Investor Education & Protection Fund Authority

Ministry of Corporate Affairs

 

WHAT

Investor Education & Protection Fund Authority signs Memorandum of Understanding with Bank of Baroda for Investor Awareness.

 

INVESTOR EDUCATION & PROTECTION FUND

• IEPF is for promotion of investors’ awareness and protection of the interests of investors.
• Investor Education and Protection Fund (IEPF) has been set-up under Section 205C of the Companies Act, 1956 by way of the Companies (Amendment) Act, 1999.

 

As per the Act, the following amounts which have remained unclaimed and unpaid for a period of seven years from the date they became due for payment shall be credited to the IEPF:-

1. Unpaid dividend accounts of the companies
2. The application moneys received and due for refund
3. Matured deposits
4. The interest accrued in the amounts referred to in clauses (a) to (d)
5. Matured debentures
6. Grants and donations by the Central Govt., State Govt., companies or any other institutions
7. The interest or other income received out of the investments made from the Fund.

 

The Fund has been established with a view to support the activities relating to investor education, awareness and protection. Following are the objectives/ activities of the Fund:

1. Educating investors about market operations
2. Equipping investors to analyze information to take informed decisions
3. Making investors aware about market volatilities
4. Empowering the investors by making them aware of their rights and responsibilities under various laws
5. Continuously disseminating information about unscrupulous elements and unfair practices in securities market and
6. Broadening the investors’ base by encouraging new investors to participate in securities market
7. Promoting research and investor surveys to create a knowledge base that facilitate informed policy decisions.

 

Source: PIB

 

READ MORE PIB UPDATES

• Neutrino Observatory in Tamil Nadu
• National Florence Nightingale Awards
• The Transgender Persons (Protection of Rights) Bill, 2019
• Tarapur Atomic Power Station (TAPS) Project
• Human Space Mission: Gaganyaan
• Bharat Bond Exchange Traded Fund
• Indian Navy Day
• INAS 314 – “RAPTORS”
• Mission 41K