Shares that are transferred to IEPF can be recovered and so as the dividend too. Unclaimed dividend of the active shares can be recovered or claimed from IEPF.
Dividends that are actual funds of investment growth can encashed respective to the growth of the share value overtime from date of investment when the investor is listed as shareholder with the company.
The money invested by the shareholder grows with the company’s share value which is traded in the stock markets. The firm’s dividend is let to be claimed by the
shareholder when he/she wishes to. The dividend that is to be claimed will be based upon the percentile of your shares with the company.
We can help you on recovering the dividends from the firms. We as a team were able achieve our targets on recovering the dividends of our customers who are the shareholders of the firms.
Claim your dividends so accurately with the help of our team and become richer upon encashing the dividends that company provides you.
Companies issue dividends to their shareholders in the form of interim dividends, quarterly, half-yearly, and annual dividends according to the percent of the shareholding. The dividend can be sent in the form of cheques to the addresses or can be deposited into the Demat accounts directly.
The dividend can be Rs. 1 or more, but it has to be deposited as it is. Worrying about the fee for depositing the dividend cheque and not depositing it is not the right way of claiming dividends. To continue claiming the dividends sent by the company, you must deposit the dividend cheques no matter what the amount of the dividend is. Failing in depositing the dividends continuously for 7 years or more will lead to the transfer of shares and dividends to IEPF where it becomes a bit difficult to claim back the shares and dividends again.
So, we advise you to deposit the dividends regularly and keep the flow of shareholding very smooth.
Sometimes and in situations, companies issue dividends to their shareholders by sending the directly to their Demat accounts. And the information about the dividends being deposited to the Demat accounts will be sent to the home address physically in the form statements.
We at SharesRecoveryIndia.com have received many cases where shareholders hold a Demat account and shares in them but do not have authority over the shares. The exact reason for people not having authority over the shares is that the shares and dividends were transferred to IEPF because the dividend was not claimed for 7 years or more. Though the shares are in Demat form sometimes the dividend may be sent in the form of cheques physically. Failing in depositing those dividends for a longer period can cause the shares in Demat accounts to be transferred to IEPF.
Since this information is not known to most of the shareholders that the shares and dividends are transferred to IEPF is because the Demat accounts are not being operated regularly. If you do not have authority over your shares, then that means your shares are with IEPF. You can claim the shares and dividends from the IEPF and regain the authority over your shares.
If the dividends which are sent by the companies are not deposited by the shareholders are called as unpaid dividends or unclaimed dividends. These unpaid dividends or unclaimed dividends are transferred to IEPF. As a result of not depositing the dividends, the unpaid or unclaimed dividends in India summed up to 18000+ crores INR and the total shares value of unclaimed shares within IEPF summed up to 3,00,000+ crores INR.
Shareholders approach SharesRecoveryIndia.com asking “How can I claim my unclaimed shares and unclaimed dividends?”, “What is the worth of my shares?” etc.,
We ask the shareholders or investors who approach us for proof of shareholding like dividend cheques, folio number of shares certificate, statements of the Demat account, etc., For the shareholders or investors who produce the above documents and prove that they own shares in a company, we contact the respective company and help them claim the shares and dividends from IEPF.
The recovery of dividends for the shares has many reasons and factors. Likewise, we also receive cases where the dividend recovery is done in different ways for different cases.
Shareholders with physical shares certificate handy, might not deposit the dividends sent by the company for two reasons. One is worried about the depositing charges and the other is that they were unable to receive the dividend cheques because of an address change.
If you change your address and live there for the requirement in your profession, you cannot receive the dividends cheques to the new address because the address will be different from the address that registered while buying the shares. To receive dividends cheques to the new address, you must update and edit the new address with the company and shares. If you were unable to receive and deposit the dividends for 7 years and more, then the dividends and shares will be transferred to IEPF.
As recovering dividends from IEPF is a difficult process, we at SharesRecoveryIndia.com make it easy for you. For the dividend recovery, we require documents like original shares certificate, KYC documents like Aadhaar and PAN, and new residential proof in case of an address change.
As we maintain huge communication with the companies, we approach the companies and process for recovering the dividends from IEPF.
Is your physical shares certificate lost? And want to recover dividends?
You have landed in the right place and we have a better solution for you.
Shares bought in earlier days were registered physically on a shares certificate. Shares may be bought once and the shares certificate is stored, but dividends for those shares are given multiple times. Receiving dividends and depositing them is an important factor in the share market world. Depositing the dividends regularly will keep your shares active and live from being transferred to IEPF. And The time limit for depositing the dividend cheque is 3 months from the date of issue. If the cheque expires, you can ask for a re-issue for the cheques. But failing to deposit the dividend on the cheques for 1 year, those dividends will be treated as unclaimed dividends. If this is continued for 7 years or more, the dividends will be transferred to IEPF. IEPF is an authority established in the year 2016, which works under MCA.
