Executive Summary:
This notification amends the Investor Education and Protection Fund Authority (IEPF Authority) Accounting, Audit, Transfer and Refund Rules, 2016. It clarifies the procedure for transferring shares to the IEPF, including the treatment of such transfers as transmission of shares. It also sets a due date of October 31, 2017, for share transfers related to completed periods under section 124(5) of the Companies Act, 2013, between September 7, 2016, and October 31, 2017.
Key Points / Main Content:
Share Transfer Rules:
* Transfer of shares to the IEPF by companies is deemed transmission of shares, requiring adherence to transmission procedures.
* For physical shares, the Company Secretary/authorized person applies for a new share certificate on behalf of the shareholder.
* New share certificates must state they are "Issued in lieu of share certificate No..... for the purpose of transfer to IEPF" and be recorded in the register.
* Share certificate details must be in Form No. SH1 as per the Companies Share Capital and Debentures Rules, 2014.
* Companies must inform the depository to convert share certificates into DEMAT form and transfer them to the Authority.
Financial and Reporting:
* Amounts to be credited to the Fund must be remitted to the specified IEPF Authority account in Punjab National Bank.
* The IEPF Authority shall furnish a report to the Central Government regarding non-compliance of rules by companies when such non-compliance is discovered.
Nodal Officer:
* Every company that has deposited amounts to the Fund must nominate a Nodal Officer to coordinate with the IEPF Authority.
* Contact details (designation, postal address, telephone and mobile number, and company authorized email ID) must be communicated to the IEPF Authority within fifteen days from the date of publication of these rules.
* The company must display the Nodal Officer's name and email ID on its website.
IEPF5 Form:
* If the Authority does not receive the required documents within ninety days of filing Form IEPF5, the Authority may reject the form after giving the claimant thirty days to respond.
* If rectified documents are not received within ninety days of communication from the Authority, Form IEPF5 may be rejected after allowing the claimant thirty days to respond.
Impact Analysis:
Companies:
* Impact: Companies must adhere to revised procedures for transferring shares to the IEPF, treat the transfer as a transmission, and ensure timely transfer of shares. Companies must also nominate a Nodal Officer.
* Action Required: Implement the revised share transfer procedures, communicate Nodal Officer details to the IEPF Authority within fifteen days of rule publication, and display the Nodal Officer's details on the company website.
Shareholders:
* Impact: Shareholders are indirectly affected through the process of share transfer to the IEPF. They may be required to provide information or documentation to the company for the issue of new share certificates. Claimants filing form IEPF5 need to ensure timely submission of all documents.
* Action Required: Respond promptly to company requests for information or documentation related to share transfers.
IEPF Authority:
* Impact: The IEPF Authority is responsible for overseeing the transfer of shares and funds, monitoring compliance, and reporting non-compliance to the Central Government. It also handles the rejection of Form IEPF5 in case of non-receipt of documents or rectified documents.
* Action Required: Monitor companies' compliance with the amended rules and report any non-compliance to the Central Government. Process share transfers and fund remittances according to the new guidelines.
Key Entities Referenced
Companies Act, 2013: A law enacted by the Parliament of India that regulates Indian companies.
Investor Education and Protection Fund Authority: An authority established by the Central Government to administer the Investor Education and Protection Fund.
Investor Education and Protection Fund Authority Accounting, Audit, Transfer and Refund Rules, 2016: Rules governing the accounting, audit, transfer and refund processes related to the Investor Education and Protection Fund Authority.
Punjab National Bank: A major nationalized bank in India where the IEPF Authority maintains its specified account.
Form IEPF5: A form related to claiming refunds from the Investor Education and Protection Fund.
Companies Share Capital and Debentures Rules, 2014: Rules governing share capital and debentures of companies.
Amardeep Singh Bhatia: Joint Secretary who issued the notification.
New Delhi: The location where the notification was issued.
