAN card.

1.4. Copy of transaction statement duly certified by Depository Participant.

1.5. Any other government ID proof of the nominee.

2. Where the shares are held singly without nomination, the following documents in addition to the documents specified at paragraph 1 are required:

2.1 Affidavit from all the legal heirs made on appropriate non-judicial stamp paper- to the effect of identification and claim of legal ownership to the securities.

Provided that in case the legal heir(s) or claimant(s) is named in the succession certificate or probate of will or Letter of Administration, an Affidavit from such legal heir(s) or claimant(s) alone would be sufficient.

2.2 For value of securities uptoRs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application, one or more of the following documents:

(a) Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925.

(b) In the absence of the documents as mentioned at (a) above,

(i) No objection certificate from all legal heir(s) executed by all the legal heirs of the deceased holder not objecting to such transmission (or) copy of Family Settlement Deed duly notarized and

(ii) An Indemnity bond made on appropriate non-judicial stamp paper – indemnifying the STA or Issuer Company.

2.3 For value of securities more than Rs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application:Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

3. Where the shares are held jointly with nomination:

3.1 Duly signed transmission request form by the nominee.

3.2 Original or copy of death certificate(s) of all the joint holders duly attested

3.3 Self-attested copy of PAN card.

3.4 Copy of transaction statementduly certified by Depository Participant.

3.5 Any other government ID proof of the nominee.

4. Where the shares are held jointly without nomination, the following documents in addition to the documents specified at paragraph 3 above are required:

4.1 Affidavit from all the legal heirs made on appropriate non-judicial stamp paper- to the effect of identification and claim of legal ownership to the securities:

Provided that in case the legal heir(s) or claimant(s) is named in the succession certificate or probate of will or Letter of Administration, an Affidavit from such legal heir(s) or claimant(s) alone would be sufficient.

4.2 For value of securities uptoRs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application, one or more of the following documents, namely:-

(a) Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

b) In the absence of the documents as mentioned at (a) above,

(i) No objection certificate from all legal heir(s) executed by all the legal heirs of the deceased holder(s) not objecting to such transmission (or) copy of Family Settlement Deed duly notarized and

(ii) An Indemnity bond made on appropriate non-judicial stamp paper – indemnifying the STA or Issuer Company.

4.3 For value of securities more than Rs. 2,00,000 (Rupees Two lakh only) per issuer company as on date of application:Succession certificate or probate of will or letter of administration or court decree, as may be applicable in terms of Indian Succession Act, 1925. (39 of 1925)

Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

Schedule III -IEPF(Accounting, Audit, Transfer and Refund) Rules, 2016

Documents to be submitted to the Authority in case of loss of securities held in physical mode.
1. Notarised copy of FIR/ Police Compliant containing information of security holder, holding details, folio number and distinctive numbers of share certificate.

2. Surety Affidavit of value equal to market value that of shares as on date of execution along with his Proof of identity like Pan Card of sureties duly attested by Notary.

3. Indemnity bond by security holder on a non-judicial stamp paper of requisite value duly attested by Notary Public by the person, in whose name the original share certificate are being issued that he has not sold / disposed off the involved shares or acted in any manner by which any interest of third party would have been created.

4. Copy of advertisement issued in at least one English language national daily newspaper having nationwide circulation and in one regional language daily newspaper published in the place of registered office of company, if the market value of the shares is greater than Rs 10,000.

Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

Schedule IV -IEPF(Accounting, Audit, Transfer and Refund) Rules, 2016

Procedure to be followed while disposing the claims

The company shall be responsible for verifying the genuineness and entitlement of the claimant by doing the necessary verification through Aadhar Card, PAN Card, Passport, any other Government ID proof, matching of signature and photo etc. The company shall verify such documents as may be required and enumerated in form IEPF-5 and retain the originals submitted by the claimant. The company shall be responsible to verify the amount and shares involved in the claim according to the e-filings made by it to the Authority. The company shall submit e-verification report to the Authority.

2. “The Authority shall follow following indicative procedures while disposing the claims:

(i) Completeness of all the information provided in Form No. IEPF-5.

(ii) Matching of information in the e-form with the scanned documents attached with the claim.

(iii) Affidavit and other supporting documents viz. Gazette Notification for name change, marriage certificate, other identity proof etc. for change orvariations in name in various documents, share certificates etc.

(iv) Affidavit and other supporting documents for change or variations in address in various documents, share certificates, current address and address recorded in share certificate or Form No. IEPF – 4 or other places.

(v) Indemnity on stamp paper of appropriate value in the name of claimant as per Stamp Act

(vi) Verification of the PAN details of the Claimant with Client Master List (CML) and with the Government data base.

(vii) In case of claim related to physical securities, authentication of scanned copy of the certificate attached with Form No. IEPF-5 e-form by the company.

(viii) Verification and matching of DEMAT Account No., Name of claimant, PAN, Address from the CML.

(ix) Matching of CML of unclaimed suspense account in case the transfer of shares has taken place from the unclaimed suspense account from the company. Verification of transaction statement of the unclaimed suspense account of the company. At any point of time, details of every investor whose shares have been transferred from unclaimed suspense account, may be called from depository

(x) The details of amount due to the claimant are to be verified from e form IEPF-1 or INV-1 or IEPF-1A. In case of non- availability of the data in MCA system, proportionate deductions in the refund amount can be made.”.

3. In addition to the above, the authority may seek any other documents, clarification etc. from the claimant or the company as and when required for disposing the claim.

Inserted vide the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2019 dated 14.08.2019 w.e.f., 20.08.2019. To view the Notification, Click Here.

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