If your shares certificate is lost/burnt/theft, you can apply for a duplicate certificate and recover dividends. If the shares are still with the company but the shares certificate is lost, you can apply for a duplicate shares certificate with the company’s secretary or registrar. After verifying your ownership of the shares, they will issue duplicate shares certificates and will re-issue the dividends for the shares.
Unclaimed dividends are those which are transferred to IEPF (Investors Education and Protection Fund) if the dividend is not claimed by the shareholder for 7 years and more. For example, if a shareholder did not deposit the dividend for the year 2016, then that dividend will be transferred to IEPF in the year 2023. If the shareholder deposits the dividends in between those 7 years, the shares will be active and live. The shares will also be transferred to IEPF if the dividends are not at all deposited continuously for 7 years.
If you lost your physical share certificate and did not deposit the dividends for 7 years due to address change or any other factor, and the shares and the dividends are transferred to IEPF, it is a long process to recover the unclaimed shares and unclaimed dividends from IEPF.
As it is a long process, we at SharesRecoveryIndia.com make it easy for you. To recover dividends from IEPF, you have to prove the ownership of the shares.
If physical shares certificate is lost, firstly you have to complain to the judicial police station and you have to advertise in the local and national newspapers that your shares certificate is lost.
The company might have issued bonuses for the shares or split the face value of the share. For example, you bought 400 shares in a company in 2014. In the year 2016, the company issued a 1:1 bonus for the shares, which means the number of shares will add up to 800. In the year 2019, the company split the face value from 10 to 2, which means the shares will sum up to 4000. So, the number of shares on the original shares certificate will be different from the shares you own, if the company gives a bonus and split the shares. Then a duplicate shares certificate will give an updated count of the shares you own.
SharesRecoveryIndia.com will help you to apply for a duplicate shares certificate for the total number of shares you own as of the date of application.
The application for a duplicate shares certificate will be made to the company’s secretary or registrar but we require a few documents like Aadhaar and PAN, an FIR copy for the lost shares certificate, and a canceled cheque leaf from you.
As soon as we get the duplicate shares certificate, we start the process of recovering the shares from IEPF.
At SharesRecoveryIndia.com, we were very successful in recovering our clients’ dividends from IEPF. We recovered dividends of about 8+ crores from IEPF in 4 years. We are very glad that we could help our clients and make them happy. We welcome your issues and clear them with positive results.
At the beginning of SharesRecoveryIndia.com, we mostly received cases that were associated with dividends of dead shareholders or investors. Few of the cases mentioned below might relate to the problems you are facing with.
SharesRecoveryIndia.com recovered the dividends of the shareholders who were dead and handed over them to the legal heirs of the shareholders.
The terminology of Unclaimed dividends arouses for the cases where the shareholders are dead and the dividends that are transferred to IEPF. Half of the cases that SharesRecoveryIndia.com dealt with were related to unclaimed dividends and most of our clients who approached us to recover the dividends belong to Hyderabad in Telangana, Bangalore in Karnataka, and Delhi the Capital of India.
A client Mr. Kishore from Bangalore, Karnataka who is currently living in Hyderabad, Telangana searched for IEPF Hyderabad consultants on the internet and approached us and explained the issue he was facing with the dividends of his father’s shares. According to his information, his father Mr. Sampath owned 400 shares in a company. Sampath did not let his family members know about the shares he bought. But after Sampath’s death, a friend of his Mr. Prabhu visited Kishore and spoke about the shares Sampath owned.
Kishore only had information but did not have any proof. With that information, SharesRecoveryIndia.com researched and found out that Sampath owns 4000 shares after the bonuses and the splits issued by Kotak Mahindra Ltd., and those were also transferred to IEPF in the year 2016. And those shares are valued up to 55,00,000 lakhs INR in the year 2019 and the dividend issued by the company summed up to 1.5 lakhs INR till 2019.
As there was no documented proof for the shares, we applied for duplicate shares certificate and we used documents like IEPF Form-5, family member certificates, death certificates, no objection certificate, and KYC documents to process for recovering the shares and dividends from IEPF.
We successfully recovered and transferred the shares worth Rs. 55,00,000/- to the Demat account in the name of Kishore and handed over the dividends worth 1.5 lakhs INR.
A person named Srinivas Rao is an employee of Bharat Dynamics Ltd. (BDL), Hyderabad. The company offered shares for its employees at a discount in IPO (Initial Public Offer) on the share price. Srinivas Rao bought 200 shares from BDL. He added his wife’s name as a nominee while buying the shares. Later in the year 2015, he got a better opportunity in TCS and he settled in Delhi with the whole family. But unfortunately, Srinivas Rao and his wife both died together in an accident in the year 2018.