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EXTRAORDINARY
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PART II—Section 3—Sub-section (i)
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PUBLISHED BY AUTHORITY
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No. 845] NEW DELHI, FRIDAY, OCTOBER 13, 2017/ASVINA 21, 1939
ककककााााररररपपपपोोोोररररेेेेटटटट ककककाााायययय (cid:10)(cid:10) (cid:10)(cid:10)ममममं(cid:13)ं(cid:13)ं(cid:13)ं(cid:13)ााााललललयययय
अअअअििििधधधधससससचचूूचचूू ननननाााा
नई (cid:4)द(cid:6)ली, 13 अ(cid:11)ूबर, 2017
ससससाााा....ककककाााा....ििििनननन. 1111222266667777(अअअअ))))....————के(cid:21)(cid:22)ीय सरकार, कंपनी अिधिनयम, 2013 (2013 का 18) क# धारा 469 के साथ प(ठत
धारा 125 क# उप धारा (1), (2), (3), (4), (8), (9), (10) और (11), धारा 124 क# उप धारा (6) .ारा /द0 शि(cid:11)य2 का
/योग करते 5ए िविनधानकता8 िश9ा और सरं 9ण िनिध /ािधकरण (लेखा, सपं री9ा, अंतरण और /ितदाय) िनयम, 2016 को
और सशं ोिधत करने के िलए िन<िलिखत िनयम बनाती ह,ै अथात8 :्—
1. (1) इन िनयम2 का संि9A नाम िविनधानकता8 िश9ा और संर9ण िनिध /ािधकरण (लेखा, संपरी9ा, अंतरण और
/ितदाय) दसू रा सशं ोधन िनयम, 2017 है।
(2) य ेिनयम तारीख 13 अ(cid:11)ूबर, 2017 को /व0ृ ह2गे।
2. िविनधानकता8 िश9ा और संर9ण िनिध /ािधकरण (लेखा, सपं री9ा, अतं रण और /ितदाय) िनयम, 2016 (िजस े इसम F
इसके पGात् मलू िनयम कहा गया ह)ै मF, िनयम 6 म—F
(I) उप-िनयम (1) मF,—
(क) दसू रे परंतकु के Hथान पर िन<िलिखत परंतकु रखा जाएगा, अथात8 -्
“परंत ु यह और (cid:4)क जहां धारा 124 क# उपधारा (5) के तहत उपबंिधत सात वष8 क# अविध समाA कर ली गई ह ै
या 7 िसतंबर, 2016 स े 31 अ(cid:11)ूबर, 2017 तक क# अविध के दौरान समाA क# जा रही ह ै तो ऐसे शेयर2 के
अंतरण क# तारीख 31 अ(cid:11)ूबर, 2017 मानी जाएगी ।”;
(ख) दसू रे परंतकु के पGात्, िन<िलिखत परंतकु अंतःHथािपत (cid:4)कया जाएगा, अथा8त—्
“परंत ु यह और (cid:4)क कंपिनय2 .ारा शेयर2 का िनिध म F अंतरण शेयर2 का परेषण माना जाएगा और शये र2 के
परेषण मF अनुपालन क# जान े वाली /(cid:4)Nया का कंपिनय2 .ारा शेयर2 का िनिध म F अंतरण करते समय पालन
(cid:4)कया जाना चािहए ।”
6208 GI/2017 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
(II) उप-िनयम (3) म,F खंड (घ) के Hथान पर, िन<िलिखत खंड रखा जाएगा, अथात8 —्
‘(घ) वाHतिवक Pप स ेरख ेगए शेयर2 का अंतरण करन ेके /योजन2 के िलए—
(i) कQपनी सिचव या बोड 8 .ारा /ािधकृत Sि(cid:11) नया शेयर /माणपT जारी करने के िलए, सबं ंिधत
शेयरधारक क# ओर स ेकंपनी को एक आवेदन करेगा;
(ii) खंड (क) के अधीन आवेदन /ाA होन े पर, ऐसे /Xयके शेयरधारक के िलए एक नया शेयर /माणपT जारी
(cid:4)कया जाएगा और उस पर यह उ(cid:6)लेख (cid:4)कया जाएगा (cid:4)क नया /माण पT “आईईपीएफ को अंतरण के
/योजनाथ 8 शेयर /माणपT स.ं ................. के Hथान पर” जारी (cid:4)कया जाता ह ै और इस /योजन के
िलए रख ेगए रिजHटर म Fअिभिलिखत (cid:4)कया जाएगा;
(iii) /Xयके शेयर /माणपT क# िविशिZयां कंपनी (शेयरपजूं ी और िडबFचर) िनयम, 2014 मF यथा िविन[दZ8
/Pप स.ं एसएच-1 मF दी जाएगी;
