Investor Education And Protection Fund:
Union Finance Minister introduced the Banking Laws (Amendment) Bill, 2024 which proposes to enable the transfer of unclaimed dividends, shares and interest or redemption of bonds to the Investor Education and Protection Fund (IEPF).
- Investor Education and Protection Fund has been established under Section 205C of the Companies Act, 1956 by way of the Companies (Amendment) Act, 1999.
- The following amounts that remained unpaid and unclaimed for a period of seven years from the date they became due for payment are credited to the Fund:
- Amounts in the unpaid dividend accounts of the companies
- The application money received by companies for allotment of any securities and due for refund
- Matured deposits with companies
- Matured debentures with companies
- Grants and donations are given to the fund by the Central Government, State Governments, companies or any other institutions for the purposes of the Fund
- The interest or other income received out of the investments made from the fund
- This fund is managed by the Investor Education Protection Fund Authority (IEPFA)
- IEPFA was established in 2016 under the Companies Act, of 2013.
- Nodal Ministry:Ministry of Corporate Affairs
