Rs82,199 Crore: That's IEPF's Investment in 1,561 Companies from Unclaimed Funds!
Moneylife Digital Team 30 August 2024
The investor education and protection fund (IEPF) under the ministry of corporate affairs (MCA), which impounds corporate benefits, shares and debentures that remain unclaimed after seven years, holds shares in 1,561 listed companies. As of 1 August 2024, IEPF's shareholding in these companies is valued at a whopping Rs82,199 crore, reveals information shared by Fee Only Investment Advisers LLP. 
 
The Fee Only Investment Advisers team did an extensive review of shareholding patterns across 1,561 companies listed on the BSE and NSE where IEPF is listed as a shareholder, and published it on their website.
 
As per the data, IEPF's most significant investment is in Reliance Industries Ltd (RIL). IEPF owns 35.97mn (million) shares in RIL. On 1 August 2024, RIL's share price was at Rs3,031.7 per share, taking the valuation of IEPF's stake to nearly Rs10,906.64 crore. 
 
Other top companies in which IEPF had invested include: HDFC Bank Ltd, Hindustan Unilever Ltd, JSW Steel Ltd, Titan Ltd, ITC Ltd, Larsen & Toubro Ltd (L&T), Jio Financial Services Ltd, UltraTech Cement Ltd and Tata Motors Ltd.
 
 
IEPF accumulates funds that have remained unpaid or unclaimed for seven years or more. These include unpaid dividends, application money for unallotted securities, matured deposits and debentures, accrued interest, and grants and donations from various sources, including the central and state governments. Additionally, the income generated from investments made by the Fund contributes to this substantial total.
 
Under the Companies Act, IEPF's funds are allocated for various specific purposes outlined in the regulations.
 
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Comments
abhay1955
7 months ago
Just checked the Companies Act, 2013. Section 125 (3) speaks on 'How the Fund should be utilized.' It does not say anything about investment or how to manage the fund. The IEPFA website lists the same points as laid down in the Companies Act. What's going on?
s5rwav
7 months ago
No Investment in BPCL or HPCL or ONGC or GAIL or Indian Oil or SBI or RCF like Public Sector Companies?
adityag
7 months ago
Crazy!!
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