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Published Dec 23, 2024

Legal Heirs and IEPF Claims: Everything You Want to Know about Recovery of Ancestral Shares

The financial situation concerning such issues is so complex that there are a large number of Indian families facing such challenges related to unclaimed assets. Among such wealth, a tremendous amount of ancestral shares exists with the Investor Education and Protection Fund (IEPF). As the claim and shares recovery service experts, Clearclaim will guide you on how to reclaim your family’s legacy.

The scale of assets in India:

How shocking statistics tell the tale of Indian unclaimed assets Recent Indian statistics are truly alarming regarding unclaimed assets in India.

  • IEPF Holdings: Rs 5,714 crore in claims of dividends and interest held in IEPF as of July 2023. This amount does not include the value of unclaimed shares.
  • Unclaimed Shares Value: According to the latest study regarding 1,561 listed companies, as of August 2024, Rs 82,199 crore worth of unclaimed shares were transferred to the IEPF.
  • Totals Unclaimed Assets:All assests, including bank deposits and insurance policies, provident funds, etc., is concerned, then the figure is something much more than Rs 2 lakh crore.
  • Annual Growth Rate: The annual growth rate of unclaimed assets is approximately 15-20%, an amount deserving immediate attention.

Why do ancestral shares keep landing into the IEPF?

  • There are several reasons for the tidal wave of unclaimed shares, Some heirs do not know about their ancestors’ investments. Old documents or missing nomination details create a sea of complications. The labyrinthine nature of inheritance may confuse many families. Emigrating families may lose track of ancestral investments. Constant updates in regulations confuse many more.
  • The IEPF Claim Process: A Step-by-Step Guide for Legal Heirs the recovery of ancestral share from IEPF forms a few steps:
  • Step 1: Verification: It confirms that the shares, indeed, have been received by IEPF using IEPF website.
  • Step 2: Documentation: All the associated documents should be collected, document proving identity and address, Original copies of share certificates, if provided. Legal heir certificate or succession certificate, Indemnity bond.
  • Submission of Form: Apply online using the MCA portal by filling out Form IEPF-5.
  • Physical Submission: The company goes through the claim.
  • Verification by the Company:The company goes through the claim.
  • Approval of the Claim: Once the above-mentioned verification process at the company’s end is complete and confirmed, the IEPF authority approves the claim.
  • Re-transfer of Shares: The shares are transferred back to the claimant’s demat account.
  • Practical Tips to Tackle IEPF Claim Process Staying updated: Regularly visiting the IEPF website to check for current information about unclaimed shares. Record Keeping Maintain an exhaustive record of all investment of your family. Nomination Update Ensure all investments have updated nomination records.
  • Acting swiftly: Be quick to initiate the recovery process when you come to learn about the unclaimed share.
  • Professional help: Take on professional assistance for complex and time-consuming processes. Recent IEPF Regulatory Changes Digital Initiatives Digital portals such as UDGAM were launched by the Government to facilitate easy searching. Widening scope Recent modifications widened the scope of such assets eligible for transfer towards IEPF.
  • Improvement in procedures: Streamlined the process of claiming claims but much is yet to change. Impact on Individuals and Financial Institutions Individuals: Generational loss is faced, as opportunities for financial prosperity are lost. The possibilities of permanent loss of assets hover.
  • Financial Institutions: Scrutiny of regulatory compliance gets higher. Need for improvement record-keeping and customer outreach prevails. The risk of tarnished reputations looms upon.

      • The Future Ahead:

    • Clearclaim Expertises in IEPF recovery. At Clearclaim, you will understand the. We are well equipped with the latest tools and knowledge that will guide you through your claim process.
    • Complete Asset Search:We assist you in identifying all the possible unclaimed assets.
    • Documentation Support: Our experts help you through the complex documentation process.
    • End-to-End Claim Management:We manage your entire claim process, from the submission of forms to final recovery.
    • Regular Updates:Keep abreast of the progress of your claim with our transparent communication.
    • Legal Expertise: Our team is well versed in the latest regulations and can handle complex legal scenarios.
    • Let not your family’s financial legacy be left unclaimed. With the increasing number of assets in IEPF and intricacies in recovery process it, this is really the right time to act today. With Clearclaim, help right return over your ancestral share by navigating the complex IEPF claim process. Connect with Clearclaim today so that you could start the quest of bringing back your ancestral richness. Visit:https://Clearclaim.in/ For free consultancy. Remember, your family’s financial legacy awaits the repossession of it. Let it be through Clearclaim- your reliable friend on such an important journey.