A bank account is linked to the Demat account and the stock dividend is deposited in that bank account. It will be held by some shareholders in the physical form and they will go on getting physical warrants. A claim can be made for reissued in case they are not able to get the dividend. One can make this claim only up to 7 years from the particular date on which that dividend became due for compensation.
Request letter – It is vital to make a request letter to the registrar plus the transfer agent of the company. The folio number should be mentioned in the event of physical shares, client ID, or depository participant ID, and the time for which it was not possible to receive the dividend. The shares must be signed by every single shareholder if they are held jointly.
Documents – Make sure to provide the out-of-date dividend warrant together with the request letter. Moreover, it is essential to produce the client master list with an indemnity bond in a format recommended by the company.
The Processing – After submitting the documents, the transfer agent will scrutinize and verify all the details in the request letter with the supporting details. In case these do match, a demand draft for the unresolved balance will be issued by the transfer agent.
Claim period – After the conclusion of 7 years, these amounts will be transferred to the IEPF which has been set up by the Ministry of Corporate Affairs. You cannot make any IEPF claim after you transfer the amount.
The process of claiming an IEPF unclaimed dividend
- The IEPF-5 form has to be downloaded from the IEPF website. Go through the guidelines provided on the instruction or website kit with the e-form meticulously before filing the form.
- You need to save the form on the computer after filing it. Then it has to be submitted once you have filled it up. While you submit the form, you must go through the guidelines provided on the website. An acknowledgment is going to be generated in case the uploading is done successfully. This acknowledgment will indicate the SRN that you must note. So that it will be possible to track the form in the future.
- Once the form is uploaded, the printout of the IEPF-5 has to be taken.
- Next, you need to submit an indemnity bond in the original acknowledgment copy. As well as the e-form self-attested copy along with other documentation.
- The concerned company will be verifying the claim completed in every aspect. A refund is going to be released in favor of the Aadhaar linked bank account of the claimants utilizing electronic transfer by the IEPF Authority.
- One does not need to pay any charges for filing the IEPF-5 form.
- You must ensure not to become misguided by any middlemen or agents while performing the above procedures for claiming the IEPF unclaimed dividend.
Let us hope that this article will help you to understand the process of claiming the IEPF refund. Contact us for more information.