News: The Investor Education and Protection Fund Authority (IEPFA) is in the final phase of testing its Integrated Portal, designed to streamline claim processes and enhance accessibility for both investors and companies.
About Investor Education and Protection Fund Authority (IEPFA)
- It is dedicated to safeguarding investor interests by facilitating the return of unclaimed shares and dividends and advancing financial literacy
- It is a statutory body in India, established in 2016 under the Companies Act, 2013.
- Nodal Ministry: Ministry of Corporate Affairs
- Mission: Its primary mission is to protect investors’ interests, promote financial literacy, and ensure the return of unclaimed shares, dividends, and other investor dues.
- Functions: The Authority is entrusted with the responsibility of administration of the Investor Education Protection Fund (IEPF), make refunds of shares, unclaimed dividends, matured deposits/debentures etc. to investors and to promote awareness among investors.
- The IEPF is to be utilized for :
- The refund in respect of unclaimed dividends, matured deposits, matured debentures
- Promotion of investors’ education, awareness and protection
- Distribution of any disgorged amount among eligible and identifiable applicants who have suffered losses due to wrong actions by any person
- Reimbursement of legal expenses incurred in pursuing class action suits under sections 37 and 245 by members
- Initiatives taken: Through flagship initiatives such as Niveshak Didi, Niveshak Panchayat, and Niveshak Shivir, IEPFA empowers individuals to make informed financial choices and fosters a financially aware citizenry.
