Ministry of Corporate Affairs has issued a clarification pursuant to second proviso to Rule 6 of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017. According to the Rule, where the seven year period under sub-section (5) of section 124 is completed during September 7, 2016 to May 31, 2017, the due date for transfer of such shares by companies is May 31, 2017.
The Investor Education and Protection Fund Authority is in the process of finalizing the modalities for transfer/transmittal of shares from companies accounts to the Demat account of the IEPF Authority. It is considering opening special Demat account and till opening of Demat accounts, the due date for transfer of shares stands extended.
The Companies are advised to complete all formalities, as laid down in the aforesaid Rules without waiting for the fresh dates. Companies which have already published notice in newspaper and send notices to the shareholders need not give the fresh notices again due to this extension.
A revised due date for transfer/transmittal of shares is expected to be notified soon by MCA.
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General Circular No. 06/2017
No.11/06/2017-IEPF
Government of India
Ministry of Corporate Affairs
5th Floor, “A” Wing,
Shastri Bhawan, Dr. R.P. Road
New Delhi-110001
Dated: 29.05.2017
To
All Stakeholders,
Nodal Officer’s (IEPF) of Concerned Companies
All Regional Director’s & Registrar of Companies of Min of Corp. Affairs
Subject: Clarification regarding due date of transfer of shares to IEPF Authority
Sir/ Madam,
Pursuant to second proviso to Rule 6 of Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Amendment Rules, 2017 notified on February 28, 2017, where the seven year period provided under sub-section (5) of section 124 is completed during September 7, 2016 to May 31, 2017, the due date for transfer of such shares by companies is May 31, 2017.
2. The modalities for transfer/ transmittal of shares from companies accounts to the demat account of the IEPF Authority are being finalized with the depositories. IEPF Authority is considering to open special Demat account and till opening of demat accounts, the due date for transfer of shares stands extended. In view of this, a revised due date for transfer/ transmittal of shares shall be notified soon.
3. Companies, are advised to complete all formalities, as laid down in the aforesaid Rules without waiting for the fresh dates. Companies which have already published notice in newspaper and send notices to the shareholders, need not give the fresh notices again due to this extension.
4. This issues with the approval of Competent Authority.
Yours faithfully,
(Monika Gupta)
Deputy Director
Copy to:-
- CEO, IEPF Authority
- AO, IEPF Authority/ AGM, IEPF Authority
- E-Governance Cell/ MCA and to place this circular on Ministry’s/ Authority website.
- Guard File.
