The world of investments is complicated, and it is not uncommon for investors to lose track of their investments. While forgetfulness is one of the reasons why shares and dividends go unclaimed, it is not the only factor.
There are numerous factors, such as mismanagement, lack of awareness, or unexpected circumstances, leading shares and dividends to go unclaimed. However, with Investorlink, a pioneer in unclaimed investment recovery, thousands of clients have easily recovered their lost investments.
At Investorlink, we believe that no investment should be lost forever. With over 117 crore unclaimed shares valued at ₹40,000 to ₹50,000 crore currently in the Investor Education and Protection Fund (IEPF), the scope of recovery is vast, and the opportunities for reclaiming lost investments are immense. Over the years, we’ve simplified this complex process, helping clients recover what was once thought lost. Our innovative approach, personalized support, and expert guidance have made us pioneers in the segment of unclaimed investment recovery.Monisha Chaudhary, Co-founder of Investorlink
The Magnitude of Unclaimed Shares
Before we discuss the details of the recovery of shares and dividends, let us first dive into the magnitude of unclaimed shares. According to reports, as of March 31, 2023, a massive 117 crore shares lay unclaimed in India's Investor Education and Protection Fund (IEPF). These shares are believed to be valued at a whopping ₹40,000 to ₹50,000 crore. Besides these shares, the IEPF is also estimated to hold dividends amounting to ₹5,700 crore.
The Role of IEPF
Let us understand what IEPF is and its role in unclaimed investments. The Investor Education and Protection Fund, or the IEPF, was founded under Section 205C of the Companies Act, 1956, to encourage investor awareness and protect their interests.
The IEPF is pivotal in safeguarding unclaimed shares and dividends, assuring rightful owners claim their unclaimed investments. It is pertinent to mention that if shares and dividends are not claimed for seven straight years, they are automatically transferred to the IEPF. However, the owners are eligible to reclaim investments by following the due process. Unclaimed investments transferred to the IEPF remain in safe custody until the original owners, legal heirs, or authorized representatives initiate recovery. IEPF is critical in boosting financial transparency and protecting unclaimed investments.
How Investorlink Assists in Reclaiming Unclaimed Shares?
Investors whose unclaimed shares and dividends have been transferred to the IEPF need not worry anymore. Even though reclaiming unclaimed shares is challenging, Investorlink helps you simplify the lengthy procedures to facilitate a quick recovery. The unclaimed investment recovery company have assisted thousands of clients in managing their paperwork requirements, ownership issues and bureaucratic delays.
There is no denying that investors seeking recovery of shares face regulatory challenges and verification hurdles, which makes the process excruciating and time-consuming. However, their expertise and experience to steer past the complexities to enable clients to recover their unclaimed investments.
Despite the challenges, Investorlink offers comprehensive assistance in recovering the investments from the IEPF. Investors can make an easy recovery by following the below-mentioned stepwise process:
Information Gathering
Investors must collect all the relevant documents, including share certificates, dividend records, allotment letters, and old income tax returns, to validate their claims.
KYC Updates
Investors must update their Know Your Customer (KYC) details, which include signatures, bank accounts, and Demat account information, facilitating hassle-free identity checks.
Duplicate Certificates
Investors must apply for duplicate share certificates if they have misplaced or lost their original certificates.
Transmission Process
The legal heirs or authorized representatives must initiate the transmission process if the original shareholder is deceased. However, such cases may also involve court proceedings depending on the investment's value.
File IEPF Form 5 Online
The investors or their legal heirs must file IEPF Form 5 online on the official website of the Ministry of Corporate Affairs (MCA). However, they must also send physical copies of the documents to the company's nodal officer.
Even though the IEPF recovery process is exhausting, the Investorlink team ensures the right approach is followed while assisting its clients in recovering their unclaimed investments within 6 to 18 months.
Investorlink's Role in Simplifying Investment Recovery
Investorlink offers expert consultation to clients, helping simplify their asset recovery by streamlining documentation, ensuring regulatory compliance, and expediting claim processing. Their guidance minimizes process delays, resolves ownership disputes, and helps investors reclaim unclaimed shares and dividends efficiently. They have recognized the complexities involved in the process of developing a streamlined approach to assist investors:
Personalized Consultation
Investorlink experts offer customized consultations based on the understanding of the client's unique situation. After carefully evaluating the scope of unclaimed assets, they formulate a personalized recovery plan.
Document Compilation
Investorlink’s team has the expertise to support clients in collecting all the relevant documents required to initiate the recovery process and ensure nothing is overlooked.
KYC and Compliance Assistance
Investorlink streamlines the KYC updating process for the clients to ensure that all relevant details, including bank information and Demat account particulars, align with the regulatory compliance requirements.
Liaison with Authorities
Their professional consultants serve as an intermediary, coordinating with companies, registrars, and government authorities to expedite the verification and approval procedures.
Continuous Support
Investorlink offers continued support to its clients, helping them with the latest updates. They strive to offer pre-and-post recovery support, facilitating transparency and peace of mind.
We receive 1 inquiry every 5 minutes, and one thing is common among all the investors- their disappointment level. We ensure timely recovery of unclaimed, lost, forgotten investments and bring hope to the lives of millions of hopeless investors.Monisha Chaudhary concluded after this statement.
Case Study – Recovery of Shares
Investorlink shares a successful track record of assisting its clients with successful share recovery. They helped an 85-year-old client recover his Hindustan Unilever shares not too long ago. They also assisted an NRI client in overcoming geographical impediments through their remote service assistance, aligning with the legal compliance framework for the successful recovery of shares. Hundreds of cases were resolved by the Investorlink team, and that too, within a span of 6 months.
There is a substantial number of unclaimed shares and dividends in IEPF, which, if unclaimed, continue to lie dormant. Investorlink team handle procedural complexities, guiding clients towards a successful recovery process. The venture is revolutionizing the investment recovery ecosystem with a network of 200+ ROS experts.