IEPF & Unlisted Shares FAQs

Get answers to all your doubts in one place

IEPF Basics

Unlisted Shares Basics

The Indian government launched the Investor Education and Protection Fund (IEPF) to preserve investors’ interests and resolve unclaimed dividends and shares.

If dividends remain unclaimed for 7 consecutive years, the corresponding shares are also transferred to the IEPF as per Companies Act, 2013.

Under the Ministry of Corporate Affairs (MCA), manages the fund and related claims.

Unclaimed dividends, matured deposits/debentures, application money due for refund, and shares.

Unlisted shares are equity shares of companies that are not listed on any recognized stock exchange such as NSE or BSE. These shares are traded privately through over-the-counter (OTC) markets or intermediaries.

Investing in unlisted shares can be profitable but carries higher risk due to lower liquidity, limited financial disclosures, and the absence of regulatory oversight compared to listed stocks. Proper due diligence is essential.

Some unlisted shares, especially those acquired in pre-IPO rounds, may have a lock-in period as per SEBI guidelines post-IPO. Otherwise, general private transfers are subject to company bylaws.

Many private companies choose to remain unlisted to avoid regulatory compliance and maintain control. Startups, pre-IPO firms, and family-owned businesses often issue unlisted shares.

Claim Eligibility & Process

Documents & Requirements

The rightful shareholder, legal heir, nominee, or their authorized representative can claim.

You need to file Form IEPF-5 online and then submit required documents to the company and IEPF Authority.

No, claims can be made at any time, even after the transfer. But earlier claims are easier to process.

 The initial IEPF-5 form is filed online, but physical document submission is also required afterward.

 No, the filing of Form IEPF-5 is free of cost.

Unlisted shares can be claimed by the original shareholder, their legal heir, nominee, or a duly authorized representative. In case the shareholder is deceased, the legal heir must provide succession-related documents such as a death certificate, legal heir certificate, and proof of relationship to initiate the claim process.

To claim unlisted shares of a deceased family member, the legal heir or nominee needs to submit documents like the shareholder’s death certificate, legal heir certificate or succession certificate, ID proofs, and a request letter to the company or its registrar. In some cases, the company may also require a notarized indemnity bond or NOC from other legal heirs before processing the transfer.

The process typically starts with identifying the company and verifying shareholding details. Once the documentation is complete—including identity proof, address proof, demat details, and relevant succession documents—the claim is submitted to the company or its RTA. After verification, the shares are either transferred to the claimant’s demat account or reissued, depending on the company’s procedures.

PAN, Aadhaar, shareholding proof, original share certificates (if available), death certificate (for legal heir), indemnity bond, etc.

Yes, if claiming as a legal heir or nominee. In some cases, a probate of the will may also be required.

 On average, 3 to 6 months depending on the company, documentation, and authority’s processing time.

You will need to provide affidavits, newspaper ads, or verification from a notary/public authority.

 Yes, PAN is mandatory for all unlisted share transactions and KYC is required as per SEBI norms.

To buy unlisted shares, you typically need a copy of your PAN card, Aadhaar card (or other valid address proof), a recent passport-size photograph, and a copy of your demat account statement. If the transaction is being facilitated through an intermediary, you may also be required to sign a client agreement and provide a declaration of source of funds.

Yes, in most cases, unlisted shares are transferred in dematerialized (demat) form, so having a demat account is essential. The shares are credited directly to your demat account after the transfer is processed. If the shares are in physical form, the company’s registrar may facilitate their dematerialization upon request.

The transfer of unlisted shares requires execution of a Share Transfer Deed (Form SH-4) signed by both the buyer and the seller. The deed, along with supporting documents like PAN cards and identity proofs, is submitted to the company or its registrar. Once approved, the company updates its shareholder register and the shares are transferred accordingly.

IEPF Shares & Dividends

Professional & Legal Help

You can claim both shares and unclaimed dividends that were transferred to IEPF

They are held in the name of IEPF Authority in demat form until successfully claimed.

Not until the shares are claimed back and transferred into your personal demat account.

You can still file a claim but must provide a surety bond and police FIR or indemnity bond.

Yes, companies like Care4Share offer end-to-end IEPF claim assistance for individuals and families

Only share your documents with registered and trusted professionals. Check for data privacy practices.

Yes, taking help from a legal or financial advisor ensures that the claim process is smooth, accurate, and compliant with all necessary regulations.

Absolutely, expert firms specialize in tracing old unlisted shares, verifying ownership, and handling the complete recovery process on your behalf.