(iv) नए शेयर /माणपT जारी करने के पGात,् कंपनी कारपोरेट काय8वाही .ारा शेयर /माणपT2 को डीमेट
Pप म Fबदलने के िलए िन9ेपागार को सूिचत करेगी और /ािधकरण के प9 मF अंत(रत करेगा।”;
(III) उप-िनयम (12) के पGात,् िन<िलिखत उप-िनयम अतं ःHथािपत (cid:4)कया जाएगा, अथात8 ् :—
“(13) उप-िनयम (10), (11) और उप-िनयम (12) के अधीन यथा उपबिं धत कंपिनय2 .ारा िनिध मF जमा
(cid:4)कए जाने क# कोई अपिे 9त रािश आईईपीएफ /ािधकरण .ारा पंजाब नशे नल ब]क मF खोले गए िविन[दZ8 खात े
मF /ेिषत क# जाएगी।
(14) /ािधकरण अपन े ^ान म F आए िनयम के अननुपालन को अपनी (रपोट8 मF के(cid:21)(cid:22)ीय सरकार को /Hतुत
करेगा।”
3. मूल िनयम2 म,F िनयम 7 म—F
(क) उप-िनयम (2) के पGात्, िन<िलिखत उप-िनयम अंतःHथािपत (cid:4)कया जाएगा, अथात8 —्
“(2क) वह /Xयके कंपनी, िजसन े िनिध म े कोई रािश जमा क# ह,ै आईईपीएफ /ािधकरण के साथ सम(cid:21)वय के
/योजन के िलए एक नोडल अिधकारी नािमत करेगी और नोडल अिधकारी से सपं क8 का िववरण उसका पदनाम,
डाक पता, दरू भाष और मोबाइल तथा कंपनी के /ािधकृत ई-मेल पता दशात8 े 5ए इन िनयम2 के /काशन क# तारीख
से प(cid:21)(cid:22)ह (cid:4)दन के भीतर आईईपीएफ /ािधकरण को दगे ी और कंपनी नोडल अिधकारी का नाम और उसका ई-मले
पता अपनी-वेबसाइट पर दशा8एगी ।”;
(ख) उप-िनयम (3) के पGात, िन<िलिखत परंतकु अंतःHथािपत (cid:4)कया जाएगा, अथा8त ्–
“परंतु (cid:4)क /Pप आईईपीएफ-5 फाइल करने क# तारीख स े न‘बे (cid:4)दन समािA के बाद /ािधकरण .ारा दHतावेज2 क#
गैर /ािA के मामले मF /ािधकरण के पास अिभयाचक को तीस (cid:4)दन क# एक अविध के भीतर /Xयु0र दने े का एक
अवसर दते े5ए /Pप आईईपीएफ-5 को अHवीकार कर सकेगा ।”;
(ग) उप-िनयम (7) के पGात, िन<िलिखत परंतुक अंतःHथािपत (cid:4)कया जाएगा, अथा8त—्
“परंतु (cid:4)क ऐसी सूचना क# तारीख से न‘बे (cid:4)दन समािA के बाद, य(cid:4)द /ािधकरण को प(रशोिधत दHतावेज /ाA नहa
होत ेह ]तो, /ािधकरण के पास अिभयाचक को तीस (cid:4)दन क# एक अविध के भीतर /Xय0ु र दने ेका एक अवसर देत े5ए
/Pप आईईपीएफ-5 को अHवीकार कर सकेगा ।”
[फा. सं. 05/17/2017-आईईपीएफ]
अमरदीप bसंह भा(टया, संयु(cid:11) सिचव
(cid:1)(cid:1)(cid:1)(cid:1)टटटट(cid:3)(cid:3)(cid:3)(cid:3)पपपपणणणण :::: मूल िनयम अिधसूचना सं. सा.का.िन. 854(अ), तारीख 5 िसतंबर, 2016 को भारत के राजपT, असाधारण, भाग-II,
खंड-3, उप-खंड (i) म F /कािशत (cid:4)कए गए थ े और अिधसूचना संcया सा.का.िन. 178(अ), तारीख 28 फरवरी,
2017 .ारा संशोिधत (cid:4)कए गए थ।े¹Hkkx IIµ[k.M 3(i)º Hkkjr dk jkti=k % vlk/kj.k 3
MINISTRY OF CORPORATE AFFAIRS
NOTIFICATION
New Delhi, the 13th October, 2017
G.S.R. 1267(E).—In exercise of the powers conferred by sub-sections (1), (2), (3), (4), (8),
(9), (10) and (11) of section 125, sub-section (6) of section 124 read with section 469 of the
Companies Act, 2013 (18 of 2013), the Central Government hereby makes the following rules further
to amend the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and
Refund) Rules, 2016, namely:—
1. (1) These rules may be called the Investor Education and Protection Fund Authority
(Accounting, Audit, Transfer and Refund) Second Amendment Rules, 2017.