The legal heir of Srinivas Rao, Subbaraj who is his son is an employee at an MNC company and he holds Demat accounts with Sharekhan and Zerodha. While he was searching for IEPF Hyderabad consultants, he got to know from a friend that SharesRecoveryIndia.com can solve this issue. He approached us with a dividend cheque in the name of Srinivas Rao. With that dividend cheque, we researched and found out that the company frequently issued dividends by the time Srinivas Rao died. Also, we found out that the dividend was unclaimed for 9 years. The shares were transferred to IEPF in the year 2020.
Then our team worked and processed for recovering the unclaimed dividends and shares from the IEPF and transferred shares in the name of Subbaraj in his Demat account, as the nominee of Srinivas Rao is also dead. If the nominee was alive, then the share will be transferred in the name of the nominee. But as the nominee is dead the shares are transferred to the legal heir.
The shareholders who bought the shares jointly are called joint shareholders. That means there will be two owners for the same shares. When any operation or trading related to shares happen, both the shareholders must be present.
In earlier periods, lacking awareness about future problems that arise from holding joint shares, people bought shares jointly with two or more names on a physical shares certificate. They even held a joint bank account. But nowadays, even if there are joint shares in the name of people it is not worth it when those people are not partners.
We at SharesRecoveryIndia.com received many cases that are related to joint shareholders. One of the cases is:
Three people started a medical agency as partners and invested money to buy shares in Nestle India jointly. They held a joint bank account together for the purpose of business and used the same account for shares also. But now one of those three people is physically disabled and is bedridden for a long period, the second one settled in the USA and the third one is staying in Hyderabad, Telangana. When the first person is bedridden, they stopped depositing dividends, and meanwhile, the second one traveled to the USA. Because the dividends are unclaimed for a longer period, the shares and the dividends were transferred to IEPF. The person who is staying in Hyderabad, contacted us searching for IEPF Hyderabad Consultants to solve this issue and recover the shares and the dividends from IEPF.
In the beginning, we started this case the two other people stated no objection to transferring the shares in the name of the person in Hyderabad. But for that, documents like no objection certificates were not available as the legal heirs of those two people were not available because they were busy in their professions.
But as per our requirement, they gathered together and gave no objection certificate. Then we continued the process and recovered the dividends worth 10 lakhs INR and the shares worth 1.5 Crores INR from IEPF. This whole process took us 2 years because there were many hurdles and challenges. But our research team at SharesRecoveryIndia.com tackled every challenge and made the task to be complete successfully.
As per our experience, it is not so advisable to maintain joint shares.
Shareholders will have all the authority over the shares they bought. But in case the shareholder dies, the authority over the shares is given to the nominee on priority. Then the next priority will be given to the legal heirs if the nominee states no objection. If the legal heir is minor i.e., below 18 years then the shares can be transferred to the minor’s name but they cannot operate the shares until they turn major i.e., 18 years old.
SharesRecoveryIndia.com is now widely dealing with these types of cases. A recent case that we dealt with will help you to understand how to recover shares dividend in case the legal heir is minor.
A person named Ravi a resident of Hyderabad bought shares from the company HIL (Hyderabad Industries Limited). He added his wife’s name as a nominee for the shares. But he passed away at an early age and had a minor son named Bharat. After he passed away the dividends were not claimed for 7 years and so the shares and dividends were transferred to IEPF.
But his wife approached us and wanted to recover the shares and the dividends from IEPF. Also, she wanted the shares to be transferred to the name of her son Bharat.
We started the process with documents like IEPF Form-5, the death certificate of Ravi, KYC documents, no objection certificate from Ravi’s wife, an affidavit, family member certificate, legal heir certificate, physical shares certificate, and succession certificate.
We successfully recovered the shares worth 20 lakhs INR and the dividends worth 2 lakhs INR and transferred the shares in the name Bharat. But Bharat cannot operate the shares on his own until he turns major.
For the shares that are in digital mode or Demat, there are cases where the shares and dividends are transferred to IEPF. Because even if the shares are in Demat, few companies will send the dividends in the form of cheques. If those dividend cheques are not deposited for a period of 7 years, then those shares will be transferred to IEPF.
These situations occur when the shareholders change their address to a new location and are unable to receive the dividend cheques and deposit them. Then the shares and the dividends will be transferred to IEPF even if the shares are in Demat accounts.
A lot of shareholders are not aware that the shares in Demat mode will become inactive if the dividends are not claimed regularly. This happened to many shareholders who thought that the shares in Demat accounts are safe which is not true. The shares and the dividends will be transferred to IEPF if the dividends are not deposited for 7 years.
Claiming and depositing the dividend is an important aspect to keep the shares active. So, if you are a shareholder and changed your address as per your professional requirements, it is necessary to update your address with the company. By the time you update the new address if the old cheque expires you can ask for a re-issue for a new dividend cheque.
If your shares and dividends in Demat accounts are transferred to IEPF, then those can be recovered following some procedures. SharesRecoveryIndia.com will help you in recovering the shares and the dividends from IEPF.
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