Pursuant to the provisions of Section 123 and 125 of the Companies Act, 2013, the amounts of dividends remaining unclaimed for a period of seven years shall be transferred to the Investor Education and Protection Fund (“IEPF”).
Further, Ministry of Corporate Affairs has notified new rules namely “Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016” which have come into force from September 7, 2016 and Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 which have come into force from February 28, 2017 (“IEPF Rules”). The said Rules, amongst other matters, contain provisions for transfer of all shares to DEMAT Account of Investor Education and Protection Fund Authority in respect of which the beneficial owner has not encashed any dividend warrant during last seven years.
As required under the said Rules, the Company has published a Notice in the newspapers inviting the Members attention to the aforesaid Rules. The Company has also sent out individual communication to the concerned Members whose shares are liable to be transferred to IEPF Account, pursuant to the said Rules to take immediate action in the matter.