(2) They shall come into force from the 13th October, 2017.
2. In the Investor Education and Protection Fund Authority (Accounting, Audit, Transfer and
Refund) Rules, 2016, (hereinafter referred to as the principle rules), in rule 6—
(I) in sub-rule (1),—
(a) for the second proviso, the following proviso shall be substituted, namely:—
“Provided further that in cases where the period of seven years provided under
sub-section (5) of section 124 has been completed or being completed during the period from
7th September, 2016 to 31st October, 2017, the due date of transfer of such shares shall be
deemed to be 31st October, 2017.”;
(b) after the second proviso, the following proviso shall be inserted, namely:—
“Provided further that transfer of shares by the companies to the Fund shall be deemed to
be transmission of shares and the procedure to be followed for transmission of shares shall be
followed by the companies while transferring the shares to the fund.”.
(II) in sub-rule(3), for clause (d), the following clause shall be substituted, namely;—
‘(d) For the purposes of effecting the transfer shares held in physical form-
(i) the Company Secretary or the person authorised by the Board shall make an
application, on behalf of the concerned shareholder, to the company, for issue of a
new share certificate;
(ii) on receipt of the application under clause (a), a new share certificate for each such
shareholder shall be issued and it shall be stated on the face of the certificate that
“Issued in lieu of share certificate No..... for the purpose of transfer to IEPF” and
the same be recorded in the register maintained for the purpose;
(iii) particulars of every share certificate shall be in Form No. SH-1 as specified in the
Companies (Share Capital and Debentures) Rules, 2014;
(iv) after issue of a new share certificate, the company shall inform the depository by
way of corporate action to convert the share certificates into DEMAT form and
transfer in favour of the Authority.’;
(III) after sub-rule (12), the following sub-rules shall be inserted, namely:—
“(13) Any amount required to be credited by the companies to the Fund as provided under
sub-rules (10), (11) and sub-rule (12) shall be remitted into the specified account of the IEPF
Authority maintained in the Punjab National Bank.
(14) Authority shall furnish its report to the Central Government as and when non-
compliance of the rules by companies came to its knowledge.”.4 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)]
3. In the principle rules, in rule 7—
(a) after sub-rule (2), the following sub-rule shall be inserted, namely:—
“(2A) Every company which has deposited the amount to the Fund shall nominate a Nodal
Officer for the purpose of coordination with IEPF Authority and communicate the contact
details of the Nodal Officer duly indicating his or her designation, postal address, telephone
and mobile number and company authorized e-mail ID to the IEPF Authority, within fifteen
days from the date of publication of these rules and the company shall display the name of
Nodal Officer and his e-mail ID on its website.”;
(b) after sub-rule (3), the following proviso shall be inserted, namely:—
“Provided that in case of non receipt of documents by the Authority after the expiry of ninety
days from the date of filing of Form IEPF-5, the Authority may reject Form IEPF-5, after
giving an opportunity to the claimant to furnish response within a period of thirty days.”;
(c) after sub-rule (7), the following proviso shall be inserted, namely:—
“Provided that in case of non receipt of rectified documents by the Authority after the expiry
of ninety days from the date of such communication, the Authority may reject Form IEPF-5,
after giving an opportunity to the claimant to furnish response within a period of thirty
days.”.
[F. No. 05/17/2017-IEPF]
AMARDEEP SINGH BHATIA, Jt. Secy.
Note: The principal rules were published in the Gazette of India Extraordinary, Part II, Section 3,
Sub-section (i) vide number GSR 854(E) dated the 5th September, 2016 and amended vide
notification number G.S.R 178(E), dated the 28th February, 2017.
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054.