Unclaimed dividend form contains the information regarding the unclaimed as well as unpaid dividend amount outstanding to a shareholder/investor who purchase shares in a listed company.
The shareholders or depositors can make an appeal to the company to regain their unclaim/unpaid amount before the amounts carried forward to the IEPF. If the unclaimed dividend is transmitted to IEPF, there will be no unclaimed dividend with the company or IEPF.
In a unclaimed dividend form, the following information will be included :-
(a) the names and last known addresses of the persons eligible to get the sum
(b) the type of amount
(c) the amount to which each person is allowed
(d) the payable date for transfer into the Investor Education and Protection Fund
(e) other related information for the purpose
Recent modification :
The Ministry of Corporate Affairs vide notice dated 18th May, 2012 has made it compulsory for each company to submit e‐Form 5INV providing the information of unclaimed and unpaid amounts as referred to in sub section (2) of section 205C of the Companies Act, 1956.
This information should be submitted in each year within a period of 90 days
a.) Once the Annual General Meeting is arranged (or)
b.) the date on which it must be arranged as per the provisions of section 166 of the Act, and each year afterward till end of the seven years’ period.
The necessary information following the aforementioned rules vide Form 5‐ INV for the financial year completed on 31st March 2014, must be submitted most up-to-date by 31st July 2015. An excel sheet having detailed information for all the investor is to be filed individually.
The e‐form 5 focuses on the following information :
1. Number of small shareholders of the company :
Under Section 252 of the Companies Act, 1956, Small Shareholders refer to a shareholder acquiring shares of nominal value of twenty thousand rupees or less in a public company to which this section applies.
2. Number of small depositors of the company :
As per Section 58AA of the Companies Act, 1956 small depositors refer to a depositor who has deposited in a financial year a sum not surpassing twenty thousand rupees in a company and contains his successors, nominees and legal representatives.
3. Details of unclaimed and unpaid amounts :
If a company declare a dividend that has not been disbursed or claimed within 30 [thirty days] from the date of the announcement, to any shareholder considered as the the payment of the dividend. The company shall, within seven days from the date of expiry of said period of 30 [thirty days], transmit the total amount of dividend which becomes unpaid or unclaimed within said period of 30 [thirty days], to a special account to be opened by the company in that behalf in any scheduled bank, defined as “Unpaid Dividend Account of............Company Limited/Company (Private) Limited”